Thursday, November 27, 2008

Conservatives Link Obama To Market Decline–But Not To Rebound

On November 13, right-wing commentator Brian Maloney wrote an article on his blog Radio Equalizer titled, "Barack's Market Wipeout: Talkers Vindicated: Obama's Election Panics Wall Street." Maloney's own panic is evident in first paragraph: 

The concept couldn't be simpler: an already-weakened economy is dealt a punishing body-blow by the election of America's first seemingly-socialist president. Faced with business conditions that are likely to deteriorate much further than expected, Wall Street throws in the towel and global markets collapse.

The article contains an excerpt from the Wall Street Journal editorial "A Barack Market" (11/13/08):  

The substance of what Mr. Obama has promised for the economy is bearish for stocks... What markets want to see from Mr. Obama is a sense that the seriousness of this downturn is causing him to rethink the worst of his antigrowth policies.

Since these dire warnings, Obama has held three consecutive press conferences to announce an Economic Recovery Advisory Board and the appointments of Timothy Geithner as Treasury Secretary and Lawrence Summers as director of the White House National Economic Council. The market has reacted favorably. The Milwaukee Sentinel (11/24/08) quotes Rick Burling, portfolio manager with Red Granite Advisors in Milwaukee: 

Also encouraging to investors, Burling said, are President-elect Barack Obama's plans to move rapidly on a large economic stimulus effort and his announcements of future appointments to key government financial posts.

The Boston Herald also had good news following Obama's announcements: 

"Help is on the way," [Obama] proclaimed Wednesday at his third news briefing on the economy this week. Fifty-five days away from taking office, he declared he would have an economic plan ready for action "starting day one."

Investors’ improved spirits kept pace. The Dow Jones industrials climbed 247 points, marking the first time since last spring that the average had risen for four straight sessions.

So did Maloney, who linked Obama's election with Wall Street jitters, now correlate the president-elect's announcements with the market rebound? Well, he actually seems to have overlooked that point. Above his "Barack's Market Wipeout" article, Maloney has placed just one line: "*** UPDATE: MARKET FINALLY GETS TEMPORARY RELIEF RALLY, LET'S HOPE IT HOLDS! ***"

It isn't only Maloney, however, who has stopped connecting the dots, as shown in the Media Matters video above. Conservative commentators Dick Morris, Sean Hannity and Rush Limbaugh also blamed Obama for the post-election stock market decline. Fox commentators, of course, were falling all over each other in their gloomy assessments.

How many of these right-wing talking heads are now following their own logic and connecting the market rebound with Obama's plans and appointments? Wouldn't intellectual honesty require them to do so?


Tim Gunter said...

No, Brian Mahoney and other talkers like him will not credit Obama for the market rebound of the Dow Jones industrials. Right now, crummy ol' FOX news is trying to blame Obama for Mumbai. Alan is leaving H&C, but there's no liberal commentator to replace Alan. Jim Hightower would be a good one to replace him. But, they want nobody. I won't watch the Fix News Channel.

Jeff Tone said...

Tim, I like Alan's radio show and blog, but I don't watch "Hannity & Colmes." I too boycott Fox, since I don't want to add to their ratings. Think Progress wondered if Hannity had the guts to partner with a more confrontational liberal:
As it stands, it seems that Hannity will now host the show alone, meaning that it will be unwatchable.