White House begins to create a Black List of critics they want removed.

Market Outlook

Bob Brinker retracted his bottom pronouncement of Jan 15 and now hints the bottom could come in six month and says 2010 is when the FED says recovery will begin. He says he believes this is the worst market since 1974. That is what we have been saying since October 2007. We are repeating the 1970's when we had the Oil Embargo and Jimmy Carter's pessimism, malaise, environmental Kookery, stagflation, 3000% rise in the price of Gold, and 21% CD interest rates. That is why we do not support Obama's careless spending which will potentially cause near-hyperinflation for the first time since the Revolutionary War in 1780.

Despite warnings from the Federal Reserve that a near-term improvement in economic conditions is unlikely, yesterday's bargain-hunting rally held through a sell off in the last hour with the Dow almost rising to the 7,000 threshold and the S&P again above 700. The CBOE Volatility Index (VIX) was down 9.8% to 46.6% (still panic levels), indicating that investors seemed a tiny bit less worried about the health of the markets yesterday.

The cash flow into the US markets Wednesday was low. At this time we have no indication of when the market could form a new bottom. It will depend on when Obama stops trashing the American free market and Capitalism or when investors begin to ignore Obama and his administration. It is quite possible that Americans will have to go send a Republican Congress to Washington in 2011 with a mandate to impeach Obama if he continues trashing America.

Asian stocks were mixed again last night with Shanghai up 1.04%, Japan up 1.05%, India down about 2.9%, and Hong Kong was up about 1%.Today European markets are sharply down in the range between 2% to 2.5%. American market futures are currently down significantly (90 pts. on the DOW) two hours before the market opens.

Black Listing

Obama has a plan called socialism. Emanuel apparently is in charge of the White House KGB type black listing of economists, conservatives, Republicans, and believers in conventional marriage and life including Rush Limbaugh, Jim Cramer and others who point out that Obama knows nothing, nothing, nothing!

Yesterday Obama critics had a field day pointing out there is no profit-earnings ratio as Obama called it. It is called price-earnings ratio. Obama attributes the recent criticism of him to too much caffeine.

Angry gay socialist activists in Austin, Texas have already published their own blacklist that is basically much the same as Ron Emanuel's new White House list. Rush continues to poke fun of Emanuel's makeup and Barney Frank's cultivated lisp as distractions to the anger they direct against the American economy, business leaders, nuclear scientists, achievers, and hard workers, and the American way. The White House now says America can no longer be different from the rest of the world.