Obama has been hollowing out the American economy cutting
the vital services and infrastructure such as national defense and hydrocarbon
energy and subsidizing uneconomical energy sources and indigents that will cause
an economic collapse when Obama debt bankrupts America . It is absolutely foolhardy to think America will
ever reach $20 trillion in Obama debt before the American Economy
collapses. This Bernanke bubble will
burst within a year or two. The Obama
debt already exceeds the American debt of the entire WWII.
Compare the two business cycles yourself. See we are now beyond the normal four year
business cycle and into the bubble already.
Then realize this economy has not expanded the corporation top line it… it has expanded only the bottom line by cost
cutting that has hollowed out American industry and stressed out the employees
to the point of panic when it begins to unravel within two years. This next time Wall Street brokers may be
jumping out of buildings again (if any still have windows).
Bloomberg news declared that nobody is safe anymore since Europe broke more taboos and no longer bails out all
depositors when banks fail. Cyprus ’s
plight set precedents for the world that will stick in the memory of savers and
investors alike and intensify the debate on who is next to fall victim to the
debt crisis. Under the terms of the
agreement struck in Brussels ,
senior bank bond holders will take losses and uninsured depositors will be
largely wiped out. The message is that responsible
people of all stripes can be coerced into helping a high spending socialist president. No doubt it makes investors more concerned
now about Slovenia , Italy , Spain
and Greece .
Bank runs and bond market selloffs now become much more likely the moment a
country’s credit rating begins to decline.
America
had mental institutions before the 1960’s but the liberals closed them and put
the sick people back on the streets medicated with Ritalin and other drugs with
side effects such as psychosis. The
problem is not guns or knives or baseball bats.
The problem is psychotics and sociopaths who pass as being a little
strange and then their demented mothers who take them for Karate and target
practice and make their children lethal weapons. The problem is not the guns but the
psychopaths they put on our streets emptying prisons and insane asylums.
California and Rhode Island are now
considered the most socialist states and have the nation’s worst unemployment
rates of 9.8% as of January, the Labor Department said. California
was an agricultural state that boomed during and since WWII and produced the Silicon Valley , President Regan, and great
prosperity. But since the 1990’s has
slid down and socialism and welfare state crept into governance and attracted
immigrants from other states and countries seeking an easy life. Nevada
now with an unemployment rate of 9.7% moved off the bottom of the nation’s
jobless ranking down from 10.2% in December.
Japan ’s
economy is going to improve in the coming months due to a weak yen and a pickup
in exports,” said Yoshiki Shinke, chief economist at Dai-ichi Life Research
Institute.
Michigan
Sentiment - Final Mar 78.6 up significantly from 71.8. This shows the astounding ignorance of the
administration in confusing The Conference Board (CB) data that comes out early
in the month with the totally different Michigan University (MU) that just came
out. Here are the two different
statistics plotted together.
Michigan
Sentiment - Final Mar 78.6 little changed from 77.6 last month.
Major markets fell and the euro slumped to a four-month low
against the dollar hit by a disappointing Italian bond auction and concern
about the possibility of another wider Cyprus type bailout in the euro
zone. Italy still has not formed a
functioning government since their election.
The Senate adopted the first budget plan the Democratic-
controlled body has passed in four years. The $3.7 trillion budget proposal,
which Democrats say won’t ever take effect, highlights differences between
Democrats and Republicans over taxes, spending and the size of government. It is a strategy to win votes, not about
actually improving job growth or about trying to restore prosperity. “Budgets
are about far more than numbers on a page -- they are about the values and
priorities of the American people,” said Senate Budget Committee Chairman Patty
Murray, a Washington Democrat and the plan’s chief sponsor. The two chambers probably won’t agree on anything,
with Senate Majority Leader Harry Reid, a Nevada Democrat, saying he sees
little reason to bother with a conference committee, in which lawmakers are supposed
to work out their differences.
The vote clears the way for the next phase in Washington ’s negatory-budget battle, which will probably
revolve around Harry Reid political attacks and Obama’s need to raise the U.S. debt limit
to increase spending. Federal borrowing authority is scheduled to expire May
19.
From an historical perspective gold could exceed 1750/oz
within 12 months.
From an historical perspective silver could exceed 34/oz
within 12 months.
Boeing Co. plans to dismiss about 2,000 to 2,300 jobs in the
Seattle area,
Boeing’s headquarters for the development and manufacturing of commercial jets,
said Marc Birtel, a spokesman. It plans
to first complete post- assembly fixes for its newest models, the 787
Dreamliner and the 747-8 jumbo jet.
Barclays Head of Research Larry Kantor warned at briefing in
the British investment bank’s New
York headquarters, that the equity market's
confidence bubble is bound to burst. It’s just a question of when.
Gun control; the historical agenda is to disarm the people
you want to oppress. http://www.youtube.com/embed/9RABZq5IoaQ?feature=player_embedded
World Economies
Bleak euro zone economic data added to fear in the markets,
driving demand for safe haven assets. U.S. Treasuries debt prices jumped, with
benchmark yields falling to their lowest levels in three weeks. The German bund gained and gold rose above
$1,600 an ounce again.
In spite of the flooding of the world with US currency, the German
market has hit but has still failed to break out from the 2007. Remember since 2008 we had over 15% inflation
when we include food and energy so the market is still 15 off the real high
when the high is hit. The German market continues to hit resistance.
The Greek market indicates stagnation since year 2000.
The French market indicates stagnation since year 2000.
The Swiss market indicates stagnation since 2007. But once again look at the spike up in stock
prices with Bernanke’s $85,000,000,000/month gift from America to the
stock and bond markets of the world as more people enter poverty, go hungry and
lose their jobs under Socialism’s equality of poverty.
The NYSE is similar
to the British and Swiss and indicates stagnation since 2007 given in excess of
15% inflation.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=my;compare=;indicator=volume;charttype=area;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;
American Economy
The DJI failed to break out.
Given the inflation exceeding 15% since the last high in 2008 it has a
long way to go to break even in 2008 dollar value.
The DJA in 2013 is also now at a record high due to
inflation. Look at the spike up this year as $85,000,000,000 flows into markets
each month. http://finance.yahoo.com/q/ta?s=%5EDJA&t=my&l=on&z=l&q=l&p=&a=&c=
This week
Existing Home Sales continue depressed.
The leading Indicators in Feb were flat at 0.5% due to stock
market peaking.
Mar 26
Durable Orders Feb 5.7% up from -3.8% as seasonal airline
orders pick up.
Durable Goods orders -ex transportation Feb -0.5% are
sharply lower from 2.9%
Case-Shiller 20-city Index Jan 8.1% improves from 6.8%.
Mar 27
MBA Mortgage Index 03/23 +7.7% up due to previous sales
-7.1%
Pending Home Sales Feb fell -0.4% after being up 4.5% last
wee
Crude Inventories 03/23 3.256M up sharply after declining last
week by -1.314M
Mar 28
Initial Claims 03/23 357K up from 336K
Continuing Claims 03/16 3050K up from 3053K
GDP - Third Estimate Q4 0.4% or 1.6% per year
GDP Deflator - Third Estimate Q4 1.0% or 4% per year wipes
out almost three times the gain.
Chicago PMI Mar 52.4 plummeted from 56.8
Natural Gas Inventories 03/23 -95 bcf down from -62 bcf
Mar 29
Personal Income Feb 1.1% up after being down last month by
-3.6% illustrating the incompetence of the people running the government when
the entire economy over 12 months grew about 2%
Personal Spending Feb 0.7% up from 0.6
PCE Prices - Core Feb 0.1% flat from 0.1%
The correct comparison is provided below:
Here is a correct comparison:
Markets March 29
Money is flowing into America
and the American economy has been benefiting from the collapse of socialist
economies as money flees Europe, the BRICKS, China , and Japan much the way it
did in the late nineties when Russian and Asian equity markets collapsed and
they had a banking crisis. We see that
is happening now as the dollar strengthens and the socialists squeeze their
brightest and hardest workers to cover the cost of socialist entitlements. Cyprus is a lesson and we will see
money continue to flee socialist countries into American markets. But the socialists will try to stop the
outflow and will succeed.
Can world trade go any lower or has it flat lined? It still looks like close to zero The
American dock workers are ready to go on to strike as soon as the economy picks
up. World trade.
Bernanke is pushing on a string. The FED has run out of leverage at close to
0% short term interest rates.
The VIX behaved this way in 2006 and 2007when the bubble
began to unravel but the market did not collapse until 2008.
World market updates:
http://in.finance.yahoo.com/intlindices?e=asia
http://in.finance.yahoo.com/intlindices?e=europe