Saddam's Capture: Good for the economy?

ray · 12-15-2003, 09:52 AM

Over the weekend when they announced Saddam Hussein's capture in Iraq, many of the business websites posted short blurbs about how the stock market was preparing for a nice spike in this week's trading.

This morning as of 11:54am EST, the DJIA is up 76 points and the Nasdaq is up 10.39. I recall when there was news about troops being killed in Iraq or some other terrible news overseas, the market would be hit much harder than this morning's jump. Obviously it is still too early to determine whether or not investors will see the capture as cause to justify a stronger economy in the future, but the news has impacted the day's trading.

Do you think that the DJIA will remain above 10,000 due in part to this recent news, or do you think it will be primarily general economic factors that will keep the DJIA above 10,000?

Cubsfan · 12-15-2003, 10:05 AM

While I think that the news helped the market, I'm not sure it has a huge short-term effect on it. I think his capture is a postitive sign to the market that things in Iraq will cool down, which will in-turn make the hit to the market due to a soldier's death smaller.

However, I think that other factors are what has kept us over 10,000. Had we not captured him, then I think we'd still be trading a little up, although not as much.

I have always found it interesting how events like this have an effect on the market.

On a related note, what companies are bidding on the reconstruction of Iraq? Good investments if they win?

12-15-2003, 09:52 AM	#1
ray lilbigblue Join Date: Jan 2003 Posts: 6,607	Saddam's Capture: Good for the economy? Over the weekend when they announced Saddam Hussein's capture in Iraq, many of the business websites posted short blurbs about how the stock market was preparing for a nice spike in this week's trading. This morning as of 11:54am EST, the DJIA is up 76 points and the Nasdaq is up 10.39. I recall when there was news about troops being killed in Iraq or some other terrible news overseas, the market would be hit much harder than this morning's jump. Obviously it is still too early to determine whether or not investors will see the capture as cause to justify a stronger economy in the future, but the news has impacted the day's trading. Do you think that the DJIA will remain above 10,000 due in part to this recent news, or do you think it will be primarily general economic factors that will keep the DJIA above 10,000? __________________ new uploader My World

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12-15-2003, 10:05 AM	#2
Cubsfan Rear Admiral Lower Half Join Date: Jul 2001 Location: Colorado Posts: 2,575	While I think that the news helped the market, I'm not sure it has a huge short-term effect on it. I think his capture is a postitive sign to the market that things in Iraq will cool down, which will in-turn make the hit to the market due to a soldier's death smaller. However, I think that other factors are what has kept us over 10,000. Had we not captured him, then I think we'd still be trading a little up, although not as much. I have always found it interesting how events like this have an effect on the market. On a related note, what companies are bidding on the reconstruction of Iraq? Good investments if they win?

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