What time is Obama’s Speech today?
President Barak Obama’s speech this time will unveil potentially critical data. The Obama speech is set to rock the financial world. The exact time of the Obama speech is set to 7pm tonight, Thursday the 9th of September. Be sure to have your TV sets tuned in to Obama’s speech at this time, because this will be sure to direct trading tomorrow and over the next few days.
What will Obama unveil in his speech this time?
In his speech Obama is set to release a new plan to stimulate the debt-ridden US economy. Earlier today Ben Bernanke issued a public statement that fell short of providing any clear indicators to a market eager for trading signals. His speech triggered a sell off on Wall street, with indices moving further into the red to around the 2% mark. Bernanke was very cagey about any potential government interventions to the US economy. His tone was somber, warning that the economic future is still highly uncertain. Most likely Bernanke didn’t give too much away in order to clear the platform for Obama to announce his much anticipated initiatives. The Financial Times has a detailed analysis of the Obama speech.
The Obama speech is set to release initiatives to create jobs in order to tackle the worryingly high unemployment rate which has not budged form the 9.2% mark over the past month. Last Friday markets reacted negatively to news that the employment figures had remained unchanged.
Obama is undoubtedly hoping for bipartisan support for his upcoming initiatives. After going on record many times following the congress debt debacle, hopefully this time both sides of congress will come together to actually aid the US economy instead of playing dirty politics.
In his speech Obama is hoping that job creation will be save the rickety US economy. Undoubtedly if the plan that Obama will unveil works, more jobs will mean more consumer spending. This in turn will benefit business and lead to more job creation, hopefully leading the negative cycle. Currently the street is still undecided if the US economy is headed for recession, with most forecasters giving the US a fifty-fifty chance.
The Obama speech will need to introduce far more than job creation in order to save the US economy. With the spiraling US debt, the economy is far from healthy. Many investors are worried regarding the true value of the US dollar, which has become incredibly devalued compared to other currencies. This investor concern is the reason behind the extreme volatility of gold prices, which continues to climb to record levels as investors seek a safer currency than that of the devalued US dollar.
What Obama Should Say in his Speech
What is really needed is not just job creation but business stimulation. The true drivers of economies is business. The focus of the US government should be to enhance the US export industries which will benefit from the weak US dollar. This in turn will lead to more profits being brought into the US economy from overseas and will lead to more taxation and hence will decrease the US government debt. Obama should focus on entrepreneurship not just on simply job creation such as infrastructure schemes. Employment several people to build some roads will be only a temporary fix. It’s a bit like giving a cancer patient Tylenol.
Effect of Obama Speech on Market
We will have to wait patiently to the open tomorrow in order to see the effects of Obama’s speech on the stock market. I really can’t say for sure what the outcome will be. If Obama reveals a comprehensive and sound plan as I stated above then likely his speech will lead to a sustained stock market rally.
However if Obama will propose only patch-work solutions, such as simple infrastructure initiatives, the market will most likely be disappointed. This will manifest as a sell off and potentially leading to another stock market collapse.
You can see what actually was said in the Obama speech today.
What do you think Obama will say in his speech?
What do you think the stock market will do tomorrow?
Do you have confidence in Barak Obama?
Participate in the discussion and leave your comments below!