Obama deficit already eclipsed Bush's eight year two term deficit.

Obama deficit already eclipsed Bush's eight year two term deficit. But Obama continues blame others.

Obama complained about the Bush deficit needed to end the Clinton DotCom implosion-recession of year 2000. After whining for three years Obama is running a "sovereign Debt" deficit four times higher the Bush's highest deficit and ten time higher than Bush's average deficit. Obama deficit already eclipsed Bush's eight year two term deficit.

Good quarterly earnings reports are expected now.
World Markets:

The reports do not indicate a declining economy but rather a slower growth rate.

Economic Calendar
Last week
The US markets bounced about 6% and world markets rose about 4.5%. It was a good week and did you notice that Jim Cramer was on vacation. Let's hope he takes off this week too.

Even "GE/MSNBC/Pravda/Mein-Kampf" seems to be starting to distance itself from Obama lately. Americans need to vote all the bums out.

This week
Trade Balance May exports rose 2.4 per cent to 152.3-billion (U.S.). Imports rose even more, pushing the trade deficit to $42.3-billion – the largest gap in nearly two years. The U.S. hasn’t run a trade surplus on an annual basis since the 1970s, partly due to a dependence on foreign oil imports. The China surplus indicates China can let the dollar depreciate further because China is strong and Better worldwide trade would help world recovery and future Chinese growth.
Treasury Budget Jun: The U.S. government ran a budget deficit of $68 billion in June, the Treasury Department reported Tuesday, and said that the deficit was a little more than $1 trillion for the first nine months of fiscal year 2010.
Income was $251 billion in June, the Treasury said, about $36 billion higher than receipts in June 2009, due largely to a 39% increase in corporate tax receipts. Spending was $319 billion in June, versus $309 billion a year ago.
The monthly deficit is the 21st consecutive budget shortfall but is well below the year-ago figure of $94 billion.
As many as 2.5 million workers will have been cut off by the end of this week as a result of inaction by Congress, according to the National Employment Law Project.

Retail Sales declined -0.5% after declining at a -2% rate last month. Good, not as deflationary.
Retail Sales ex-auto Jun declined -0.1 % also good, not as deflationary.
Export Prices ex-ag. Jun declined -0.2% after increasing 0.5% last month. Good, more competitive
Import Prices ex-oil Jun decreased -0.6%. Not good, both non-competitive and deflationary.
Business Inventories for May increased 0.1% vs 0.4% last month. Good, inventory build-up slowed.
Crude Inventories 07/10 Declined another 5M this week. Oil prices will rise as Americans travel more at home.
Minutes of FOMC Meeting. Rates are being held as inflation has not ignited. This is getting dangerous and unstable. The FED must soon raise rates and ignite some inflation to begin consuming the dangerous deficit Obama is running.

Initial Claims 07/10declined to 429K from 458K. Good, layoffs are declining.
Continuing Claims 07/03 increased to 4681K from 4413K. Bad, Obama stimulus is not creating any jobs yet and probably never will. Dump Obama socialists!
PPI Jun - declined 0.5% on top of the decline 0f 0.3% last month. Probably due to low energy prices this past month.
Core PPI Jun increased 0.1% after a 0.2% increase last month. A little more inflation is good at this point.
NY Fed - Empire Manufacturing Index July- slowed to 5.08 from 19.57 indicating slower expansion in manufacturing as inventories get back to normal. This is normal recovery.
Industrial Production Jun slowed to 0.1% from 1.3% and again normal as inventory builds.
Capacity Utilization Jun held constant at 74.1% confirming stabilization as inventories approach normal levels again.
Philadelphia Fed Jul 5.1 down from 8 further confirmation of production stabilized.

Today to come:
Jul 16 8:30 AM Core CPI Jun
Jul 16 8:30 AM CPI Jun -
Jul 16 9:00 AM Net long-term TIC Flows Apr -
Jul 16 9:55 AM Mich. Sentiment Jul

Market Outlook July 16, 2010
The Chinese have been reading this blog for some time and I have figured out how to translate so of what they have said in their comments. It was positive and reads like Confucius' sayings.

As you know two months ago we predicted the market would top about now. The market topped shortly after our prediction instead of waiting as we expected. The top was early and mistaken because it was an incorrect double-dip conclusion that has not materialized. But we predicted a top about now because the Obama tax increase begins in January and that is in six months. 

If the market is going to advance this year it needs to break out on the upside soon. But summer is always slow and this year Americans are driving more and exploring America. More vacations than normal are occurring in summer this year.

World Markets
Asian markets were cautious last night. Shanghai flat -0%, Hong Kong flat -0%, India up 0.3%, and Japan down -2.9%.

European markets are up in a range of about 0.2% to 1% this morning about half way through their day.

US pre-market futures are flat this morning again.