Why is Obama covering up terror in the Gulf of Mexico?

Why is Obama covering up terror in the Gulf of Mexico?

BP Plc plunged the most in more than a year on concern the costs of containing a worsening oil spill in the Gulf of Mexico will escalate. BP Plc, Transocean Ltd. and Cameron International Corp. plunged after the U.S. Coast Guard said an oil well in the Gulf of Mexico is now leaking five thousand barrels a day. It is odd that the leftists opposed American offshore drilling and a week after Obama said it was ok an oil well blows up?

Decisions by homeowners to walk away from mortgages they can afford (but are underwater) are accounting for an increasing share of defaults, according to Morgan Stanley. They have reached 12% of mortgages, twice what Goldman told investors was the probable default rate and it is just one component of defaults.

Motorola, the largest U.S. mobile-phone maker rose in price after reporting no major loss for the quarter Palm Inc. surged 25 percent after Hewlett-Packard Co. agreed to buy the maker of Pre phones for about $1.2 billion or about 3X what it is worth. Now Motorola can be expected to be the next to go out of business due to short sellers.

P&G Quarterly Profit rose while Colgate's Profit fell.
ExxonMobil Net Income Climbed 38% on high oil prices bid up by futures traders.


Week's Economic Calendar

The Treasury bill auction held another record breaking amount as nearly 150 billion were auctioned between 3 months to 7-year duration. The overall Bid/cover has been very healthy at 2.9 and even with Chinese sitting out. America is falling deeper into debt at the fastest rate since the last World War against the Nazis and the Japanese imperialists. But the leftists in Greece are rioting and that makes America a safer haven for cash even with Obama socialists running amuck.

Housing 20 city Price Index showed home prices in six metropolitan areas were at their lowest levels in February since 2003. It was the fifth month of uninterrupted decline but was spun positively by the corrupt Wall Street media.

The Conference Board’s confidence index rose to 57.9 which is statistically the same as it was three months ago and yes as low as when Wall Street imploded. The measure was at 110 in 2007 almost double what it is today. You don't need to listen to Wall Street lies; you can get to make an honest assessment yourself by plugging in the new data at the following site.
http://www.martincapital.com/chart-pgs/Pg_conco.htm


FOMC announcement: The FED signaled again that sustained job gains would be needed before the FED ends free-money commitment to bankers. There is a basic problem with the FED strategy. It was the strategy during the Jimmy Carter administration and it gave high unemployment with high inflation. It resulted in a "discomfort index" which was the sum of inflation plus unemployment.

One way to lower the "discomfort index" is to kick the unemployed off of unemployment so many fall off the unemployment roles. Since the U.S. recession began in December 2007, Congress has extended the duration of weekly unemployment benefits for the jobless three times to what is now 99 weeks. By June, hundreds of thousands of Americans will begin receiving their final government check and in short time it is projected to top 1 million.

Democrats who have supported past extensions have mounting concern over the federal deficit, projected to reach $1.5 trillion this year and exceed $10 trillion when Obamacare goes into effect. That is right, the government Obamacare agency stuffed with leftists union members who never held a real job will cost ten times as much as paying unemployed former workers. “You can’t go on forever,” said Senate Finance Committee Chairman Max Baucus, of Montana, whose panel oversees the benefits program. “I think 99 weeks is sufficient,” he said. “There’s just been no discussion to go beyond that,” said Senator Byron Dorgan, a North Dakota Democrat.

The Energy Information Administration reported that U.S. commercial crude oil inventories rose by 1.9 million barrels from the previous week. U.S. stockpiles, which stand at 357.8 million barrels, are over the upper limit of the average range for this time of year. The Oil glut continues because more tankers are being built to store oil in anticipation of rising prices and profits. Tanker storage takes the oil off the market causing oil prices to rise even faster. It creates the unstable disruptive oil price bubbles we have seen in the past. Both transportation and storage costs are a well-known form of waste completely at odds with just-in-time efficient processes. It is a way for corrupt speculators to get around laws meant to stop robber barons from cornering markets. Congress should tax oil tankers and storage facilities because clearly the bubbles it creates and subsequent economic chaos is too high a price to pay.

People around the world are conserving energy and China is rapidly expanding their coal reserves. Crude oil is at the highest inventory level since September 1990. Last week the oil glut was up by another 3.9 million barrels, or 1.1 percent, to 370.6 million barrels, which is 17.2 percent above year-ago levels when the economy was stalled, the Energy Department’s Energy Information Administration said in its weekly report. Yet the price of gasoline is near $3 per gallon. Oil investments therefore are likely to decline as inventories continue to climb. The explosion of a rig in the Gulf will however drive the costs of drilling oil higher.

Of course with oil prices and stocks at a high, Jim Cramer is touting the industry so he can sell his shares at a high profit. He tells the truth when he says he owns them, but like Goldman Sucks he may be selling out and then even shorting oil investments right after he recommends them to his listeners. That makes sense to ethically challenged Wall Street thieves.

This is how Blankenstein and Jimmy apparently make fortunes off their reputations for making money. First buy today for my personal trust accounts, pump them tomorrow to my listeners and clients, dump them when they go up to my target level and my clients think I am a genius, and then short the recommendations if my listeners and clients drive the price up too high on my stupid recommendation. Jim Cramer even has a make believe jail sell for corporate executives who know his game and will not play along to profit by back stabbing the suckers who believe in them.
Yesterday
Unemployment claims
The number of people filing an initial claim for unemployment benefits declined by 11,000 in the week ended April 24 to a seasonally adjusted 448,000. It has begun to be reported that census workers get paid a few weeks for training and for a few weeks of work but then they are laid off by the government and are ineligible for unemployment. This is claimed to be one way some people are kept off of unemployment. Government jobs under socialism have always been based on what political party you belong to, do you carry the party's red flag at demonstrations, and who do you know in the local party commissar. That is what socialism is all about. It is a permanent underclass subservient to the party dictatorship. It is the redistribution of poverty. It works only if the whole world is socialist so no one knows that there is a better system of government. That is why all the demagogues hate America. They hate the example of innovation, tolerance, prosperity, and personal liberty that America sets as an example of a democratic republic based on laws not rigged 99% favorable "democratic" votes for a stupid drooling slob like Chavez in Venezuela.


Friday, April 30:
GDP
Mich. Consumer Sentiment


Market Outlook April 30
The market was up yesterday on lower volume again indicating the volume adjusted top is still in place.

World Markets
Asian markets were up last night; Shanghai up 0.1%, Hong Kong up 1.6%, India up 0.3%, and Japan up 1.2%.

European markets are flat in the range from -0.4% to 0.3% this morning about half way through their day.

Again today US pre-market futures appear highly manipulated again and are therefore meaningless disinformation just like the manipulated trade volumes reported so often. We will no longer report data that is so easy to corrupt. It is even worse than the EPA's global warming data, which if believable would have the world in a state of panic.

John P. Hussman, Ph.D. this week says:
"As of last week, our most comprehensive measure of market valuation reached a price-to-normalized earnings multiple of 19.1, exceeding the peaks of August 1987 (18.6) and December 1973 (18.3). Outside of the valuations achieved during the late 1990's bubble and the approach to the 2007 market peak, the only other historical observation exceeding the current level of valuation was the extreme of 20.1 reached just prior to the 1929 crash. The corollary to this level of rich valuation is that our projection for 10-year total returns for the S&P 500 is now just 5.3% annually. "

This week by Streetsmart Sy Harding @ http://www.streetsmartpost.com/2010/04/27/the-stench-worsens/
Headline Monday "Are Major Financial Firms Manipulating the U.S. Market?"
Headline Tuesday “The Stench Worsens!”