Financial Bailout isn’t Curing Volatility

It doesn’t appear that the record setting 700 billion dollar bailout is putting out the credit fear fires overseas.  As of writing this article the markets in Asia aren’t taking the news well.  The Nikkei 225 is currently down a little more then 3%.  I don’t think the rest of the world has optimism that the US bailout is going to be a cure for a global economic slowdown.

It will be interesting to see how the Dow Jones Industrial Average looks to open in the morning.  I’d have to believe that we will see a lower open on Wall Street come the Monday morning opening bell only a few short hours away.  Friday proved a classic theory of buy the rumor and sell the news, when the markets did a nose dive directly after the bailout was approved by congress.  It didn’t appear that those investing in the US markets have much faith in a short term cure for the credit crunch either.

Buckle up for a rock ride as it looks like the next couple of trading sessions are going to be a wild roller coaster!