UHC Passes, Why no Drop in Dow?

[Newtons Bit]

See the link I provided in my first post on this thread for an example.

ETA: I imagine you made your first post in the thread without having seen mine yet, since we posted at nearly the same time.

Yup. I was replying to the OP before anyone else had posted on the thread. And I couldn't figure out why someone would look at the DOW as a reflection of health-care performance. I didn't realize the crazy prediction was about the entire stock market.

I lament that many people on the left don't know what's in the bill. Now I'm starting to see more people on the right are completely bat 'ing crazy chicken littles. Neither helps real discourse.

 

[Ziggurat]

Considering the dire predictions the conservatives have been predicting if Health Care comes to pass, why is the stock market essentially just giving a yawn? Shouldn't the market be reacting to this socialist assault on the capitalist system?

Stock prices respond to information, not events. If most investors predicted passage of the bill, then actual passage won't change prices, because that information was factored into the price prior to passage. This applies regardless of which way the market would respond.

 

[Thunder]

35 million more customers. why in the world would health-care related stocks go down?

 

[Newtons Bit]

35 million more customers. why in the world would health-care related stocks go down?

Exactly. Big Insurance is loving this bill.

 

[Lurker]

Stock prices respond to information, not events. If most investors predicted passage of the bill, then actual passage won't change prices, because that information was factored into the price prior to passage. This applies regardless of which way the market would respond.

True. Passage was written on the wall a few days back and Wall Street would have responded then. Looking back we don't see any blips either up or down. Again, a big yawn.

 

[funk de fino]

Private Frazer says false alarm



"We're no doomed"

 

[peptoabysmal]

Perhaps the stock market will go up since the bill instantly created 400,000 new jobs.

Watch here as Pelosi waves her arms in magical incantation as she produces those jobs.

 

[JoeTheJuggler]

Exactly. Big Insurance is loving this bill.

But in return, we got the end to rescission & post-claim underwriting, annual caps, and so on.

The reasoning is that if insurers have to live with the new reforms, they need to have as many of the low-risk people to buy insurance as possible.

 

[joobz]

But in return, we got the end to rescission & post-claim underwriting, annual caps, and so on.

The reasoning is that if insurers have to live with the new reforms, they need to have as many of the low-risk people to buy insurance as possible.

OMG, the health care bill helps business AND people? There were efforts in the bill that is supposed to spur competition as well, I'm just wondering how much these cost saving efforts will actually work.

 

[JoeTheJuggler]

OMG, the health care bill helps business AND people?

And I'll readily concede that it will probably benefit business more than it benefits the people, but I still say it was worth it, given what was possible.

I would greatly prefer a tax-based, single-payer system. I'd also prefer if hospitals weren't trying to keep up with luxury hotels and instead provided a basic level of healthcare accessible to everyone. (I have no problem if the wealthy still had their own insurance plans that would let their hospital stays resemble visits to a resort or spa.)

Unfortunately, even when Democrats had a supermajority in the Senate and a large majority in the House, they couldn't even get a watered down version of single payer anywhere. They couldn't even pass a package with a public option to force more price competition. As it is, they were barely able to pass a plan that included state-run insurance exchanges.