Wall Street Thrives Despite Upcoming Budget Cuts
The Dow Jones Industrial Average is currently at 14,264.60 points, as of publication. This is breaking a record high that was set in October of 2007 (14,164.53) before the recession began. This is a landmark for the financial world, perhaps marking a new beginning for a thriving economic market. The Dow Jones represents 30 of the most powerful industrial stocks, among others. This shows that the industrial sector is not struggling, but booming. Almost exactly four years ago, the Dow Jones experienced an alarming low. For the year of 2013, all exchanges are up so far: the Dow is up 6.6 percent, the S&P 500 is up 6.4 percent, and the Nasdaq is up 5.7 percent.
Even though there are sever upcoming budget cuts coming soon (sequestering,) Wall street seems to be unaffected. Investors and business people may not be taking these cuts into consideration and feel as though things are going to go on as they will with or without the cuts. Time will only tell if a tight government budget will take a toll on the stock market.