Home Store In Memoriam Deborah Newsletter Forum Topics Blogfeed Blogroll Facebook MySpace Contact Us About

FOX News Blames Stock Market Drop On Obama

Reported by Ellen - January 25, 2009 -

Barack Obama had only been in office three days but FOX News' Saturday business show, Bulls & Bears, repeatedly suggested that investors' dislike of him caused the stock market drop last week. With video.

Host Brenda Buttner teased the upcoming segment yesterday (1/24/09) by saying, “Wow! What an historic week in Washington... and on Wall Street. Not quite the inauguration rally many were hoping for. So what ARE investors telling us about our new president?”

Buttner began the actual discussion by noting that Tuesday was “the Dow's worst sell off in history for an inaugural day.” As she spoke, a banner on the screen said, “Worst inaugual week for stocks since 1981.” Footage of Obama appeared next to the market data.

“So what's Wall Street telling us about our new president?” Buttner asked.

The banner switched to: Stocks tank this week. What's Wall St telling us about new pres?

“I think the honeymoon is over,” guest Gary B. Smith said, with yuks all around.

Fortunately, guest Pat Dorsey, of Morningstar.com, offered some real balance... and common sense. “I think the ups and downs of this week, frankly, reflect the uncertainty that's in the market right now which would exist whoever was in the White House.”

Another guest opined that “the market in general is waiting for (Obama). They like what they see... I think that confidence is starting to trickle in.”

But Buttner jumped in to say pointedly that traders had watched the inaugural speech on the trading floor. It was a clear attempt to show causality between Obama's inauguration and the market drop.

Only in passing – and from a guest, not host Buttner – were other factors mentioned: The layoffs at Microsoft, a drop in profits from 60% of companies in the S&P 500, e.g. Also not mentioned was that last week was the third week of price declines for stocks.

Of course, FOX News could not so easily blame Obama's inaugural if the “we report, you decide” network went into all that.