Suddenly Obama who did nothing during the BP oil leak is claiming he masterminded the execution of Osama from the day he took office.

Suddenly Obama who did nothing during the BP oil leak is claiming he masterminded the execution of Osama from the day he took office. Last week he had his wife give up her work on fat kids and concentrate on soldiers wives to get her in on the favorable military publicity too. But behind the scenes Obama is cutting about 24000 soldiers off the payroll every month and unemployment (real) is now over 16%.

Gold and silver metals led the plunge last week. As we said a month or more ago, when it falls it will plunge fast and cascade into margin calls and huge losses for speculators. In addition people who have bought the metal itself will discover the fraud in that there is a non-existing sellers market, just the one-way buyers market. The metal’s marked sells gold and silver you have to go to pawn shops and loan sharks to sell your gold and silver with 30% to 50% commissions when you get out. As we said over a month ago the people buying gold listening to the right-wing radio show gold advertisements could end up losing 70% to 90% buying at the recent highs and then selling to the pawn shops.


World Markets:
European debt and Italian garbage crises still the news this week.

Oil plunged a record more than 8 percent on Thursday, the third record daily drop in a row in dollar terms, as concerns about economic growth and monetary tightening spurred a sell-off in commodities, gold and silver.
U.S. crude tumbled below $100 a barrel in heavy trading volume after weak economic data from Europe and the United States fed concerns that have battered commodities all week.

German industrial orders fell unexpectedly in March.


US Economic Highlights

End of week summary
May 2 Auto Sales May Once again the auto and truck sales news was delayed since it is so bad.
Initial claims 04/30 474K up sharply from 429K last week even after 2K manipulation
Continuing Claims 04/23 3733K up sharply from 3641K even after 18K manipulation
Productivity-Prel Q1 down to 1.6% from 2.6%
Unit Labor Costs Q1 up sharply 1.0% after being stable or a non inflationary -0.6%
Nonfarm Payrolls Apr were up slightly to 244K from 216K. About 400K is needed for recovery to take hold.
Nonfarm Private Payrolls Apr 268K implying that soldiers are returning and are not getting jobs because the private went up but the government went down and Obama is only laying off soldiers as the military cutback continues.
Unemployment Rate Apr increased 9.0% as military draw down continues at 24K per month.
Hourly Earnings Apr increased 0.3% vs 0.0% before Obama manipulation moving the inflation backwards after first reporting.
Consumer Credit Mar shrunk 15% to $6.0B from $7.6B and that should show up as lower sales.

This week
May 10 8:30 AM Export Prices ex-ag. Apr
May 10 8:30 AM Import Prices ex-oil Apr
May 10 10:00 AM Wholesale Inventories Mar
May 11 7:00 AM MBA Mortgage Index 05/06
May 11 8:30 AM Trade Balance Mar
May 11 10:30 AM Crude Inventories 05/07
May 11 2:00 PM Treasury Budget Apr
May 12 8:30 AM Initial Claims 05/07
May 12 8:30 AM Continuing Claims 04/30
May 12 8:30 AM PPI Apr
May 12 8:30 AM Core PPI Apr - 0.1% 0.2% 0.3% -
May 12 8:30 AM Retail Sales Apr
May 12 8:30 AM Retail Sales ex-auto Apr
May 12 10:00 AM Business Inventories Mar
May 13 8:30 AM CPI Apr
May 13 8:30 AM Core CPI Apr
May 13 9:55 AM Mich Sentiment May


Market Outlook May 9, 2011
Investors in hard gold and hard silver lose 50% of the value when they try to cash it in. That is because those markets sell and do not buy any significant amount of precious metals. There is so much fraud that expensive testing of gold and silver must be done by the buyers. Many sellers are watering down the metals with copper and just 1% copper reduces the value 30% because it is so expensive to remove the last 1%. Buying hard gold and silver is the worst thing a person can do even buying from the US Mint. And Gold and silver will decline 75% on their own over the next 15 years anyway because the world is still facing a worldwide depression not hyperinflation. Only developing countries and bankrupt socialist governments like those in South America and Africa and the Mediterranean resort to hyperinflation.

The stock market is again testing the lower resistance line. With QE2 ending there is less chance of a bounce. On a cashflow (not price basis) there was now new high after the last breakdown. That is why we are not in at this time.
http://finance.yahoo.com/q/ta?s=%5ENYA&t=6m&l=on&z=m&q=l&p=m20%2Ce50&a=m26-12-9&c=

The American economy is still stagnant because Obama refuses to cut welfare that is an enormous economic inefficiency. Toothless immigrant welfare recipients are seen regularly at gambling casinos cashing welfare checks and illegally exchanging food stamps for cash. American welfare corruption has more than doubled under Obama. Obama gave over $30Billion to black constituents who fraudulently claimed they were owed reparations because their ancestors did not get all the corrupt handouts they were “entitled” to under previous administrations. This Obama corruption of the farm bureau alone is justification for firing that entire government office.

World Markets
International trade shows that the world economy has 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.

Asian markets were flat last night. China up 0.3%, Jakarta down –0.3%, India up 0.1%, Japan down –0.7% and Seoul down -0.4%.

European markets are down this morning in a range of about –0.5% to -0.9% half way through their day.

US pre-market futures are up today in a range of about 0.4% to 0.6 % at 7:00 AM EST.