The totalitarian socialists listened to no one until the American taxpayers kicked out every one they could in 2010.

$4 Trillion in Obama cuts would still leave the USA $6 Trillion in the hole ten years from now. That would be 6 times the debt increase Bush created to get the USA out of the Clinton DotCom recession that started in 2000 before Bush was elected or took office. Democrats said Bush was dumb so now they must think Obama is a raving idiot, right?

Taxpayers who paid (and their spouses) into Social Security for more than 30 years should not be penalized at all. Only the people who paid in nothing at all should be removed and then Social security would be solvent.

The Mexican national who raped and bludgeoned an American girl to death with a chunk of highway asphalt was executed last night with permission of the USA Supreme Court. Obama opposed his death penalty and wanted a law to use American taxpayer money to protect foreign murderers who are so grotesque even their country of origin will do nothing to support their appeal.

Mexican investigation continues into the Obama operation that helped send thousands of guns into Mexico. Obama used the violence his gunrunning caused as an excuse to try to disarm Americans. Mexican lawmakers say they'll press for extradition and prosecution in Mexico of Obama officials who authorized and ran the operation. "I obviously feel violated. I feel my country's sovereignty was violated," Mexico Sen. Rene Arce Islas told Fox News. "They should be tried in the United States and the Mexican government should also demand that they also be tried in Mexico since the incidents took place here. There should be trials in both places."

Judicial Watch is accusing President Obama of violating a funding ban that he signed into law that prohibits the flow of federal money to the community activist group ACORN or any of its affiliates. A sting last year showed that the leftist Acorn group helped expand illegal drug and prostitution within cities. Judicial Watch says that in March, the U.S. Department of Housing and Urban Development (HUD) issued nearly $80,000 in grants to Affordable Housing Centers of America (AHCOA), which is an offshoot of ACORN.

World Markets:
Oil climbs to highest level since early June trouncing Obama’s reserve oil bluff.

Air France will ask passengers to clear their seats and take their trash with them when leaving the plane as the carrier seeks to cut high costs of union help.

London police on Friday arrested Andy Coulson, the former News of the World editor who also served as the current socialist Prime Minister's former communications chief, in relation to Britain's tabloid phone-hacking scandal

China President may be gravely ill.

Denmark’s banks face a decline in earnings as the fallout from Europe’s toughest resolution laws sends funding costs higher. George Soros said today he is buying their bonds.

Moody's Investors Service on Tuesday cut Portugal's debt rating to junk ratcheting up the pressure on euro zone governments to cut government jobs.

Moody’s Investors Service said the Chinese banks credit rating could be cut. Chinese banks’ loans to local governments are about 3.5 trillion yuan ($540 billion) more than the national auditor’s estimate”.



US Economic Highlights
Past Week
Initial Claims 06/25 428K unchanged from first reported last week 429K
Continuing Claims 06/18 3702K from first reported last week3697K
Chicago PMI Jun 61.1 up from 56.6 , good but specious Obama manipulation of data USSR style
Michigan Sentiment - June down to 71.5 from 71.8 last month.
Jul 1 10:00 AM ISM Index Jun up to 55.3 from 53.5 last month. Nothing much, see:
http://www.martincapital.com/chart-pgs/Pg_ism.htm
Jul 1 10:00 AM Construction Spending May down -0.6% from initially reported 0.4% last month
Factory Orders May regained 0.8% of the -1.2% loss incurred last month.
MBA Mortgage Index 07/02 fell -5.2% twice the fall of -2.7% last month.
Employers in the US announced more job cuts. Challenger Job Cuts announced in Jun are at 5.2% where as they hired last month ( -4.3%)
Jul 6 8:15 AM ADP Employment Change Jun… too bad to release?
ISM Services, The U.S. service sector, which employs nearly 90 percent of the country's work force slowed from May’s to June

Thursday
ADP Employment Change Jun 157K vs. 38K last month.
Initial Claims 07/02 418K down from 428K but way too high.
Continuing Claims 06/25 3681K down from 3702K
Crude Inventories 07/02 -0.889M not as bad as -4.375M the last time

This Week
Jul 8 8:30 AM Nonfarm Payrolls Jun
Jul 8 8:30 AM Nonfarm Private Payrolls Jun
Jul 8 8:30 AM Unemployment Rate Jun
Jul 8 8:30 AM Average Workweek Jun
Jul 8 8:30 AM Hourly Earnings Jun
Jul 8 10:00 AM Wholesale Inventories May
Jul 8 3:00 PM Consumer Credit May

Market Outlook July 8, 2011
After earnings fell off a cliff in 2007, 2008, and 2009 and a $10Trillion deficit causing Obama bailout was approved by the totalitarian democrat socialist USA government in 2009, U.S. corporations are set to report the slowest earnings gain since the Obama recession started. The totalitarian socialists listened to no one until the American taxpayers kicked out every one they could in 2010. Companies from Ford Motor Co. (F) to McDonald’s Corp. (MCD) struggled with rising oil and commodity prices and a slowdown in consumer confidence that continue to hamper spending this year. Companies like GM continue to be a union pension money pit and will never pay back American taxpayers. Earnings per share for all Standard & Poor’s 500 Index companies rose at an estimated annual rate of only 13 percent in the second quarter, according to Bloomberg. Profits gained 18 percent/yr. in the first quarter less than half the 37 percent rate in 2010.

U.S. stocks were up Thursday on very low volume again as investors continue to back away. The very old short term hedge fund strategy calls for entering the market by the next to last trading day each month and exiting by the 4th trading day of the following month. That would be today. It is best at the end of a quarter when the funds want to dress up their returns. This hedge fund rally wiped out most of their losses for the year. But now they are out of month end cash and they had very little to begin with based on the low volume.

The stock market bubble is up near 2007 levels while real unemployment stands close to 20% and state and local governments have run up many $trillions in deficits that have to be paid back. See:
http://finance.yahoo.com/q/ta?s=^NYA&t=5y&l=on&z=m&q=l&p=e50%2Ce100&a=m26-12-9&c=

and the S&P:
http://finance.yahoo.com/q/ta?s=^GSPC&t=5y&l=on&z=m&q=l&p=m50%2Ce100&a=m26-12-9&c=

and the DJI shows a head and shoulders sell signal forming too.
http://finance.yahoo.com/q/ta?s=^DJI&t=5y&l=on&z=m&q=l&p=e100%2Ce50&a=m26-12-9&c=

Low VIX correlates with overconfidence and immanent decline and now fear must rise substantially before the current market sell-off can be considered over. Look how high the VIX has to go now before the bottom is hit in the past!
http://finance.yahoo.com/q/bc?s=^VIX&t=6m&l=on&z=m&q=l&c=

Recovery is one of Obama’s big lies just like his campaign lie that we were in a depression one year before the leftists destroyed American real estate and banks by requiring US banks give mortgages to people of Obama’s ethnic heritage who had no visible source of income to make the mortgage payments. Click on the 5yr chart and see full effect of the slowdown in world dry shipments. See:
http://www.bloomberg.com/apps/quote?ticker=BDIY:IND

Asian Stocks were up slightly last night. China up 0.1%, Hong Kong up 0.9%, India down –1.1%, Taiwan down –0.3%, and Japan up 0.7%.

European markets are flat this morning in a range of about -0.2% to 0.3% half way through their day.

American markets are down near -0.1% this morning at 7 AM