Wednesday, January 20, 2010

Markets Really Drop

The ghost of early 2009 hit the market today when the DOW dropped a whopping 122 points.

Economic journalists are blaming China's move to tighten bank lending. Essentially China ordered its banks to stop lending for the rest of January. China is concerned its economy is too hot and ripe for various defects.

Regardless, this period of quarterly reports has so far not been smooth sailing.

Reuters: Wall Street drops on China, IBM; EBay jumps late
Chinese authorities have ordered some major banks to curb their lending over the rest of this month after an early burst of credit, banking industry sources said.

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