Friday, March 14, 2003
Penetrating Analysis: Headline of this story from Reuters, based on a 1% hop in the Dow this morning: "Stocks Rise on Hope of End to Iraq Crisis." First, this morning was not exactly a time of clarity on the Iraq situation, as last ditch negotiations and trips to the Azores obscured exactly how much more of the diplo-game had to be played. Second, how is it possible to know what "caused" a minor (and temporary -- check the ticker) rally this morning? Third, yesterday's enormous gain came amidst news that France would veto anything and the US would drop the "2nd resolution" idea and just attack. Do you suppose Reuters would suggest that what the market needs is a good-old shooting war to help cement the gains?