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Fundranker Blog—Market Meltdown

Market Meltdown

The Dow Jones Industrial Average lost 500 points on Monday and 450 points on Wednesday this week in the wake of the bankruptcy of Lehman Brothers and the Federal Reserve’s unprecedented bailouts of Fannie Mae, Freddie Mac, and American International Group. The Federal Reserve is doing everything in their power to keep our financial system from completely unraveling. How successful will they be? How quickly? If you believe in America, you have to believe that we will survive this crisis.

How and why did our financial system get into this mess? Many pundits are blaming the move toward deregulation. Think of the battle between regulation and deregulation as a pendulum. It’s pretty obvious that the pendulum soon will swing back toward regulation.

Posted 9/18/08 3:38pm ET in Market