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2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Wall Street Shoots Out of the Gates

In the opening minutes of trading on Wall Street, the major indicators are up and up sharply.

The Dow has rocketed to a 230-point gain, up more than 2 percent. The Nasdaq has rebounded from an atrocious day -- the worst since the tech bubble burst in 2000 -- by opening up nearly 2.5 percent. The S&P 500 also is up 2 percent.

On the trading floor, however, CNBC is reporting what it's calling a "rabbit hole" phenomena -- as in, we're down the rabbit hole, Alice -- which is: There is a feeling among some traders that they'd prefer a weak opening to the markets and a weak close today to keep the heat on Capitol Hill lawmakers to pass a version of the $700 billion Wall Street rescue plan.

The concern is that lawmakers will look at today's Wall Street rally and think: What's the big deal? Why do you need a bailout? You look fine today.

-- Frank Ahrens

By Frank Ahrens  |  September 30, 2008; 9:46 AM ET
Categories:  The Ticker  
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Next: Survey: Businesses Already Cutting Back

Comments

Buying now very predictable, good move. The political leadership will provide a little more political coverage in the bailout package, then bribe and/or intimidate a dozen congressmen into line. Passage by mid-day Friday, the markets soar, nice quick profit. Wouldn't hold for long though.

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Posted by: Threedy | September 30, 1908 12:51 PM | Report abuse

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