This is Georges W. Bush's speech during his final State of the Union speech in front of the congress.
As the American economy is experiencing major troubles with the subprime crisis, and is on the edge of recession, president Bush asks his citizens to have faith in the American economy: "in a long run Americans can be confident about our economic growth".
That is so weird because I was reading an article about stock exchange that is actually acknowledging George W. Bush vision.
Indeed, people are scared of stock exchange market, especially while as nowadays the market is in crisis. The media report each day what the Dow Jones Industrial Average is doing, but what really matters instead is what stocks do over years: They go up.
If you look at the performance of the stock market over periods of 10 years or more, the stock market is not volatile nore unpredictable. In no 15-year or longer period, in fact, has the U.S. stock market ever failed to generate a profit. But what is important in order to generate this profit it is to stay in the market.
Something even more fascinating.
During the last 10 years, from 1997 through 2006, the stock market was open 2,516 days, And in that 10 year-period, the S&P 500 Stock Index earned an average of 8.4% per year. That’s pretty good. But that’s if you were invested in whole 10 years. If you take away the 15 days in which the S&P 500 made the most money, you would have ended up with zero return
for the 10 years. The entire profit of the whole 10 years occurred in just 15 days!
For once that a French guy is agree with George W. Bush ! ;)
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