Stocks are down because there is reason now to believe not only that the economy is rapidly improving, but also that it is on a sustainable path to longer-term growth. Because of this, the Fed might raise interest rates back to a more normal level (higher than almost nothing.) Because of this, the market reacted, and the reaction is most likely temporary. In other words, the market reacted to good news (and the likely – inevitable – consequence of that news.) Now I know how much right-wingers hate the idea of the economy improving while a democrat is in power, but please – get a grip.
Glenn McCoy and Gary McCoy