- The Washington Times - Tuesday, June 5, 2012

ANALYSIS/OPINION:

After the employment report for the U.S. came out last Friday, stocks posted their biggest losses of the year (“Politics and more at play in painful job numbers,” Web, Sunday). The Dow dropped 274.88 points to 12,118.57, turning negative for the year. The dollar retreated against the euro and yen. The yield on the 10-year Treasury note fell to 1.467 percent, falling below 1.5 percent for the first time. Crude-oil dropped 3.8 percent.

However, the most sobering data comes from the international stock markets. The stock value of more than 10 nations, including Spain, Italy, Britain, France and Canada, has plummeted. By contrast, the Dow is down a mere 3.14 percent.

We’ve not seen numbers such as these since the Great Depression. Worse, this is all being done on speculation about the Greek market’s impact on the euro.

Two things to keep in mind as world markets are tanking: The “full faith and credit of the United States” is what is keeping America afloat, and we’ll reach the federal statutory debt-ceiling limit once again sometime this fall. Neither of those points is very reassuring as 2012 continues to be just as volatile as it has been.

MELISSA KENNEY

Kents Store, Va.

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