Every intelligent American business and individual is now looking for ways to take profits this year

Every intelligent American business and individual is now looking for ways to take profits this year to avoid the high Obama taxes next year. That bodes well for the market this year. The only hope for next year is to throw every possible leftist out of office in November and cut taxes and government spending.

Commodities rallied as growth in European industrial production added to signs the global economic rebound is strengthening.

World Markets:

Throw the leftist lunatics out is becoming a worldwide cry not just an American phenomena. It will be necessary to claw back the wealth that the state and federal employee unions have stolen from the states by corrupting the arbitrage process and putting in leftist judges. It will also be necessary to try and impeach the leftist judges who have no constitutional right to legislate and tax citizens in most nations that follow the American model. GM union and state and federal worker pension funds must be nationalized and the money used to reduce taxes on the workers who pay the taxes. This leveling of the playing field will provide the incentive for corrupt unions and politicians to join the workers, the only producers of wealth, the only people who can pay their own way and support others. The Tea Party and Republican Party are the real worker's party now and must take office and claw back the wealth that the unions of state and federal workers have been stealing from real workers and our service men. Real workers fund our nation and warriors defend our nation with their lives. It is the leftist lunatic fringes represented by fools like Obama who suggested that the American warriors should be abandoned and have their pensions and health care cut. Every American warrior knows that.

Economic Calendar

Today
Jun 15 8:30 AM Export Prices ex-ag. May
Jun 15 8:30 AM Import Prices ex-oil May
Jun 15 8:30 AM Empire Manufacturing Survey Jun
Jun 15 9:00 AM Net Long-Term TIC Flows April

This week
Jun 16 8:30 AM Housing Starts May
Jun 16 8:30 AM Building Permits May
Jun 16 8:30 AM PPI May
Jun 16 8:30 AM Core PPI May
Jun 16 9:15 AM Capacity Utilization May
Jun 16 9:15 AM Industrial Production May
Jun 16 10:30 AM Crude Inventories 06/12

Jun 17 8:30 AM Initial Claims 06/12
Jun 17 8:30 AM Continuing Claims 06/5
Jun 17 8:30 AM CPI May
Jun 17 8:30 AM Core CPI May
Jun 17 8:30 AM Current Account Balance Q1
Jun 17 10:00 AM Leading Indicators May
Jun 17 10:00 AM Philadelphia Fed Jun


Market Outlook June 15, 2010
The VIX or fear index seems to be subsiding now. See:
http://finance.yahoo.com/q/bc?s=%5EVIX&t=3m&l=on&z=m&q=l&c=

The market had very low volume yesterday and could not sustain the rally due to Greek bonds being rated as junk. Ultimately Greece will have an economic depression if the EU does not bail them out. If the EU does bail out the bond holders then the malaise will overtake the EU. This is a problem that typically takes one or two decades to resolve.

The biggest decline the past month for global equities in 15 months has left stocks at the cheapest level relative to bonds since the collapse of Lehman Brothers Holdings Inc., a sign that shares in the U.S. and Europe may rally or bonds will falter.

Emerging markets and particularly Asian pro-shares continue to be very attractive now. The market has already corrected more than it did in 2004 at the end of the first year after the low point in the last recession. Then the market resumed rising sharply at that time. The Chinese Government said last week that exports out of the country were up 48.5% in May compared to a year ago, the biggest jump in more than six years.

GE/MSNBC/Cramer/Pravda's Jim Cramer told people to sell at the bottom and now he is telling people to buy but that we are in a narrow trading range with the market bottom already in place. Don't believe anything that MSNBC/Pravda talking heads have to say. The only hope now, and it is a growing possibility, is that we throw out most of the corrupt American communists and socialists in November.

World Markets

Asian markets were flat last night. Shanghai up 0.3 %, Hong Kong up 0.1%, India up 0.1%, and Japan up 0.1%.

European markets are up a range of about 0.4% to 0.7% this morning about half way through their day.

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

A positive Chinese export economic report last week, the gains in the euro, and the EC holding low interest rates have turned the markets positive.

We expect some rapid gains (market pops) interspersed with caution as investors realized the end of the world will not occur in 2011 if Americans throw all the leftists out on the streets again after the American November elections.

The alternative is not encouraging. Higher American taxes will allow more money for pretend jobs and corruption. Gradually we will become more like Russia and Europe and lobbyist payoffs to corrupt politicians will be the only way to enter the drilling, mining and energy sectors. They call it regulation but government cannot regulate because government employees are generally incompetent. If they were competent they would not have to know a politician to get a job. Government does not regulate it just sets up hurdles that direct industry to a system of campaign bribes through fundraisers. They run on slush funds. That is what Obama has been doing while oil pours into the gulf. You buy their votes by contributing to their campaigns and favorite charities and hiring their cousin Moe who can't read. Perhaps you make their cousin Moe a partner or a lobbyist.

The bigger the government the greater the corruption and the heavier the burden becomes on the Americans who produce and innovate. Ultimately leftists' governments lose their ability to stay modern except through piracy of innovation. Even the French and Israelis regularly spy on traveling Americans to keep up. We caught the Japanese spying on IBM back in the 1980's just when Japan was at its peak in economic arrogance. Japan was the biggest technology pirate of all and their progress ended when they ran out of technology to steal and we began using other countries to manufacture our products so Japan lost their ability to steal everything first. When America becomes socialist, world progress will slow to the point that starvation, tribal genocide, and wars become the world's greatest preoccupation. When America becomes socialist the world re-enters the dark ages.