Senate Democrats and the Rally Jude Wanniski September 25, 2002

I have been working at home with my laptop, watching a silent CNBC market screen and listening to WQXR classical music while writing. I saw the market open strong, the DJIA up more than 100, then drop until it was up only 9 or so. WQXR radio on the hour soon thereafter reported that the Senate Democrats had blasted President Bush for "politicizing" the national security issue with his careless, impromptu comments about how Dems don`t seem to care about security. In no time at all, I saw the DJIA climb until it was up 207 points. It did sell off a bit as Senate Minority Leader Trent Lott took the floor and blasted the Dems for criticizing the President. But it is becoming clearer that the Dems are getting more comfortable with this war issue and this is good for financial assets. Gold dropped $3 at the same time, in a confirming move that war is a bit LESS inevitable. The momentum has turned against the War Party. Unless there is a Karl Rove correction, it could show up in the November elections with GOP losses.