Obama fiddles while the economy fizzles

Obama, "it’s the economy, stupid!"--Bill Clinton

Obama uses stimulation funds to stimulate teachers unions. Rewarding unions does not stimulate the economy, stupid!

Rewarding the indigent with bigger welfare payments does not stimulate the economy, stupid!

Three GM chairmen in one year does not indicate good socialist government management of GM, stupid!

Digging a $850Billion health care debt hole does not help the economy or show savvy business acumen, stupid!

Dropping the Yucca Mountain nuclear waste facility does not help reduce US dependence on oil, stupid!

Buying US windmill farms of inferior communist China quality wastes America's money, stupid.

Americans are getting tired if Chinese pet foods that kill pets, Chinese building products that destroy homes, and touted efficient lighting products that have less than a third the hours of life the communists advertised, stupid.

Stimulating communist sales to the US is stupid, stupid.


World Outlook
Iceland socialist demonstrators protest against having to repay the $5.7Billion in British and Dutch bailout.

Communist protest Greek cutbacks in government subsidies of unions.


Week of Market Reports:
U Michigan Consumer Sentiment - Final Feb 26 level was down only 0.1% to 73.6%. That indicates the preliminary Consumer Confidence index that had been down 10.1% to 46%was probably wrong.

International Business Machines Corp., the world’s largest computer-services provider, laid off 500 workers in the U.S.

Personal income increased 0.6% in February, the second consecutive gain, while spending rose 0.3%, suggesting continued economic recovery. The Commerce Department said incomes totaled a seasonally adjusted annual rate of $4.99 trillion. The March advance followed a 1% gain reported in February that had been revised down slightly from an earlier estimate of 1.1 percent.

ISM Manufacturing Index shows manufacturing continues to expand. The expansion was slower; 56.5 compared to 58.4 for January 2010. Anything over 0.5 is expansion.

Construction sector spending is contracting at a half the December pace. January construction spending month over month was -0.6% versus -1.2% in December.

Auto sales for January exceeded expectation but are still well below 2008.

Unemployment Claims- ADP Jobs Report showed non-farm private employment decreased 20,000 from January to February 2010 on a seasonally adjusted basis. That employment decline was the smallest since employment began falling in February of 2008. If the recent trend continues, and given first-quarter GDP growth of 5.9%, private employment could rise next month for the first time in two years.

The ISM non-manufacturing index rose to 53% in February from 50.5% in January, marking the best reading since December 2007. Anything greater than 50% signifies growth of the services sector.

Productivity rose 6.9% in February after rising 6.2% in January.

Yesterday
Pending Home Sales- unexpectedly fell 7.6 percent in January after a revised 0.8 percent increase in December, showing the extension of a tax credit is sparking little interest. Snowstorms in February probably limited contract signings and sales.

Bookings for capital goods excluding aircraft fell 4.1 percent after a revised 3 percent gain in December that was smaller than previously estimated, figures from the Commerce Department showed today in Washington. Total factory orders increased 1.7 percent, in line with forecasts, boosted by a surge in commercial aircraft demand.

Friday, March 5:
The Labor Department said today that nonfarm payrolls fell by 36,000 compared with a revised 26,000 drop in January. The January figure was revised from an originally reported 20,000 decline. The unemployment rate however remained at 9.7% as some unemployed use up their coverage and are no longer counted.


Market Outlook March 5

Bill Clinton said, "It’s the economy stupid!"
Obama believes, "It is not your money, it is the governments money that that government lets you use. ""From each according to his ability to each according to his need." Obama showed he is a communist at heart when he befriended the Venezuelan communist Chavez. The Democrats must stop Obama's political ambitions if the Democrats are to have credibility as a future major party.

Today the WSJ reported the market is finally up for this year. We see the averages as possibly rising 4% more in the next few months.

Asian markets were up over night; Shanghai up 0.3%, Hong Kong up 1%, India up 0.1%, and Japan up 2.2%.

European markets are up in the range from 0.4% to 1.3% this morning about half way through their day.

Today US pre-market futures are up slightly at +0.3% at 9:00 AM EST.