Fundamentally, with governments all over the world bailing out major banks, even natinalisng them, Iceland a country on the verge of bankruptcy, I doubt the financial crisis has been blown out of proportion. In fact I would say most people are still failing to understand the severity of the problem.
Price wise, in percentage terms we haven't even broken the biggest one-day crash record (based on DOW), nor the weekly (on a rolling basis), nor the monthly. Market is just doing its usual ebb and flow. Out of proportions? I don't think so.
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