The Stock Market Means Little

The news last night was that things are looking better with the Greek bailout, and therefore the stock market went up.

The problem is that the European stock market, based on their analysis, went down

The Europeans have little (read “no”) confidence that the Greeks can, or will pull out of their tailspin. Greece has a 20% unemployment rate BEFORE they undertake to fire tens of thousands of government workers

The Greeks are rioting in the streets BEFORE the minimum wage reduction of 20% goes into effect, and just to keep the “20s” going, there are 20 issues the Greeks promised before their LAST bailout that have not been fulfilled.

Basically, the EU has kicked the can down the road with the hope that some miraculous event will get them off the hook. we will hear about Greece often over the Spring, Summer and Fall and what we will hear will not do President Obama any good in his re-election campaign.

On the subject of the Dow, it helps corporations and it helps investors including  people with a 401k, but the normal person gains nothing and is hurt badly with gas prices.