Foreign Socialist, western communists, Communist Chinese, Mexican drug lords, Al Quaeda terrorists and enemies of the US continue to avoid disclosure

Foreign Socialist, western communists, Communist Chinese, Mexican drug lords, Al Quaeda terrorists and enemies of the US continue to avoid disclosure of their contributions to jackass candidates (half donkey half socialist).

The in the 1990s the socialist Democrats passed the law allowing massive contributions to be divided into smaller credit card and other non donor recorded contributions (less than $200). Most come in odd amounts like $199.23 because they were donated in foreign currencies and converted to dollars. This type of subversive support began with the millions of contributions Clinton received from Communist Chinese and from penniless Buddhist monks and welfare recipients who were used to launder the money from enemies of the United States. You may remember one communist money launderer fleeing the USA back to red China.

World Markets:
Pakistan is beginning to fall to the Muslim terrorists. This is Obama's war of treachery now. Their goal is a Pakistan under Sharia law and possessing nuclear weapons. Ignoramus jackass Obama still thinks, "Never let a major crisis go unexploited." The jackass party creates uncertainty and economic depression by stupidly thinking Americans are as retarded as Pelosi who continues to quote her expert jackass communist advisors who say the fastest way to stimulate the economy is to put all the cash money directly in the hands of Welfare and food stamp recipients.

Since the Jackass party took over they have stimulated marihuana farm investment and drug lord wars fighting over who gets the cash infusion from the Pelosi drug addicts. Since Obama jackasses took power Mexico has become destabilized by the jackass stimulation of their drug trade. The Obama jackass party has succeeded in destabilizing the world because jackass communists know that destabilization is what pushes stupid drug users and lazy people into the communist party. Marihuana growers in California have unionized their business to get jackass party support and Teamster Union funds to sue American states to legalize marijuana.

Brazil stocks are near bubble levels now. The price of Silver is a jackass bubble as are many commodities because the world believes the jackasses want hyperinflation like what helped Nationalist Socialist Hitler take power and International Socialist Stalin consolidate power. Jackass Socialist Obama hopes to create a legacy and he needs to first create his "Great Jackass Depression" that he will later claim Bush created and he fixed.

The Dollar is declining as QE2 (quantitative easing) announcement approaches on Election Day. The FED will repurchase $trillions in treasuries. That means the printing press will be running to repay the Chinese and others who were buying treasuries. But because interest rates are so low on treasuries the inflation adjusted value will go negative. Initially the value of treasuries will go up but then money will flow into commodities because eventually treasuries will be eroded inflation. It is highly likely the average investor will understand what is happening and will then flee US treasuries primarily to commodities which is already driving up the commodity sector of the stock market.

Now is the time to abandon investments in Treasuries and Corporate Bonds and to get back into real estate not gold or commodities that are priced so high now that they could slow down the economic recovery. Interest bearing bonds and treasuries will collapse in value as inflation caused interest rates to gradually rise. Therefore US Treasuries and corporate bonds will drop in value in proportion to the rise in interest rates. When interest rates are double the bond values will be halved.

A side effect of interest rates slowly rising with a Republican Congress will be the 1990s euphoria of a return to balanced government budgets and national productivity improvements. Under a continuing Obama jackass Congress unemployment will rise and stagnate, sate and federal government deficits will continue to grow, inflation will get out of control, and American money will flee into Swiss and offshore safe havens.

Economic Calendar
Last Friday
Nonfarm Private Payrolls Sep declined by 94,000 jobs vs the decline last month of 54,000. Very bad!
Jackass Unemployment Rate Sep - Remained at 9.6% even though real unemployment rose to 17%
Hourly Earnings Sep rose at a dangerously low zero %, down from up 0.3% last month.
Average Workweek Sep remained at 34.2 hours
Wholesale Inventories Aug rose 0.8% (not good), after rising a worse 1.3% last month.

Today
Oct 12 2:00 PM Minutes of FOMC Meeting 9/21

This week
Oct 13 7:00 AM MBA Mortgage Applications 10/08
Oct 13 8:30 AM Export Prices ex-ag. Sep
Oct 13 8:30 AM Import Prices ex-oil Sep
Oct 13 10:30 AM Crude Inventories 10/09
Oct 13 2:00 PM Treasury Budget Sep

Oct 14 8:30 AM Initial Claims 10/09
Oct 14 8:30 AM Continuing Claims 10/02
Oct 14 8:30 AM PPI Sep
Oct 14 8:30 AM Core PPI Sep
Oct 14 8:30 AM Trade Balance Aug

Oct 15 8:30 AM CPI Sep
Oct 15 8:30 AM Core CPI Sep
Oct 15 8:30 AM Retail Sales Sep
Oct 15 8:30 AM Retail Sales ex-auto Sep
Oct 15 8:30 AM NY Fed - Empire Manufacturing Survey Oct
Oct 15 9:55 AM Mich Sentiment Oct
Oct 15 10:00 AM Business Inventories

Market Outlook Oct 12, 2010
We continue to recommend taking stock market profits and moving into real estate or real estate investments where the corporations have lots of cash. Debt will be under unrelenting pressure the moment interest rates start to rise and we know the FED is going to push up inflation to try to avoid a jackass Obama Depression.

But if the jackasses in Congress are thrown out of office QE2 may be so small and the American liberties may be victorious over jackass socialist regulation and tyranny and therefore the commodity prices could return to normal (the gold and commodity bubbles would collapse).

The FED is trying to raise inflation expectations to unleash the cash being held back by businesses due to Obama's incoherent policies. But such a move is just another jackass socialist idea. This is similar to the situation with FDR in 1939-40. Japan recently said it would do the same thing to end 20 years of dis-inflation. The market rallied and QE2 may very well raise inflation. But we already have a commodities bubble. The steep rise in all commodity prices will be an inhibitive cost of doing business and business will need to borrow and up leverage instead of de-leveraging. Ultimately, if the jackasses are thrown out next month the threat of hyperinflation will be avoided and inflation of 2% or 3% will burst the commodity bubbles. But it is difficult to say how big the bubble could get before investors feel confident the jackass socialists democrats will be thrown out of office. It already stands to lose more than 50% of the gains of the past month. That is why we say to take profits.

The cost of new construction will rise and housing prices would recover if done gingerly. The best we could hope for is if the FED says they already secretly started QE2 and caused this present run-up. If that is the case then the will look like geniuses and the FED will appear in full control the economy and market psychology.

Something like QE2 has either never worked before, or has never been done correctly before, or was done secretly and possibly worked before. The best way would have been to do it secretly. Lets hope the FED says it already secretly started QE2.


World Markets
Asian markets were down last night. China's market up 3.1%, Hong Kong down -0.4%, India down -0.7%, and Japan down -2.1%.

European markets are down this morning in a range of about -0.1% to -0.7% about half way through their day.

US pre-market futures were down -0.3% to -0.4% at 8:00 AM EST.