Monday, June 23, 2014

June 27 The Supreme Court apparently doesn’t even know that the absurd new EPA request did not pass through Congress; it was totally an Obama executive decision. The Supreme Court said of the EPA limits, “Congress could not have intended such an “absurd result.”


Applying the law as written would penalized six million commercial and residential sources under just one program, subjecting them to expenses of more than $20,000 each plus annual maintenance expenses. The cost of that program would be $21 billion even affecting homeowners.

A second program affecting more than 80,000 commercial and residential homes and subject them to expenses averaging almost $60,000 each plus annual maintenance expenses, according to a decision under review, from the United States Court of Appeals for the District of Columbia Circuit.

The court raised the statutory emissions threshold to 100,000 tons per year, thus temporarily reaching far fewer Americans and will avoid an avalanche of homeowners voting in the coming elections. The Court said this was a permissible exercise of discretion and one subject to tightening over time.  It will cost jobs and bankrupt Americans more gradually that way so that it cannot be blamed on Obama.

 

The Congress is currently reviewing the Veterans Administration and is discovering the money for veterans is going to bonuses of incompetent and unethical Obama administration favorites.  There are VA bonuses as large as 25% per year for up to four consecutive years.  In addition the US President can give a 90% bonus per year to his special favorites that are funded separately.  In most American hospitals the wait for admission via a doctor is less than 3 days.  In the VA the stated goal is two weeks and the reality is more than half a year.  In the time it takes the average veteran to get admitted, a curable case such and a cancer can become incurable.  That is how it can be under Obamascare and it is an efficient way of getting rid of the people who need healthcare and Obamascare includes that as a cost reduction which indeed it is.  And almost any death can be blamed then on lifestyle choices and allow  Obama-Holder to make incompetent judgments on the health of foods and blackmail corporations for contributions or to suppress the truth as they did to Standard and Poor’s when they downgraded the American government financial situation.  Obama-Holder crooks have not put a single individual involved with the mortgage liar loan scandal in jail for defrauding their “Muppets” but instead they fine the stockholders who own the banks.

 

 Has anyone noticed that if they refuse to accept the continuous barrage of JAVA or Google Chrome updates that virus attacks drop almost to zero.  The problem then of course is that they then provide an inferior service than is worse than the one they updated.  There is a need for more competition to free users of dependence on Google and Java.  That being said, if Java or Google are complicit with virus attacks on the use of competitive products then they should be put out of business.  There is also a free trial Malewarebytes virus detector and remover on the internet that works for abandoned Microsoft XP and other customers.

 

The destruction of hard drives by the Obama Administration is reminiscent of the Whitehouse when President Clinton’s term was over.   There should be no secret or confidential information allowed on employee drives to begin with.  That is the reason the Obama appointed NSA administration leaked so many records.  Now all the drives of the IRS involved with harassing conservative organizations were recently wiped clean and destroyed under the guidance of the Obama-Holder Administration.  There is no accountability.

 

Bloomberg just announced, “The two-year-old U.S. housing recovery is faltering.”

 

As unemployment insurance begins to end for thousands of people in California many counties fall below the 10% unemployed figure.  Unfortunately the labor force also has declined as people give up on looking for work and join the Obama welfare state.


 

World Economy

 

The European Union discarded its attempt to cap greenhouse-gas emissions over the next 16 years as the bloc’s biggest economies decide it was stupid not to burn cheap coal when the old USSR and the old Mid East terrorists are being set free by Obama to destroy the oil fields.  The current leader of the terrorists was a former prisoner of Obama’s but was irresponsibly released.

 

The European FTSE is at the highs of 2000 and 2007 but MSNBC/PRAVDA is still saying buy-by-by.


 

If you look at Germany where the people have perhaps the strongest work ethic in the world, their stock market has topped out too but their trend is upward only because the dollar is continually weakening.


 

The French market is about 60% of what it was fourteen years ago. At it most recent highs it is still is still down 50% from 2008 and down 60% from 2000.

http://in.finance.yahoo.com/q/bc?s=%5EFCHI&t=my&l=on&z=l&q=l&c=

 

Japan’s stock market appears to have topped and begun a new decline. It has declined since 1990 when it began Quantitative Easing because their Yen is dropping faster than the dollar.


 

The Swiss market still indicates stagnation since 2007. It has hit the highs of 2003 but could not make it to the highs of 2007. Obama has destroyed Swiss banking by attacking Swiss confidentiality that had protected people from the Hitlers and Stalins of the past.

http://finance.yahoo.com/q/bc?s=%5ESSMI&t=my&l=on&z=l&q=l&c=

 

American Economy

Jun 23

Existing Home Sales May 4.89M slightly up from 4.66M 

 

The Markets

June 23 

The stock market obviously is being manipulated.  That is made possible because the FED is still inflating the national balance sheet by $30billion per month, down from $80billion but still half of America’s trade deficit.  If they ever withdraw the money the effect will be very negative.

The stock market remains in the stratosphere on virtually non-existing buying and historically low hedging.  In the past hedging was a safety net for the market because it balanced the long and short side.  It allowed funds to profit in a balanced manner by selling the weak stocks in an industry short while buying the strong companies in the same industry.  Now the market is unbalanced.  The funds are also afraid to short or even hedge.

 

World trade is now down 60% for the year to date and at a 15 year low.  It is down 84% since 2007 before Obama.  Look at the last 1+ years of world trade! Use the graph or snapshot option. Unfortunately they do not show back to 2008 when world trade was more than five times higher than it is today.


 

 Look at the volatility index and you see that the market could fall much faster. This market has little volume or volatility.  So when volume picks up past history says the market will plunge.  This is not a good moment in time for holding equities.


 

 World market updates:

http://finance.yahoo.com/intlindices?e=europe

http://finance.yahoo.com/intlindices?e=asia http://in.finance.yahoo.com/intlindices?e=asia
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Tuesday, June 17, 2014

June 20 Obama lost the smoking guns needed to try and convict the Obama appointees and IRS agents who were assigned by the Obama-Holder administration to illegally and unconstitutionally harass their American political opponents.

http://www.foxnews.com/on-air/the-kelly-file/transcript/2014/06/18/cleta-mitchell-appaled-double-standard-over-lost-irs-e-mails
 
Bloomberg announced, “The two-year-old U.S. housing recovery is faltering.”
 
As unemployment insurance begins to end for thousands of people in California many counties fall below the 10% unemployed figure.  Unfortunately the labor force also has declined as people give up on looking for work and join the Obama welfare state.
 
It is apparent that the Mid East is afflicted with a religious problem just as Europe had in 1617-1647 with the Religious Wars.   Many say that this is not the time to get involved in a foreign religious matter especially with an incompetent administration.
 
June 17  The ambassador of Iraq claims Al Qaeda now has 1000 Bin Ladens thanks to America’s decision to abandon the Mid East.  But they all have been killing each other for 1200 years so perhaps Obama is right to leave them alone.  On the other hand some people say Obama is one of them and trying to destroy America.  That looks possible too with Obama allowing a surge of unsupervised South American youth to enter America through Texas and go on welfare and get citizenship and vote for democrat socialists.
 
This next market crash will be like none we have had in over twenty years because there is very little shorting going on.  If everyone is long when the crash comes everyone loses money in the decline and no one has money to make the market recover.  In the past the short sellers covered themselves and pumped their profits into the market.    That is twice the bang for the buck.
 
World Economy
June 20 The European Union’s discards its attempt to cap greenhouse-gas emissions over the next 16 years as the bloc’s biggest economies decide it was stupid not to burn cheap coal when the old USSR and the old Mid East terrorists are being set free by Obama to destroy the oil fields.  The current leader of the terrorists was a former prisoner of Obama’s a few years ago but irresponsibly released.
Colombia Lifts key rate to 4% and doubles dollar purchases as trade plummets.
June 17  Japanese shares fell the most in a month.
 
The European FTSE is at the highs of 2000 and 2007 but MSNBC/PRAVDA is still saying buy-by-by.
 
If you look at Germany where the people have perhaps the strongest work ethic in the world, their stock market has topped out too but their trend is upward only because the dollar is continually weakening.
 
The French market is about 60% of what it was fourteen years ago. At it most recent highs it is still is still down 50% from 2008 and down 60% from 2000.
http://in.finance.yahoo.com/q/bc?s=%5EFCHI&t=my&l=on&z=l&q=l&c=
 
Japan’s stock market appears to have topped and begun a new decline. It has declined since 1990 when it began Quantitative Easing because their Yen is dropping faster than the dollar.
 
The Swiss market still indicates stagnation since 2007. It has hit the highs of 2003 but could not make it to the highs of 2007. Obama has destroyed Swiss banking by attacking Swiss confidentiality that had protected people from the Hitlers and Stalins of the past.
http://finance.yahoo.com/q/bc?s=%5ESSMI&t=my&l=on&z=l&q=l&c=
 
American Economy
Jun 16
Empire Manufacturing Jun 19.3 14.0 down sharply from 19.0 ---
Net Long-Term TIC Flows Apr -$24.2B down sharply $4.0B---
Industrial Production May 0.6% outlier -0.3% +
Capacity Utilization May 79.1% flat 78.6%
Jun 17
Housing Starts May 1001K down sharply 1072K ---
Building Permits May 991K down sharply 1080K ---
CPI May 0.4% inflation up from 0.3% -
Core CPI May 0.3% core inflation up 0.2% -
Jun 18
Mortgage Index 06/14 -9.2% down sharply from +10.3% ---
Current Account Balance Q1 -$111.2B trade deficit up from -$81.1B
FOMC Rate Decision Jun 0.25% too low 0.25% -  does not encourage investment
Jun 19
Initial Claims 06/14 312K down slightly 317K
Continuing Claims 06/07 2561K increasing from 2614K ---
Philadelphia Fed Jun 17.8 13.0 falls from 15.4 -
The EU estimates that the US economy will rise less than 2% while the Obama administration is forecasting about 3%.
 
The Markets
June 20  If everyone followed the pundit’s advice to buy and hold for 5 or 10 years instead of twice a year, then stock market volume would drop to 80% to 90% off the already low volume.   Almost every hedge fund has a turnover of 100% to 400% each year.  Warren Buffet is perhaps the most successful but that is because so many people follow his lead and buy the stocks he holds.’
 
June 17  The stock market continues in the stratosphere on virtually non-existing buying but historically low hedging.  In the past hedging was a safety net for the market because it balanced the long and short side.  It allowed funds to profit in a balanced manner by selling the weak stocks in an industry short while buying the strong companies in the same industry.  Now the market is unbalanced.  The funds are also afraid to short or even hedge.
 
World trade is now down 59% for the year to date and near a 15 year low.  It is down 83% since 2007.  Look at the last 1+ years of world trade! Use the graph or snapshot option. Unfortunately they do not show back to 2008 when world trade was more than five times higher than it is today.
 http://www.bloomberg.com/quote/BDIY:IND/chart
 Look at the volatility index and you see that the market could fall much faster. This market has little volume or volatility.  So when volume picks up past history says the market will plunge.  This is not a good moment in time for holding equities.
 
 World market updates:
http://finance.yahoo.com/intlindices?e=europe
http://finance.yahoo.com/intlindices?e=asia http://in.finance.yahoo.com/intlindices?e=asia
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Tuesday, June 10, 2014

June 13 The Obama administration is dissolving under inept leadership. America is rapidly becoming irrelevant in the world Terrorists will soon have more power than America under Obama. Obama should resign. There is virtually no one in Washington that could do any worse.

June 10 Fear of a growing world wide depression has driven up the demand for even Portugal’s government bonds as 10-year yields fall to the lowest level since 2005 because Portugal’s government bonds are deemed to be safer than corporation stocks and bonds. England has pushed their Fed interest rates into negative territory. American rates are not negative only because American inflation is still slightly positive.
A medical doctor explains why Americans should support Obama’s socialized medicine at:
https://www.youtube.com/watch?v=mZbFrAAV3-o&feature=youtu.be
While most secretaries of state point to treaties and negotiated settlements as signature achievements, Clinton’s book says she created new American jobs as the nation’s Secretary of State. While she ignored the pleas of Americans in Libya, "She could certainly go to a Caterpillar plant or a Boeing plant or even small companies and say ‘I used the power and influence of the secretary of state and of the State Department and of our embassies to enhance business opportunities for this company and for the workers of this company.’" The example she offers in the book is lobbying President Abdelaziz Bouteflika of bankrupt Algeria to accept American guaranteed loans on behalf of GE, to pay for a $2.5 billion GE contract to help build six natural gas plants in the Northern African nation to compete with American energy companies. So she gave Algeria $2.5 billion in American taxpayer money to take jobs away from the America’s energy industry but gave GE’s international operations a boost in foreign jobs overseas? That somehow makes political sense to Clinton advisors.
http://www.bloomberg.com/news/2014-06-09/clinton-book-hints-at-campaign-message-jobs-from-abroad.html
World Economy
June 13 International stocks fell again on higher volume.
China now has no money down housing loans similar to the Frank-Obama Liar Loans before the American banking collapse.
June 10
"If we habitually reject risk, then we’ll run our society into the grave," said Karl-Ludwig Kley, the chief executive officer of the world’s oldest pharmaceutical company Merck in Frankfurt. Fracking restrictions are a setback for executives, who say policymakers bow too easily to concerns of the powerful Green Party in Europe that claims all new technologies harm the environment. Germany once a great world power has been missing out on industries worth more than $200 billion globally, or about 6 percent of its gross domestic product, including both carbon free nuclear power and low carbon, hydrogen rich gas from fracking. Executives argue cave-man thinking hampers the competitiveness of the nation that discovered nuclear fission and has been led by physicist, Angela Merkel. With Green Party thinking cavemen would have banned the use of fire.
The European FTSE is at the highs of 2000 and 2007 but MSNBC/PRAVDA is still saying buy-by-by.
http://finance.yahoo.com/q/bc?s=%5EFTSE+Basic+Chart&t=my
If you look at Germany where the people have perhaps the strongest work ethic in the world, their stock market has topped out too but their trend is upward only because the dollar is continually weakening.
http://finance.yahoo.com/q/bc?s=%5EGDAXI+Basic+Chart&t=my
The French market is about 60% of what it was fourteen years ago. At it most recent highs it is still is still down 50% from 2008 and down 60% from 2000.
http://in.finance.yahoo.com/q/bc?s=%5EFCHI&t=my&l=on&z=l&q=l&c=
Japan’s stock market appears to have topped and begun a new decline. It has declined since 1990 when it began Quantitative Easing because their Yen is dropping faster than the dollar.
http://in.finance.yahoo.com/q/bc?s=%5EN225&t=my
The Swiss market still indicates stagnation since 2007. It has hit the highs of 2003 but could not make it to the highs of 2007. Obama has destroyed Swiss banking by attacking Swiss confidentiality that had protected people from the Hitlers and Stalins of the past.
http://finance.yahoo.com/q/bc?s=%5ESSMI&t=my&l=on&z=l&q=l&c=
American Economy
Jun 10
Wholesale Inventories Apr 1.1% flat 1.1% -
JOLTS - Job Openings Apr 4.455M improved from 4.014M ++
Jun 11
MBA Mortgage Index 06/07 +10.3% improved from -3.1% +++
Treasury Budget May -$130.0B still NG -$138.7B -
Jun 12
Initial Claims 06/07 317K worse from 312K -
Continuing Claims 05/31 2614K worse from 2603K --
Retail Sales May 0.3% 1up from 0.1% +
Retail Sales ex-auto May 0.1% down from 0.4% --
Export Prices ex-ag. May 0.1% Up from -1.4% ---
Import Prices ex-oil May 0.0% flat 0.0% ++
Business Inventories Apr 0.6% up from 0.4% -
The Markets
June 13 The terrorists, socialists and other lunatics have been let loose on the world by the inept Obama administration.  Economic chaos is at the door.
June 10 The stock market continues in the stratosphere on virtually non-existing buying but historically low hedging. In the past hedging was a safety net for the market because it balanced the long and short side. It allowed funds to profit in a balanced manner by selling the weak stocks in an industry short while buying the strong companies in the same industry. Now the market is unbalanced. The funds are afraid to short and have all piled into the stock market on the long side. This time there are no short sellers who will support the market and buy stocks to cover their shorts when the market drops. That means the market could easily drop 20% in one day as it did in 1989 as it did when everyone was long already and could only get out by selling. If the market was balanced the short sellers taking their profits would raise money to buy back into the low market. Now the volume of activity is thin and there is no safety net of shorts covering and making profits. That means when the market drops virtually everyone will be wiped out and virtually no one will balance them out with profits.
At the same time global interest rates will spike up and bonds will collapse. It makes absolutely no sense that the interest rates on government bonds in Portugal and Spain are lower than for American bonds. That could be partially due to American Quantitative easing being phased out causing less demand for American bonds but it makes no sense to value Portugal’s bonds as safer.
World trade is now down 59% for the year to date and near a 15 year low. It is down 83% since 2007. Look at the last 1+ years of world trade! Use the graph or snapshot option. Unfortunately they do not show back to 2008 when world trade was more than five times higher than it is today.
http://www.bloomberg.com/quote/BDIY:IND/chart
Look at the volatility index and you see that the market could fall much faster. This market has little volume or volatility. So when volume picks up past history says the market will plunge. This is not a good moment in time for holding equities.
http://finance.yahoo.com/q/bc?s=%5EVIX&t=5y&l=on&z=l&q=l&c=
World market updates:
http://finance.yahoo.com/intlindices?e=europe
http://finance.yahoo.com/intlindices?e=asia http://in.finance.yahoo.com/intlindices?e=asia
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Monday, June 2, 2014

June 6 All companies are forced to raise money for their socialist government and to pay enormous campaign contributions and other bribes to the socialist politicians. Look how fast Russia, the Ukraine and the Asian socialists corrupted their countries and ruined their economies. Companies do not pay taxes, they only collect taxes in the form of higher prices and lower wages and pass that money along to their socialist governments and corrupt politicians. Corporate taxes force American companies to keep profits over seas where they finance American competitors not American’s corporations.

With corporate pharmaceutical companies pursuing buy out deals like never before, a drug maker’s best defense against becoming a target is to get into the zombie hunt themselves.  This is why the Obama government policy of flooding America with cash is like an injection of heroine.  Socialist government interference prevents the business cycle of expansion to die a natural death and to be reconstituted as a field rich in entrepreneurs and ideas to support the next period of business regeneration with new ideas.  Instead the policies of liberal socialists like Obama lead to a generation of the walking dead, the growth of huge monopolies that go around like flesh eating zombies and grow by consuming smaller competitive companies, destroying jobs, destroying competition, destroying the economy and infrastructure, and leading to self destruction like a drug addict on heroin.  Obama-Dodd-Frank liar loans allowed the criminals who invented liar loans to allow the poor to buy houses they could not afford.  Obama’s socialism allowed Goldman Sacks to monetize the Liar Loan derivatives in a series of tranches that even the naïve fishing villages around the world bought thinking they were sound investments.  The Obama-Dodd-Frank-Fannie and Freddie fraud perpetrated on Americans and then on the world was so obviously corrupt that Goldman Sacks and others monetized new Liar-Loan insurance derivatives to bet against their own customers who were buying their toxic Liar-loan derivatives.   In theory the poor home buyers could have flipped their houses if they got out by 2007 and the system would not have collapsed like a house of cards.  The Obama Socialists allow the criminals in banking to go free as long as they contribute $billions to the campaign’s of other socialists.  They have not prosecuted any of the corrupt bankers like they prosecuted little conservative democrat Martha Steward.
A country of socialist zombie corporations that are dependent on socialist Fed QE heroine injections just to have a pulse,  is not good situation.  Americans need to throw all the socialist bums out!

Second-ranking House Democrat Steny Hoyer boasted that Democrats in Congress will be able to keep Republicans from overturning the Obama administration’s rules to reduce greenhouse-gas emissions (i.e. human breath, CO2).  Socialists are indeed extremely stupid people and they need to be replaced by sober thoughtful people. 
 
Is it the end of the road for Target?  Once the store for liberals who pronounced the name like the French do, but some socialist liberal planted a loaded gun in to toys isle to make an anti gun statement.  That is about all that is needed to send Target to the glue factory with Sears, Radio Shack, and Best Buy.  Already their customer’s security and identity was compromised.  Now the mentally unstable socialists want to make statements at Target.
 
June 5  The EPA anticipates its new CO2 proposal would shut down or convert 30 percent of American power plants by 2030.  The EPA claims they already have the power to do that because with Obama’s pledge to veto Congress, no one can stop them except the Supreme Court.  One must remember that Obama called a “voted out” lame duck Congress back into session in 2010 to pass his socialized medicine.  And one cannot depend on the Roberts Supreme Court to do anything either.  To paraphrase Sir Winston Churchill, free enterprise brings the nations the inequality of prosperity and intelligence while socialism brings the nations the equality of poverty and ignorance.   But American’s have had it with Obama spreading his socialist equality of poverty and ignorance.  
 
As you know, Richard Nixon created the EPA because his democrat friend and adviser Daniel Patrick Moynihan incorrectly predicted the world would run out of oil by the year 2000.  Back then the UN said there was no evidence of man causing any global warming.  Instead the environmentalists all were worried about a cold planet with Nuclear Winter or running out of oil.
The EU, Russia, China, and the USA are all sliding now into a deeper recession after being the best economies of the Obama Depression.  Russia and China have again returned to aggression with Russia allowing Russians to fight in the Ukraine and China drilling for oil in Vietnamese coastal waters and sinking ships.
Drones are having an enormous effect on military spending.  Automated transportation is coming with trains that drive themselves, cars that drive themselves and soon passenger aircraft that drive themselves.  All the advances reduce good paying jobs that average people can handle
The U.S. trade deficit in April widened to its highest since July 2012 as goods imports rose to a record level. Last month's trade deficit in goods and services was $47.2 billion.
The 179,000 increase in American hiring was the smallest in four months, a sign of uneven progress in the labor market, a private report based on payrolls showed.
GM expects recall probe won't blame any of the seven friends of Obama that Obama appointed to be GM CEO’s during the period that GM worked for Obama under federal bankruptcy.  It is truly amazing that the auto defects only came to light recently when GM went private after Obama had been in charge for six years and people were dying due to the faulty key ignition switch being turned off at high speed.
 
June 3  How is it possible that the Veteran’s Administration under Obama was falsifying reports causing the lives of at least 40 veterans?  The answer is that VA whistle blowing is seriously punished if you are a doctor and point out the problems.  Some VA doctors already have difficulty finding jobs after they served their country because they were written up so many times and their records are public records.  Private hospital administrators access the records and do not hire doctors who point out problems.  While other doctors know of these problems they remain silent.  Those written-up VA doctors are among the best, but the problem is that private hospital administrators will not hire them since they have a record of speaking up when they see administration problems.   If the Obama government wants to fix the problem they need to at least purge the write-ups and that whole system and stop future write-ups of doctors and nurses who expose the a\hospital problems.  They would learn a lot about the hospital cover-ups if they interviewed those doctors.  If money is the problem it needs attention so Congress can appropriate enough to keep up with work load.  The active Army and VA hospital systems need to be merged so that work loads can be better distributed.
 
World Economy
June 6  Czech miner New World Resources Plc tumbled to a record low after Standard & Poor’s indicated it is on the verge of bankruptcy.
June 5  The International Monetary Fund urged China to refrain from rolling out more stimuli to boost economic growth and continue to implement changes to curb the dangers of high risk leveraging of shadow bank and local governments already in heavy debt,
The productivity of U.S. workers declined even more rapidly than believed in the first quarter and at the fastest pace in six years, further evidence of the economy's broad drop in efficiency gains.  U.S. productivity declined as businesses became far less efficient.
 
June 3
Gold hit near a four-month low as the dollar advance and erodes demand for alternative investments.
 
The European FTSE is at the highs of 2000 and 2007 but MSNBC/PRAVDA is still saying buy-by-by.
 
If you look at Germany where the people have perhaps the strongest work ethic in the world, their stock market has topped out too but their trend is upward only because the dollar is continually weakening.
 
The French market is about 60% of what it was fourteen years ago. At it most recent highs it is still is still down 50% from 2008 and down 60% from 2000.
http://in.finance.yahoo.com/q/bc?s=%5EFCHI&t=my&l=on&z=l&q=l&c=
 
Japan’s stock market appears to have topped and begun a new decline. It has declined since 1990 when it began Quantitative Easing because their Yen is dropping faster than the dollar.
 
The Swiss market still indicates stagnation since 2007. It has hit the highs of 2003 but could not make it to the highs of 2007. Obama has destroyed Swiss banking by attacking Swiss confidentiality that had protected people from the Hitlers and Stalins of the past.
http://finance.yahoo.com/q/bc?s=%5ESSMI&t=my&l=on&z=l&q=l&c=
 
American Economy
Jun 2
ISM Index May 55.4 up slightly 54.9 ++
Construction Spending Apr 0.2% down sharply 0.6% ---
Jun 3
Factory Orders Apr - 0.6% plunged from 1.1% ---
Construction Spending Apr 0.2% continuing very low at 0.2%---
Jun 4
MBA Mortgage Index 05/31 -3.1% getting worse from -1.2% ---
ADP Employment Change May 179K new jobs falling  220K --- should be 300k normally
Trade Balance Apr -$47.2 B sharply worse from -$40.4B
Productivity-Rev. Q1 -3.2% falling fast from -1.7% ---
Unit Labor Costs Q1 5.7% rising faster 4.2% ---
ISM Services May 56.3 improved from 55.2 +
30 AM Crude Inventories 05/31 -3.431M declining rapidly 1.657M –
Jun 5
Initial Claims 05/31 312K up from 300K --
Challenger Job Cuts May 45.5% up sharply 5.7% -----
Job cuts in May rose to the highest level in more than a year, with the technology sector being hardest hit.  U.S.-based employers said they intended to cut 52,961 jobs, a 31% increase from April and the largest one-month total since February 2013.
 
Hardest hit was the technology sector,
The Markets
June 6   At some point people and corporations will hunker down.  If ATM’s stop functioning and banks close for a week or more, how should Americans be prepared?  They say we were a few days from that happening just after Obama won the 2008 election.  How much cash is needed to buy food and gas and other necessities?  Will there be hyperinflation in developing countries?  Uncertainty is growing.  Will we be  able to throw out the socialists before they destroy our economy like they did in China, the USSR and Eastern Europe from 1945 to 1989?
June 5   The QE bubble has increased asset values creating a $4Trillion bubble that with a typical bank credit multiplier of 20 has created an $80 Trillion asset price bubble mostly in the stock market.  The NASDAQ bubble has grown close to the level of the DOTCOM bubble of 2000 that burst in the last year of the Clinton Administration and caused the recession George Bush inherited.  The talk of a comeback in American manufacturing was based on manufacturing robotics during the DOTCOM bubble.  This current bubble belief of a comeback in American manufacturing is based on 3-D manufacturing printers.  Neither panned out thus far as economical except in high technology military spending. http://finance.yahoo.com/q/bc?s=%5EIXIC+Basic+Chart&t=my
 
June 3 
Stock prices are still frothy but on extremely low volume indicating that a selloff will be very steep when it finally occurs.  The numbers used to support earnings at this stage have the losses hidden until they run out of cash and sell and establish the losses and lack of liquidity in the system.  Now it is getting some attention.
http://www.bloomberg.com/news/2014-06-02/fresh-records-getting-stale-with-s-p-500-volume-at-six-year-low.html
 
World trade is now down 59% for the year to date and near a 15 year low.  It is down 83% since 2007.  Look at the last 1+ years of world trade! Use the graph or snapshot option. Unfortunately they do not show back to 2008 when world trade was more than five times higher than it is today.
 http://www.bloomberg.com/quote/BDIY:IND/chart
 Look at the volatility index and you see that the market could fall much faster. This market has little volume or volatility.  So when volume picks up past history says the market will plunge.  This is not a good moment in time for holding equities.
 
 World market updates:
http://finance.yahoo.com/intlindices?e=europe
http://finance.yahoo.com/intlindices?e=asia http://in.finance.yahoo.com/intlindices?e=asia
 
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