Corrupt Obama officials could face criminal investigation too given that Obama claimed the Obama administration officials were approving all of BP's d

Corrupt Obama officials could face criminal investigation too given that Obama claimed the Obama administration officials were approving all of BP's decisions.

Socialist countries are thoroughly corrupted with systems that require dozens of permits to operate businesses (bribes). That is why few American companies venture into Russia. The bribes are very high. It costs $4million just to get President Putin's support for a shopping center. A car wash is less expensive but Putin won't come to cut the ribbon for that. That is what it would be like in Obama's new socialist state. His wife's salary was doubled and her employer got several $million in federal funds when Obama became a senator. Now Obama has a multi-$trillion slush fund.

Last week Obama made it clear that his administration was not asleep at the wheel as everyone had thought but had actively participated in and had approved all BP procedural changes. Therefore if the changes are criminally prosecuted the Obama administration officials could be implicated, summoned, and possibly criminally prosecuted as well. That is great news.

Oil service stocks brought down the stock market yesterday as the Obama oil spill continues out of control.

Compare for yourself the level of consumer confidence and don’t believe the ignorant and corrupt socialist GE/MSNBC/GeorgeSoros/Jim Cramer/Pravda that spun this negatively last week. GE/MSNBC/Pravda is out to destabilize the free markets and to sink your portfolio with extreme optimism at market highs and extreme negativism at market lows. That is how they believe they can help Obama make America another socialist banana republic.
http://www.martincapital.com/chart-pgs/Pg_conco.htm

Plot the S&P 500 and you see the resistance level of the previous low on Feb 8, 2010 has not been broken.
http://finance.yahoo.com/echarts?s=%5EGSPC#chart1:symbol=^gspc;range=6m;indicator=bollinger+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined
Feb 8 1056
The same is true for the New York Stock Exchange, NYA
http://finance.yahoo.com/echarts?s=%5ENYA

The same is true for the Power Shares, QQQQ
http://finance.yahoo.com/echarts?s=QQQQ

The same is true for the Dow Jones Industrials, DJI
http://finance.yahoo.com/echarts?s=%5EDJI
Feb 8 9908 May 26 9974

Plot the NASDAQ and you see the resistance level of the previous low on Feb 8, 2010 has not been broken.
http://finance.yahoo.com/echarts?s=%5EIXIC+Interactive#chart2:symbol=^ixic;range=1y;indicator=bollinger+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off

GE/MSNBC/GeorgeSoros/Jim Cramer/Pravda want you to sell now.

World Markets:

The Baltic Dry Index is showing resurgence in world trade. Demand for commodities is finally rising again just in time to cancel a double dip recession. Export growth has stimulated the American economy.
http://www.bloomberg.com/apps/cbuilder?ticker1=BDIY%3AIND

We believe that for now the market decline is spent with multiple tests of the market resistance points.


Economic Calendar

Personal income increased $54.4 billion, or 0.4 percent, and disposable personal income increased $57.6 billion, or 0.5 percent, in April, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) increased $4.0 billion, or about 0.1 percent.
9:55 AM U. Michigan Consumer Sentiment May increased to 73.6 from 73.3 last month.

The economic recovery gained strength on the greatest rise in construction spending in a decade and the 10th straight month of expansion for the manufacturing sector. Industry spending rose 2.7 percent with gains in all major sectors, the Commerce Department said Tuesday. In the manufacturing report, the group's employment index, which measures employers' willingness to hire, rose 1.3 percentage points to 59.8. That was the highest level since May 2004. New orders, a gauge of future production, were unchanged at 65.7. "We haven't lost much in the way of momentum," said Norbert Ore, chairman of the ISM's manufacturing survey on a conference call. "The manufacturing sector continues to move ahead."

In a separate report Tuesday, the Institute for Supply Management, a trade group of purchasing executives, said that after a nearly six-year high in April the 59.7 reading for May was again well above the 50 level that indicates expansion. Export orders rose last month despite the debt crisis in Greece.

Government spending rose 2.4 percent aided by multi-trillion dollar boondoggle Congress passed in February 2009. State and local spending jumped 2.3 percent and federal spending rose 2.9 percent.

Residential construction spending surged 4.4 percent in April. The other major sector, nonresidential construction, climbed 1.7 percent. That marked the first advance in this category since March 2009. The strength in April came from gains in private sector work on communications projects and power generation facilities. Construction of office buildings and the category that includes shopping centers fell in April that is good to reduce the glut.

Homebuilders have expressed optimism that construction will keep improving even with the expiration of the homebuyer tax credits. Luxury homebuilder Toll Brothers Inc. confirmed last week that it had a narrower loss in its latest quarter and had seen a surge in new home orders. The company said the strength in orders was holding up in May even though the homebuyer tax credits had come to end. Pulte Group Inc., the nation's largest homebuilder, reported in early May that it had been able to reduce its loss for the first quarter and expected to be profitable this year. That would mark a major turning point for the company, which has posted losses in 14 consecutive quarters.

This week:

Challenger reports job cuts announced by U.S. employers declined 65% in May, indicating the labor market is improving.
Jun 2 10:00 AM Pending Home Sales Apr
Jun 2 10:30 AM Crude Inventories 05/29
Jun 2 2:00 PM Auto Sales May
Jun 2 2:00 PM Truck Sales May

Jun 3 8:15 AM ADP Employment Change May
Jun 3 8:30 AM Productivity-Rev. Q1
Jun 3 8:30 AM Unit Labor Costs Q1
Jun 3 8:30 AM Initial Claims 05/29
Jun 3 8:30 AM Continuing Claims 05/22
Jun 3 10:00 AM Factory Orders Apr
Jun 3 10:00 AM ISM Services May

Jun 4 8:30 AM Non farm Payrolls May
Jun 4 8:30 AM Unemployment Rate May
Jun 4 8:30 AM Hourly Earnings May
Jun 4 8:30 AM Average Workweek May


Market Outlook June 2, 2010
The latest test of market resistance levels was the result of the decline in the oil services industry stock prices in lieu of the expected costs of clean up and safety. BP was improving profits by cutting corners on rig safety and that caused the burning to death of 11 people and the death of important fishing seabeds. Since the procedural changes that caused the accident were premeditated, BP executives may have to face criminal prosecution unless they buy off the corrupt Obama officials or if the criminal investigation is extended to include the Obama administration officials who Obama claimed were approving all of BP's actions.

It is estimated that the Obama oil spill will add $60 to the cost of drilling new oil and will reduce the supply as well. That will hurt the off shore oil services industry, raise oil prices, and improve profitability of on-shore facilities.

World Markets

Asian markets were mixed last night. Japan's socialist president resigned due to the economic failures of his administration. Anti-American GE/MSNBC/Pravda claimed it was because he decided not to kick America out just when North Korea is going postal. Shanghai up 0.1%, Hong Kong down -0.1%, India up 1%, and Japan down -1.1%.

European markets are down in the range from -0.5% to -1.3% this morning about half way through their day.

US pre-market futures are up before the start by 0.5% to 0.8%. U.S. Futures are a snapshot of the moment and do not correlate with what happens by the end of the day.