McCain, Obama discuss market woes
POSTED: Tuesday, September 16, 2008 - 10:10am
UPDATED: Wednesday, February 17, 2010 - 10:29pm
Today, once again, the world will watch Wall Street to see if investors regroup or continue a massive sell-off. In Washington, the Federal Reserve will meet to decide whether to cut interest rates or hold them steady.
Going into today, bets rose that the Fed will cut rates by a quarter point. One analyst said worries about inflation will take a backseat to a market upheaval one called gut-wrenching.
Overseas markets opened sharply lower this morning.
The global sell-off goes on after Wall Street's worst day in seven years.
Carmine Pisone of Lehman Brothers says "I think you'd really have to be a fool to not to see it."
Investors are still processing the fall of Lehman Brothers and the fate of global insurer AIG. Some say years of risky lending practices are biting back, the fallout hitting ordinary Americans, too.
S&P Chief Economist David Wyss says "the stock market is down almost 3 percent at this point. That's going to hit a lot of Americans, especially people near or in retirement."
In Washington, President Bush tried to soothe nerves.
President Bush said "In the long run, I'm confident that our capital markets are flexible and resilient."
Candidates battled over who could lead an economic comeback.
John McCain was in Florida.
He said "our economy, I think, still the fundamentals of our economy are strong, but these are very, very difficult time."
Within hours, Barack Obama went on the attack. On the stump in Colorado, Senator Obama said "now Senator McCain, what economy are you talking about?"
And in this new ad.
Are lower interest rates the right fix? That's up to the Federal Reserve today.
Analysts say the call could hinge on what happens after the opening bell.