Obama regulations limit capitalism and profits, and require opponents to reveal their sources but allow total corruption as long as it helps him get $

Obama regulations limit capitalism and profits, and require opponents to reveal their sources but allow total corruption as long as it helps him get $Billions in his multiple reelection slush funds. Ted Butler of ETF Daily News, “The reoccurring theme, is that the CTFC Commissioners refusal to enforce the law has signaled to all parties in the physical silver COMEX futures market, the NYSE and all the various other exchanges in which the trading of silver-related stocks and options are conducted, is that it is open season for manipulation of the silver and silver related markets, regardless of how illegal and blatant it has become, and regardless of how damaging it has been and will continue to be to the multitude of small private investors.”

Charming No More: Strauss-Kahn Braces for the Wrath of American Puritanism
— Le Nouvel Observateur

The head of the IMF should be from countries that do the bailing out. The EU’s most socialist countries are the areas that need to be bailed out. Having any group that needs the bailout deciding how much to give of OPM (other people’s money) is a recipe for corruption and graft. Usually it is the USA that historically bails out others.

The influential banking community and unions contribute so much to the $1 Billion that Obama wants to raise for the next election of socialists. Come-on $1Billion to elect a socialist president? That is obscene like the first $1 Billion dollar bonus package for an incumbent! That is sick greed and selfishness at its worst.

World Markets:
The MSCI Asia Pacific Index slid 0.3 percent after Japan reported its economy shrank more than estimated last quarter and Gartner Inc. said Samsung Electronics Co.’s market share in mobile devices declined.

Pakistan's Prime Minister Yousuf Raza Gilani held talks with Chinese Premier Wen Jiabao at the Great Hall of the People in Beijing on Wednesday. They were expected to witness the signing of agreements in fields ranging from banking to defense amid heightened tensions between Washington and Islamabad.

Economic fraud and corruption in China is becoming more visible now as foreign investors begin to take losses. This could be close to the end for China. Russia went through the same thing in the 1990’s before becoming a socialist gangster economy. But China is far more stable than Russia and is trying to understand republics and free enterprise.

U.K. unemployment claims rose in April at the fastest pace since January 2010, underlining the fragility of the economic recovery as government spending cuts and accelerating inflation sap consumer confidence.

German investor confidence declined for a third month in May as faster inflation threatened to curb consumer spending and Europe’s sovereign-debt crisis worsened.


US Economic Highlights
Past Week
NY Manufacturing activity in May plunged to 11.9 from 21.7 last month. Terrible
Net long-term TIC Flows Mar into the USA declined to $24.0B from $26.9B, not good.
NAHB Housing Market Index May was 16 stabilizing at a low of 16.
Housing Starts in Apr fell to 523K from 549K last month.
Building Permits in Apr fell to 551K from 594K last month.
Industrial Production stopped growing in Apr after increasing 0.8% last month.
Capacity Utilization Apr fell 76.9% from 77.4% last month.

Yesterday
The MBA Mortgage Index 05/13 applications composite index increased 7.8% from the preceding week. The rise in the composite index masked a drop of 3.5% in the purchase index. The refinance index posted an impressive 13.5% increase, extending its recent gains over the past few weeks. Mortgage rates continue to move lower, and refinancing has intensified in tandem. It is down from the 8.2% increase the previous week.
Crude Inventories 05/14 held constant at 3.703M which looks like a mistake.
FOMC Minutes May indicate QE2 is being phased out.

Today
May 19 8:30 AM Initial Claims 05/14 -
May 19 8:30 AM Continuing Claims 05/07
May 19 10:00 AM Existing Home Sales Apr
May 19 10:00 AM Philadelphia Fed May
May 19 10:00 AM Leading Indicators

Market Outlook May 19, 2011
The stock market has now broken the lower resistance line. With QE2 ending there is less chance of a bounce. On a cashflow (not price basis) there was no new high after the last breakdown. That is why we are not in the market at this time. This week is critical if the market is headed lower as downward capitulation is more probable at the 50 DMA line.
http://finance.yahoo.com/q/ta?s=%5ENYA&t=6m&l=on&z=m&q=l&p=m20%2Ce50&a=m26-12-9&c=

Obama does not want to balance the budget now before it gets out of control because it’s the economy stupid! Balancing the budget now would help the economy out of the recession after the 2012 elections but would hurt Obama’s going into the election. But if he is the national socialist megalomaniac some say he is, he will try to spend his way into the election and wants to lose anyway so that the Republican that follows him faces the Greek style social and economic breakdown. If the nationalist socialist cannot get respect then he will seek to look better in history by making the situation much worse for the president that defeats him.

World Markets
International trade shows that the world economy has still only revived about 25% not the 70% shown by the stock and commodities markets. QE2 is created the current stock market and commodity bubble. That means more than half of the stock market rise from the 2009 lows is unsupportable and could evaporate quickly. See:

http://www.bloomberg.com/apps/quote?ticker=BDIY:IND

Click on the 3yr chart and see the low flat-line forming.

Asian markets were mixed last night. China down -0.5%, Hong Kong up 0.7%, India up 0.3%, Seoul down –1.9%, and Japan down –0.4%

European markets are up this morning in a range of about 0.3% to 1.3% half way through their day.

US pre-market futures are up today about 0.3% at 7AM EST.