Who's Killing the Stock Market? Barack Obama, Germany, Elizabeth Warren, or Apple


FREE Breaking News Alerts from StreetInsider.com!

E-mail Address
November 7, 2012 11:53 AM EST Send to a Friend
Traders are looking for answers with the stock market getting hammered Wednesday following the re-election of President Obama.

The Dow is down 320 points (-2.4%), the S&P 500 is down 35 points (-2.5%), the Nasdaq is down 75 points (-2.5%). Crude is down to ~$85 (-3.7%).

  • As you know, Barack Obama was re-elected. Although some had high hopes for Romney it was pretty much a sure bet that Obama would win. In fact, InTrade had Obama at 70% all-day yesterday while Romney was below 30%. While certain sector like healthcare and coal were going to see volatility on the news, many thought this was priced in. Looking at the price swings in all the Obama-related sectors this was clearly not the case. For a list of Obama stocks see: StreetInsider.com's Stocks for an Obama Victory

  • This morning ECB's President Mario Draghi dropped a bomb, nothing that stalwart country Germany is now hitting a rough patch. "Germany has so far been largely insulated from some of the difficulties elsewhere in the euro area. The latest data suggest that these developments are now starting to affect the German economy," Draghi commented.

  • Bank stocks are getting hit pretty hard after mortal enemy Elizabeth Warren was elected to the Senate, beating Senator Scott Brown handily. A bank analyst said this signals more "misery" for financial firms. Looking around the sector, JPMorgan Chase & Co. (NYSE: JPM) is down 5.4%, The Goldman Sachs Group, Inc. (NYSE: GS) is down 5.5%, Morgan Stanley (NYSE: MS) is down 7%, Citigroup, Inc. (NYSE: C) is down 5%, and Wells Fargo & Company (NYSE: WFC) is down 3%

  • Market leader Apple (Nasdaq: AAPL) is down more than 20 percent from its September 21 intra-day high of $705.07. Just today the stock is down 3.3% to $560.81 after losing a $368 million verdict versus VirnetX.

    Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
    *NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here


    • You May Also Be Interested In


    Related Categories

    Insiders' Blog, Trader Talk

    Related Entities

    JPMorgan, Citi, Morgan Stanley, Standard & Poor's, Crude Oil, Barack Obama, Elizabeth Warren, Wells Fargo

    Add Your Comment