Traditional market movers include Alan Greenspan, Mervyn King, Warren Buffett, and Bill Gates. A reflection of our times is that Dr. Zawahiri and his boss appear to be in a similar mold. I once stated that the US markets' response to the London bombings was muted for they even ended higher on the day due to a "didn't happen here" mentality. But, when al-Zawahiri explicitly warned America about forthcoming attacks there, the markets promptly fell out of the sky. Sure there was other negative news last Thursday when the video was aired, but his appearance was the coup de grace. It's plain sad that US markets need brutal reminders about their insularity, and it would do a world of good for them to understand that the US is not an island unto itself.
Posted by Emmanuel |