Stock Market Madness

The stock market has dominated national and international news with its recent plummet, causing renewed interest and concern for the state of the U.S. economy. 

On Tuesday, Sept. 14th, the stock market went into a massive downward spiral, dropping by 1,200 points, the largest since this past June. Mainly due to inflation from reckless spending and disastrous government intervention, the degrading economy initiated the downfall of stocks across the nation.

With the drop of the Dow being synonymous with inflation and the Biden administration’s policies, Congress is also liable for plummeting stock consequences due to excessive government spending.

 Additionally, ever since the Biden administration and Congress became Democrat-controlled, “…a report released in June found that more than half of the public is now living paycheck to paycheck,” according to the Washington Examiner.

While the inflation percentage already drastically increased since President Biden took office, due to disastrous measures and policies implemented while the American economy was recovering from a pandemic, the stock plummet only displayed the inevitability of the downward turn. 

The numbers from Aug. indicate, while energy prices fell, inflation is still rapidly causing food prices to increase, which “were up to 0.8 percent last month, while costs for housing, medical care, new cars and household furnishings all increased in Aug. compared to July,” according to VOA News. Inflation and increasing costs in Aug. only further created the context for the stock market nosedive.

All the numbers point themselves back to the White House’s mishandling of the economic situation. With the detrimental drop of stocks, the promise made through the Inflation Reduction Act by President Biden and Congress seems either nowhere to be found or misconstrued to deceptively paint the picture that Democrats’ policies actually did something. 

In fact, while the stock market crashed, President Biden was simultaneously hosting an “Inflation Reduction Act celebration’’ speech. The heavy irony being almost unbearable, Fox News reported CNN, while covering the President’s event on the White House lawn, “pulled back from its live coverage of the speech, noting the ‘unfortunate’ visuals of the president celebrating while the Dow took a ‘total beating.’” 

On top of the mess created by the White House and Congress, the Federal Reserve is back to eyeing the possibility of increasing interest rates. The Fed’s attempt to combat inflation, however, revives the large concern of economic recession: “…the Federal Reserve’s plans to raise interest rates another 0.75 percentage point next week,” only “raises the risk the Fed may cause a recession, as it attempts to throttle inflation,” according to a recent Axios article.  

President Biden and Congress’ disastrous policies are draining wallets and bank accounts, imploding 401(K) plans and causing the stock market to plummet. While the United States continues to financially stuffer and stumble, the supposed Commander-in-Chief champions miniscule achievements which virtually contribute nothing to economic growth and relief of bad policy.

While the Dow and the rest of the stock market tries its best to claw its way back to stability, it seems Democrats’ response to man-made economic and fiscal problems is introducing policies which only further inflation, the risk of a recession and stock market madness.