The stock market has just hit record highs as of Tuesday and
appears that it will continue to hit highs as the Dow Jones Industrial has set
23 record high closings this year alone. The Dow Jones is nearing 17,000 is mind boggling
for many people as some might not see the economy the way that the Dow is
reflecting it. The Dow Jones bottomed
near 6,500 near the worst of the 2007 recession.
It wasn't long ago a huge market crash sent the stock market
into a downward spiral that devastated almost everyone in the United States and
almost everyone in the world was affected.
Housing prices were declining thus owners defaulting on mortgages intern
foreclosure numbers skyrocketing. Not
only where people being affected by their home values declining rapidly but they
were getting affected by the decline in the stock market.
Not everyone owns stocks outright it can depend on wealth
and investment knowledge of the individual some may prefer to keep their money
in a safe spot that is liquid and not having to worry about loss of value. Instead of people owning stock nearly every
individual has a retirement fund, IRA, and a 401K. During the 2007 recession people watched the
values of their hard earned retirement go down the drain sometimes loosing 65%
of what they once had. Watching this
happen in front of their eyes people nearing retirement where devastated.
Thankfully for us we have endured what has been seen as the
worse of the great recession and we can hope that the economy keeps turning. Jobs have started to come back to the US slowly
and I can hope that they can continue to come quickly so that when I graduate
in May 2014 I will not have to be unemployed or under employed.
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