Business Publication #1 The Australian

http://www.theaustralian.news.com.au/business/story/0,28124,26083609-643,00.html

This article was an informative piece following up on the statement that Federal Chairman Ben Bernake made yesterday. Bernake told Washington that, "the recession is very likely over at this point." The response this has generated from investors is incredible. As of today all markets are up, some have reached points higher than they have reached in months. The response by investors, over one man's statement is what I found so interesting about this article. I understand that this man is very high up in terms of economic knowledge, but how can one man's opinion generate this kind of response? After his statement he was quick to state that even though the recession is ending, many people's lifestyles will not change. If there are no new jobs and employment statuses are not changing, how can people go out and spend money if there is no promise of new income? Overall I am glad that this statement has sparked some upward movement in terms of the stock market. What worries me however, is how he came upon this theory. If in his statement, Bernake supported his claim with statistical evidence or stock reports I could be sure that this recession is truly over. Now, he may have went into more detail about this in another report, but by reading this report alone I am not sold that the recession is over.