Indiana Grain Company, LLC

Posted: 01/28/10

By: tomgrisafi

It's still a Pig right?

Last nights State of The Union address by President Barack Obama may have left many with a warm fuzzy feeling regarding the economy, job creation, health-care etc. But judging from the markets reaction this morning, perhaps we are just putting lipstick on a pig.

As of 11:30am EST the S&P 500 is down 18 points, and the DOW is down 171 points. Despite very solid earnings from various sectors this week, we are still seeing an all around sell-off.

For instance, Ford Motor Co earnings came out this morning, and reported an annual net income of 2.7 Billion for 2009. But this apparently was not a big confidence boost for investors.

Obama stated last night very clearly that he has no desire or intention to "Punish Banks", but he did mention his unhappiness with big bonuses. But overall he avoided talking about his "overhaul" on banking regulation.

With the condition of the markets this morning, perhaps the reality of last nights state of the union is starting to sink in.