Last night, the President of Citibank distributed an internal memorandum which claimed that the troubled bank had seen profits for the first two months of the year. In response, the entire stock market went up about 6% in value.
This proves one important thing. Money is there - people are just waiting. What are they waiting for? Well, it appears that good news is one thing. Citibank just claims to be turning a profit and the market rallies.
Then when you look at the fact that the market dips every time President Obama or Tim Geithner discuss the economy without saying anything useful or reassuring, investors are also waiting for a plan - for some direction. For his first seven weeks in office, Obama has done nothing on the economy but flounder. Well, he also signed a $700 billion economic stimulus package that won't be as effective as he promised. But he has yet to put forward a substantive plan on how to rescue the economy or fix the problems that led to the mess in the first place.
He has put forward proposals on Guantanamo Bay, Embryonic stem cell research, education and trade. He has managed to engage in terrible foreign affairs. But the one issue that probably got him elected, and the one most important to all Americans - he has done nothing but wallow.
Today's market surge proves that there is still money and there are still investors. They are just waiting for something to give them hope. Isn't that what Obama was supposed to provide?
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