Stock Market Ticks Up On Obama Speech

How incredibly ironic. Obama gives a speech, the market in health insurance stocks jumps up ... and it's bad news for Obama and the liberal Dems. Without the liberal votes demanding a public option, the Democrat's main play here is dead. I knew this guy had to make at least one Market friendly speech before he was done! heh!

NEW YORK (Reuters) - Shares of U.S. health insurers climbed on Thursday as analysts said President Barack Obama's highly anticipated speech urging Congress to act on health reform revealed no "game changers."

Analysts also deemed the possibility of a public plan that would seriously undermine the companies as unlikely following the speech.

Obama called for quick action on a broad healthcare overhaul in his prime-time address on Wednesday night.

But the speech contained nothing unexpected, said Steve Shubitz, an analyst with Edward Jones.

"There wasn't anything said that is drastically changing the outlook as to what might come out of Congress," Shubitz said.

The prospect of dramatic overhaul of the healthcare system has pressured health insurer shares throughout the year.

Comments

[Beth Frederick]

Fact checking the President's speech:

http://crosssection.wordpress.com/2009/09/10/show-me-the-money/

[IslamoLlama]

So, speaking of things that are up, up, up - http://www.actblue.com/entity/fundraisers/19079

Joe Wilson's opponent in the 2010 race is sitting on a giant pile of money. $80k and rising.

Also, you maybe kinda sorta might want to consider the specter of the "Insurance Mandate". For all the hand ringing about a public option, there is a lot of money to be had in compelling large businesses to insure all their employees. So maybe you have absolutely no idea what is in the Obama health care bill or how it affects the insurance markets.

Of course, I'm sure there's no way you'd make such a massive miscalculation in stock prices. After all, where else would you be making all your money, what with being unemployed and all?

[North Dallas Thirty]

For all the hand ringing about a public option, there is a lot of money to be had in compelling large businesses to insure all their employees.

Not really, since the vast majority of large businesses already do.

But, by levying a massive tax on small businesses and self-employed individuals, insurance mandates represent a great opportunity for larger businesses to have government knock smaller competitors out for them.

Pity Obama couldn't simply provide tax relief to those who choose to buy health insurance themselves, which would have the salutory effect of getting BOTH small and large businesses out of the insurance game. But the poor 9/11 Truther Obama just doesn't think clearly and intelligently.

[Ran]

Could the markets be up because... the speech added nothing new and was thus portended the effort's impending collapse?

Could the markets be up because... BigGovernment.com is exposing IslamoLlama's employer, and thus portend the Administration's Waterloo?

[john]

Llama,

I would like to point out that the district they are in is roughly R+9.

Assuming that there are no major changes in the next year the political environment is seriously trending republican. The amount of free publicity and name recognition this will garner him is probably worth at least a couple hundred thousand.

This is going to be forgotten by all but the most avid politicos within two weeks and he's going to probably end up as something of a folk hero amongst the constituents that do remember.

[Lala]

Most large companies self-insure. They hire an insurance company to process the claims but they don't pay premiums to the insurance company.

[mark l.]

"Joe Wilson's opponent in the 2010 race is sitting on a giant pile of money. $80k and rising."

that's funny...

i look at the last off year election, 2006, and he wins the seat 63-37. That was a very 'favorable' year to run as a democrat, and the dems still got slaughtered.

note that the district is 70% white.

[Rich K]

Whatever happens is still at best 3 to 4 years out so theres lots of time for the Insurance companies to find the niche they need to stay around (lobby their asses off).Now if the theme to all this was to make health insurance avaliable across state lines with no mandates allowed by individual states then they might be worried because god forbid that might make them drop prices to compete with each other in a fair way to the consumer.Just like life and car and home insurance companies do.

[IslamoLlama]

"-- Llama,

I would like to point out that the district they are in is roughly R+9.

Assuming that there are no major changes in the next year the political environment is seriously trending republican. The amount of free publicity and name recognition this will garner him is probably worth at least a couple hundred thousand. --"

And yet in 2008, Rob Miller takes 46% of the vote. And that was trailing in fund raising by 4 to 1. I'm sure if he's smart he'll be able to leverage Miller's Macaca moment into a solid win.

That is cute, going back to '06 to look for returns Mark I. I mean, really adorable. Maybe you'd like to reference '04 and '02? :-p

Hey, maybe he'll win and may he won't. But it'll be fun watching the GOP funnel money into what was supposed to be a super safe district as they play defense in deep red states.

[john]

That's one way of thinking about it Llama; another is that the Dems. are funneling money into a lost cause and not to vulnerable but winnable seats.

[sooze]

Funny. I was at my stockbroker's office yesterday and Obammy came up in conversation. He says the O will pretty much be neutered in the next few months and just watch that market rise! I made money today. Thanks O--keep on talking....

[Ad rem]

Sooze...

Exactly! I'm watching my ETFs soar.....thanks Bammy!

[Lala]

Made money today.

[Lala]

Make your money now because Iwon is going to make ANOTHER speech on Monday

http://news.bnonews.com/6tm5

[Lala]

Boeing sounds good - one plant voted out the union

http://seattletimes.nwsource.com/html/businesstechnology/2009842237_webboeing10.html

[Ad rem]

Lala,

Check out EPP (iShares MSCi Pacific ex-Japan)...it's heavy in global "resources", and it's had an excellent year. It's been "Barry, Barry, good to me"...;-)

[Lala]

Will do, thanks.

[Lala]

And, he'll be on 60 Minutes on Sunday.

[Ran]

No fair. You guys invest - and risk money - while losers such as islamollama are stuck waiting for minimum wage ACORN checks. Have you No Decency?

[13yankeebravo]

Miller's campain is over 400,000 in debt, so his windfall did not even clear his debt.