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Robert Samuelson: The Stock Market Decline Means ... What? [Investor's Business Daily]

Moody's Corporation (MCO) 
Last moody's corporation earnings: 4/30 07:00 am Check Earnings Report
US:NYSE Investor Relations: ir.moodys.com/home/default.aspx
The stock market giveth; the stock market taketh away. With Wednesday a federal holiday to honor former President George H.W. Bush, the U.S. stock market will be closed until Dec. 6. But there's no moratorium on wondering what the effects of Tuesday's dramatic market sell-off — almost 800 points on the Dow, or more than 3% — might be. Here are some key questions and tentative answers. Q. Does the stock market selloff signal a recession? A. Maybe, but most investors and economists seem to think otherwise. Growth of the economy (gross domestic product, or GDP) has been strong, averaging nearly 4% at an annual rate over the last two quarters. That's higher than estimates of long-term growth potential of about 2% annually. The usual explanation for the stock sell-off is that investors were confused by the U.S.-China agreement to resume trade negotiations. Q. So, will the Federal Reserve's main policy-making body (the Federal Open Market Committee, or FOMC) still raise interest rates wh Show less Read more
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