The Aftermath

A day after an equity market mini-correction, “news” fills the air at Yahoo! Finance:

“It’s typical that you get a bounceback the next day,” said Joseph V. Battipaglia, chief investment officer at Ryan Beck & Co. “Now we’re essentially flat on the year. Can we go up from here or down? That sorting-out process will continue now.”

I don’t know what anyone could do with those comments. They probably sound great to some, but in terms of usefulness, they serve scant purpose. That said, some players were more careful:

Bernanke let the lawmakers know he wouldn’t be led into publicly contemplating what role Greenspan’s remarks or any other developments had played in setting off the worst one-day point drop since Sept. 17, 2001, after the terrorist attacks. “I don’t think it would be useful for me to try to parse the movement into the components associated with different pieces of news or pieces of information,” he said.

That is a refreshing piece of candor. No attempt to give an immediately circumspect “why” answer.

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