Who respects Larry Kudlow?
August 25th, 2008Over at The Corner, Larry Kudlow writes:
Are the Denver Dems Downing Stocks?
Are the Denver Dems downing the stock market today? The Dow is off 230 points, starting right from the get-go. So-called market analysts are blaming financials and the credit crunch as they always do. But there’s more.
…
With the Denver Dems strutting their stuff, this could be a bumpy week for stocks. Did anyone say free-market capitalism is the best path to prosperity?
To which, the obvious reply is: No.
Clinton: +225%; Bush: +7%
This is not analysis, but, contra Kudlow, at least it’s not bullshit.
Update: Here is some (sort of) analysis; if Kudlow were right, which he isn’t, the DJIA would be highly correlated with the InTrade Dem08 contract (assuming some that both markets have reasonably similar opinions of the odds of having a Democrat win in November). Is this true? Here’s a chart comparing the two indexes over the past year:
