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The Dow is Way Down, But...

Reported by Melanie - November 1, 2007 -

The Dow was down 364.14 points today (November 1, 2007) on fears that there are very serious internal problems at Citigroup stemming from the "mortgage meltdown." Fox's "premiere business news" anchor, Neil Cavuto, did a fairly good job of explaining the situation to his viewers over the course of his show, but he was careful to assuage them early on so some of the fear was, hopefully, taken out of what they were about to hear.

Here's how he opened the show:

This is a Fox News Alert. Stocks hit very, very hard today. Worries about where our largest bank is heading, where our oil is heading, and where earnings may be heading had lots of folks selling. Citigroup, for example, diving 8% on the day. If we take a look at the big board, here's where we stand: The Dow has dropped about 371 points. I must stress though this was on relatively light volume, or not as heavy volume as you would think on a day like this. By that I mean, not as many people were in this market or intensely involved in the sell-off.

Comment: One of Cavuto's primary responsibilities between now and November, 2008 is to convince his audience that the economy, under Republicans, has been, and is, running smoothly. So it was in support of the GOP that he tried to minimized what happened today, insinuating that the Dow was dragged down by a relatively small group of players. If the Citigroup situation explodes, as "some" think it might, it is going to be interesting indeed to see how Cavuto spins that our Republican government looked the other way while banks were allowed to make deals (that old "free market economy") that injured or crippled them, and thus adversely affected our economy, and potentially the world's.