Wall Street has been holding its breath since mid-July due to fears about the fate of Fannie Mae and Freddie Mac. Today, investors finally exhaled and started buying.
Overseas stock markets surged Monday and the Dow and S&P 500 both skyrocketed more than 2%.
It's now worth asking: Was the Dow's low point of 10,962.54 on July 15 the bottom?
"Hopefully, this bailout will be the last thing we'll need for the markets to move forward. This is a huge step in the right direction," said Ted Parrish, co-manager of the Henssler Equity fund.
And if you subscribe to the notion that the economic woes are largely due to the housing mess and credit crunch, it's hard to not be encouraged by the end of the Fannie-Freddie deathwatch.
