I think it will be good to see more of the US Blue Chip "weak hands" get exposed in the face of less 401K investment. Think about the majority of American 401K investing. People don't know where the hell to put their cash, so they fork it over to some massive retail brokerage unit that, by default (in most cases), sticks it into blue chip US stocks, i.e. Dow components. There has been an historical amount of capital flowing into these companies for decades, based on this poor premise. Look at how most of them are fairing now. Ford, GM, BAC, C, GE.....all completely pissed away shareholder money that has been accruing for decades by lax spending habits, and extraordinary risk taking. They just took your cash, stuck in in retained earnings, and said "look at how amazingly profitable we are!(thanks mostly to all of the indescriminant share-buying by milions of 401K investors)"
It's been nothing short of a scam, in and of itself, and now many financially-illiterate investors are stuck with portfolio of dead, former blue chip US stocks. Think about how long some of these companies would've lasted, had they not had a steady flow of share-buying for the past 40-50 years by retirement investors, twice a month (the 1st and the 15th, taken directly out of investor paychecks and transferred to company balance sheets). Many of them would've bit the dust a long time ago due to inefficiencies in the business model. I'm not saying all US bluechips are bad, because they're not, but most of them have been bleeding out investor money for decades, not giving a damn, and now have their heads on the chopping block, screaming to the govt for mercy. I hope the average US investor takes note of this crisis, and never ever hands money away to these types of companies that operate on a tenure system, only to crumble when the going gets tough, and destroying the wealth of the hard working American people.
