Obama likes to say the stock market has risen since he took office but the truth is the market collapsed right after the 2008 convention. Earlier Obama had declared that we were in a Bush depression and Senator Dodd spread the rumors of impending runs on California banks. The stock market had fallen half way by Obama’s Election Day 2008 . It continued to fall for a month after. In other words the entire collapse of the market started when Obama was nominated. The stock market is a six-month leading indictor. The stock market advance since then is the result of the Ponzi scheme that started as soon as Obama took office when the banks were re-inflated with near free money to buy treasuries.

http://www.theblaze.com/stories/forward-for-communism-is-obamas-new-forward-slogan-really-a-coincidence/

Corruption is why privacy is so important to preserve American liberty. Privacy protects honest Americans from Socialist who harass and smear honest Americans with illegitimate subpoenas, investigations and other harassment that force honest Americans to lawyer up to defend themselves. Obama does not reveal any of the PACs that support him but all you hear about this week is that the PACs that support Mitt Romney should have to reveal the people and corporations that are part of the PACs. No one is calling for forcing government employee unions and Communist organizations to reveal their contributions. But the socialists demand that the captains of American industry should reveal their contributions. The socialist do not believe honesty and success go together. The slogan "Forward" has been a Communist Party slogan for eighty years and it is now Obama’s slogan.
http://spectator.org/archives/2012/05/03/obama-steals-maos-slogan

The socialist think American wealth is made with a quick buck, confiscation and you have to wipe out your enemies. Today Squawk Box was cutting the microphone on their moderate commentator, Joe, their MIT graduate. They were arguing about taxes and the Obama position is a tax hike in a middle of the recession while the Romney-Ryan plan is to close loopholes so the tax tables actually reflect what people pay. After America fell from 3000 feet Mike said Obama couldn’t take credit for the pavement that stopped the fall. Obama has to reduce investment uncertainty and create private sector jobs not create new government jobs or increase deficit spending uncertainty. Woody, the Jets Owner said the socialists have taken their eyes off the ball. The ball game is about decreasing private sector unemployment not increasing taxes.

Again, some one needs to tell nouveau socialists that using taxpayer funds to help smear and harass to is ostentatious political corruption. But political corruption just gets hotter. At least a dozen private-equity firms have been subpoenaed by New York's attorney general in a probe intended to try to smear Mitt Romney by including Bane just because Mitt Romney helped found Bane more than 20 years ago. Squawk Box said the subpoenas came out long ago but were just leaked to the leftists. Carried interest, the practice being investigated, is the biggest loophole Warren Buffet uses but he is not under investigation because he only contributes to the Democratic Party. No companies involving active Democrats are to be investigated. Previous investigations of the practice said they were legal.

WSJ NEW YORK--Gold futures edged to a fresh five-month intraday high Tuesday, buoyed by hopes that potential Ponzi monetary easing in the U.S. and Europe could boost investor demand for precious metals. Gold soared Friday to its highest settlement price since March after Federal Reserve Chairman Ben Bernanke defended the central bank's past Ponzi actions, fueling optimism that further easing could be implemented at the Fed's Sept. 12-13 policy-making meeting.

Central-bank stimulus actions, which increase the amount of cash in the financial system, boost precious metals as traders fearing inflation seek to store their wealth in hard assets. Traders are also eyeing the European Central Bank meeting, Thursday for news of potential stimulus measures to shore up euro-zone economies, which could be supportive for gold prices. ECB President Mario Draghi said Monday at a closed European Parliament hearing that the central bank is free to buy government bonds maturing in three years or less, but a bond-buying program hasn't been announced.

http://online.wsj.com/article/BT-CO-20120904-706565.html

The New England jobless rate rose 0.3% in July

Bank of America Corp. and Wells Fargo & Co. and others have contributed $20 million toward the cost of the Democratic National Convention, after Obama claimed they wouldn’t accept dirty corporate money, according to Bloomberg reports.

U.S. manufacturing teetered between growth and contraction in August, according to a survey of economists.

Bullion also was seen climbing as the euro rose as much as 0.3 percent against the dollar. Gold and the greenback tend to move inversely with the euro.

Bullard said the Fed is still awaiting more data before taking action

Our warriors who took out Bin Laden are taking political action to replace their commander in chief because he has loose lips that put them and all Americans at risk. They had taken Bin Laden’s computer with the addresses of his commanders and Obama leaked everything so they could all get away.

The movie documentary, "2016" is very popular and is said to be a truthful presentation of the life of Obama and his goal to "Downsize America."

"This pathetic president spent his entire time dividing the nation." "He has taken all the wealth entrepreneurs created and calls it greed." He is pathetic." Kenneth Langone said

According to the Washington Times, Obama is getting the moron vote (mostly women).
http://www.washingtontimes.com/news/2012/aug/22/obamas-looking-for-the-moron-vote/

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

The CBS News poll is finally converging with what the more unbiased Rasmussen poll has been saying all along. However the morons are digging in because they are becoming dependent on the Obama gravy train.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 48% of voters nationwide, while President Obama earns the vote from 44%.
http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

World market this week
Deutsche Lufthansa cancelled hundreds more flights on Tuesday as cabin crew launched a second round of that threatens to drag on for weeks and cost Germany's biggest airline tens of millions of euros. The walkout on Friday that left 26,000 passengers stranded.

Treasuries declined, snapping a two-day advance, on speculation that the European Central Bank will announce measures soon to ease the euro region’s three-year debt crisis.

Gold, trading near a five-month high, was seen rising in London as economic reports fuel the case for more central-bank stimulus that will stoke demand for the metal. Euro-area manufacturing shrank more than first estimated in August, a report showed yesterday indicating more inflation will be used to stem the depression in jobgrowth.

China Eastern Airlines the nation’s second-largest carrier by passengers, will increase capacity in the second half by 10 percent as it adds new planes and boosts international services.

The Euro currency rose again making EU products less price competitive.

The European Union’s rating outlook was cut to negative by Moody’s Investors Service, reflecting the negative outlook on the Aaa ratings of Germany, France, the U.K. and the Netherlands that account for about 45 percent of the EU’s budget revenue.

A Spanish town in southern Andalusia, is negotiating with unions to fire the top 13 percent of the 2,000 government workers who comprise 80 percent of its budget. 25% of Spain’s workforce is now jobless and more than two-thirds off the nation’s budget must still be cut.

Emerging markets will continue to suffer unless Obama is given the heave-ho. The American markets are essential to the recovery of the world.
http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lows.
http://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.
http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
The market continues to test old resistance levels.  The QE3 Ponzi scheme continues to destabilize the American economy and Draghi wants Germany to do it for the EU and destroy the future of German children and grandchildren. A cash crunch is continuing among American homeowners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets.
　

Yesterday
ISM Index Aug: The Institute for Supply Management’s factory index fell to 49.6 in August indicating that manufacturing shrank for a third month in August in the longest decline since the recession ended in 2009, threatening to deprive the world of the world’s largest economy of a driver of growth.

Construction Spending Jul fell -0.9% for what is usually the best month for construction.

Today
Sep 5 7:00 AM MBA Mortgage Index 09/01 fell -2.5 percent indicating fewer mortgages and lower future home sales.

Sep 5 8:30 AM Productivity-Rev. Q2

Sep 5 8:30 AM Unit Labor Costs - Rev Q2

This Week
Sep 6 7:30 AM Challenger Job Cuts Aug

Sep 6 8:15 AM ADP Employment Change Aug

Sep 6 8:30 AM Initial Claims 09/01

Sep 6 8:30 AM Continuing Claims 08/25

Sep 6 10:00 AM ISM Services Aug

Sep 6 11:00 AM Crude Inventories 09/01

Sep 7 8:30 AM Nonfarm Payrolls Aug

Sep 7 8:30 AM Nonfarm Private Payrolls Aug

Sep 7 8:30 AM Unemployment Rate Aug

Sep 7 8:30 AM Hourly Earnings Aug

Sep 7 8:30 AM Average Workweek Aug

Market outlook Sept 5, 2012
U.S. stock-index futures retreated as Michael Fuchs, a member of German Chancellor Angela Merkel’s party, said he’s against "excessive" bond purchases by the European Central Bank and commodities slid while the euro weakened on evidence the global economic slowdown is worse than anticipated. Still no buy signals.

There still has been no stock market buy signal. The stock market recently hit old highs and failed to break out. During the 2008 campaign Senator Obama said America was in a depression and Senator Dodd followed that irresponsible claim by causing a run on a California bank that collapsed the bank. Obama likes to say the stock market has risen since he took office but the truth is the market collapsed the most just after his 2008 convention but fell the fastest starting election day. It cratered one month after Obama was sworn in but the stock market collapse correlated with when Wall Street realized they would win the election. The stock market is roughly a six month leading indicator. If the morons look good this week it would mean the market is ready to collapse again in anticipation of a depression of FDR’s length and depth.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakout.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The VIX is rising? The low VIX normally precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally end. The driving force this year is the election and whether the morons win or lose.
http://finance.yahoo.com/q/bc?s=%5EVIX&t=2y&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low. Getting even worse.
http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down again last night hitting new lows again. China down –0.3%, Hong Kong down –1.5%, India down -0.7, S.Korea down –1.7%, Taiwan down –1.1%, Japan down –1.1%.

European markets are up half way through their day in a range of -0.1% to 0.7%.

American market futures are down at about -0.1% in after-hour trading at 8:30 AM EST. This indicator does not statistically correlate with anything.

Again, some one needs to tell nouveau socialists that using taxpayer funds to help smear opponents and to gain votes is ostentatious political corruption. But political corruption just gets hotter. At least a dozen private-equity firms have been subpoenaed by New York's attorney general in a probe intended to try to smear Mitt Romney by including Bane just because Mitt Romney helped found Bane more than 20 years ago. Squawk Box said the subpoenas came out long ago but were just leaked to the leftist press. Carried Interest, the practice being investigated, is the biggest loophole Warren Buffet uses but he is not under investigation because he only contributed to the Democratic Party. No companies involving active Democrats are to be investigated. Previous investigations of the practice said they were legal.

Four years ago, Barrack Obama pledged to promote a green revolution, saying the government would back alternative-energy technologies that could create 5 million jobs and free the U.S. from a dependence on overseas oil tyrants. Yet our transformation -- driven by fracking -- isn’t green. It is attached by environmentalists, and has no connection to the president’s plans. But because Ohio is a swing state that Obama needs, Obama has made it easier to frack in Ohio and Bloomberg ran headlines today, "Ohio’s Gas-Fracking Boom Seen Aiding Obama in Swing State."

Clearly Obama Solyndra corruption, fast and furious gun-running socialism, and Obama’s Goldman Sachs crony capitalism will only end in further collapse of American production, collapse of small businesses and finally the Obama round up of the hated 2% of wealthy people who will not give everything to the 49% who pay no income taxes but vote for Obama socialism.

The New England jobless rate rose 0.3% in July

According to Bloomberg reports, Bank of America Corp. and Wells Fargo & Co. and others have contributed $20 million toward the cost of the Democratic National Convention, after Obama claimed he wouldn’t accept their dirty corporate bank money.

U.S. manufacturing teetered between growth and contraction in August, according to a survey of economists.

Bullion also was seen climbing as the euro rose as much as 0.3 percent against the dollar. Gold and the greenback tend to move inversely with the euro.

Bullard said the Fed is still awaiting more data before taking action

Our warriors who took out Bin Laden are taking political action to replace their commander in chief because he has loose lips that put them and all Americans at risk. They had taken Bin Laden’s computer with the addresses of his commanders and Obama leaked everything so they could all get away.

The movie documentary, "2016" is very popular and is said to be a truthful presentation of the life of Obama and his goal to "Downsize America."

"This pathetic president spent his entire time dividing the nation." "He has taken all the wealth entrepreneurs created and calls it greed." He is pathetic." Kenneth Langone said

According to the Washington Times, Obama is getting the moron vote.
http://www.washingtontimes.com/news/2012/aug/22/obamas-looking-for-the-moron-vote/

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

The CBS News poll is finally converging with what the more unbiased Rasmussen poll has been saying all along. However the morons are digging in because they are becoming dependent on the Obama gravy train.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 48% of voters nationwide, while President Obama earns the vote from 44%.http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

World market this week
Treasuries declined, snapping a two-day advance, on speculation that the European Central Bank will announce measures soon to ease the euro region’s three-year debt crisis.

Gold, trading near a five-month high, was seen rising in London as economic reports fuel the case for more central-bank stimulus that will stoke demand for the metal. Euro-area manufacturing shrank more than first estimated in August, a report showed yesterday indicating more inflation will be used to stem the depression in jobgrowth.

China Eastern Airlines the nation’s second-largest carrier by passengers, will increase capacity in the second half by 10 percent as it adds new planes and boosts international services.

The Euro currency rose again making EU products less price competitive.

The European Union’s rating outlook was cut to negative by Moody’s Investors Service, reflecting the negative outlook on the Aaa ratings of Germany, France, the U.K. and the Netherlands that account for about 45 percent of the EU’s budget revenue.

A Spanish town in southern Andalusia, is negotiating with unions to fire the top 13 percent of the 2,000 government workers who comprise 80 percent of its budget. 25% of Spain’s workforce is now jobless and more than two-thirds off the nation’s budget must still be cut.

Emerging markets will continue to suffer unless Obama is given the heave-ho. The American markets are essential to the recovery of the world.
http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lows.http://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;


German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
The market continues to test old resistance levels. If the "American Anti-Moron" backlash wins the election or just shows evidence it will win, then stocks will soar in America and unemployment will begin to tumble down.

The Obama QE3 Ponzi scheme continues to destabilize the American economy and Draghi wants Germany to do it for the EU and destroy the future of German children and grandchildren like Obama is doing to future American children. A cash crunch is continuing among American homeowners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets.

Last Week
Case-Shiller 20-city Index Jun 0.5% much improved from -0.7% but CT is down 12.9% from last year.

Aug 28 10:00 AM Consumer Confidence Aug 60.6 a huge drop from 65.9 as Obama’s moron economy goes nowhere.

MBA Mortgage Index 08/25 -4.3% bad again after -7.4% -

GDP - Second Estimate Q2 1.7% still poor after 1.5% -

GDP Deflator - Second Estimate Q2 1.6% still says the GDP increase is due to inflation1.6% not real growth

Pending Home Sales Jul 2.4% improved from -1.4%

Crude Inventories 08/25 3.778M improved from -5.412M

Initial Claims 08/25 374K up from 372K

Continuing Claims 08/18 3316K constant 3317K

Personal Income Jul 0.3% down from 0.5%

Personal Spending Jul 0.4% down from 0.5%

http://www.martincapital.com/index.php?page=graph&view=income

PCE Prices - Core Jul 0.0% flat from 0.2%

Friday
Chicago PMI Aug 53.0 manufacturing down from 53.7

Michigan Sentiment - Final Aug 74.3 recovered most of last month’s loss 73.6

http://www.martincapital.com/index.php?page=graph&view=consumer_sentiment

Factory Orders Jul 2.8% incorrect because they reported the analyst estimate and is more Obama nonsense
http://www.martincapital.com/index.php?page=graph&view=factory_orders

Today
Sep 4 10:00 AM ISM Index Aug

Sep 4 10:00 AM Construction Spending Jul

Sep 4 2:00 PM Auto Sales Aug - NA NA 5.0M

Sep 4 2:00 PM Truck Sales Aug

This Week
Sep 5 7:00 AM MBA Mortgage Index 09/01

Sep 5 8:30 AM Productivity-Rev. Q2

Sep 5 8:30 AM Unit Labor Costs - Rev Q2

Sep 6 7:30 AM Challenger Job Cuts Aug

Sep 6 8:15 AM ADP Employment Change Aug

Sep 6 8:30 AM Initial Claims 09/01

Sep 6 8:30 AM Continuing Claims 08/25

Sep 6 10:00 AM ISM Services Aug

Sep 6 11:00 AM Crude Inventories 09/01

Sep 7 8:30 AM Nonfarm Payrolls Aug

Sep 7 8:30 AM Nonfarm Private Payrolls Aug

Sep 7 8:30 AM Unemployment Rate Aug

Sep 7 8:30 AM Hourly Earnings Aug

Sep 7 8:30 AM Average Workweek Aug

Market outlook Sept 4, 2012
Today the market is looking up after the Republican convention. It is time to get ready to invest again if the market pulls back. The S&P stopped at its upside resistance level set in March. Still no buy signals.

Markets fell yesterday in anticipation that Bernanke is wasting everyone’s time and his Ponzi scheme is an enabler of more socialist debt. This is the quiet before the storm with the VIX under 14 and extreme complacency. Most of Europe takes all of August as a vacation so it is a lost month every year. September reality is coming home. The socialist myth has evaporated and the morons hold their convention next week and the world gets to hear why the next generation of morons needs subsidized free sex more than scholarships.

There still has been no buy signal. The stock market hit old highs and failed to break out. Obama likes to say the market has risen since the morons took office but the truth is the market collapsed when the morons held their 2008 convention but fell the most when the morons were elected.

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.

http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakout.http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The VIX is rising? The low VIX normally precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally end. The driving force this year is the election and whether the morons win or lose.http://finance.yahoo.com/q/bc?s=%5EVIX&t=2y&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low. Getting even worse.http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down again last night hitting new lows. China down –0.8%, Hong Kong down –0.7%, India up 0.3, Japan down –0.1%.

European markets are down half way through their day in a range of -0.3% to -1%.

American market futures are down at about -0.1% in after-hour trading at 8 AM EST. This indicator does not statistically correlate with anything.

Obama wants to “Share the Wealth”; he wants to take his share of your wealth to be exact. September reality is coming home next week. The socialist myth of prosperity with no need to work has evaporated and the morons hold their convention and the world gets to hear why the next generation of Obama morons wants subsidized free birth control for campus sex more than scholarships. Obama likes to say the market has risen since they took office but the truth is the market collapsed during the Obama campaign after Obama said we were in a great depression.

The "American Anti-Moron" backlash is growing fast in Connecticut and other states. 
The New England jobless rate rose 0.3% in July

"Americans are smart enough to know we don’t know all the answers but not dumb enough to believe there are not better answers"- Ann Romney

Our warriors who took out Bin Laden are taking political action to replace their commander in chief because he has loose lips that put them and all Americans at risk. They had taken Bin Laden’s computer with the addresses of his commanders and Obama leaked everything so they could all get away.

"This pathetic president spent his entire time dividing the nation." "He has taken all the wealth entrepreneurs created and calls it greed." He is pathetic." Kenneth Langone said

Cloud computing has the programs running on the Internet not in your private computers. That opens the possibility of private data being accessed on the Internet. With hundreds of billions of appliances and inexpensive sensors that will collect a flood of new data… that will ultimately prove to be too big a temptation to data miners and to government and industrial piracy of government and private intellectual property. It will damage America and the EU more than outsourcing already has. Basically it gives criminals the ability to read the minds of the employees in the corporations in the most advanced countries and in their homes.

According to the Washington Times, Obama is getting the moron vote (mostly women).http://www.washingtontimes.com/news/2012/aug/22/obamas-looking-for-the-moron-vote/

Our government spent 8% GDP in 1910, we were at 25% pre-Obama, and Obama has set the deficit spending to take spending to 40% of GDP mostly spent on a government welfare society in four years. The GOP promises that housing prices will rise everywhere but on Capital Hill. All the highest paid morons work for Obama.

A recent survey of traders and analysts at a conference in South India this weekend concluded gold bullion would climb the most since a 30 percent surge in 2010. That is in line with the high deficits being run by Obama and the socialists of Athens, and Portugal and all the banana republics run by incompetent administrations.

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Mitt Romney slipped 3% in the polls prior to the convention. Americans need to give the Democrat Socialists the boot out of all federal offices if the Obama Greatest Depression Ever on Earth is going to be stopped. There has to be a limit on the maximum permissible Federal/State/Local Government’s spending percentage of the GDP. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

Clearly Obama Solyndra corruption, gangster fast and furious socialism, and Obama’s Goldman Sachs crony capitalism will only end in further collapse of American production, collapse of small businesses and finally the Obama round up of the hated 2% of wealthy people who will not give the 40% who do nothing but vote for Obama socialism, what they want.

Lexmark International Inc. the U.S. printer maker, plans to eliminate 1,700 positions and shut a factory in the Philippines and will cut 1,100 manufacturing positions and also reduce positions in research and development in Lexington, Kentucky. It explores a sale of its main source of income, inkjet technology to raise cash. The inkjet manufacturing facilities in Cebu will be closed by the end of 2015.

Oil rose in New York as U.S. crude inventories were forecast to drop, a storm headed for the Gulf of Mexico and a fire continued to burn at Venezuela’s biggest refinery.

Sands China and its U.S. parent Las Vegas Sands are facing weaker growth in the former Portuguese colony this year as China’s economy slows and high- stake gamblers cut spending. The company is also under greater scrutiny amid the Macau investigation and probes by U.S. regulators.

Tiffany reduced its global net sales growth forecast by 1 percentage point. It lowered its full-year profit outlook to $3.55 to $3.70 a share from $3.70 to $3.80. Global sales at stores open at least a year fell 1 percent, excluding the impact of currency fluctuations.

The CBS News poll is finally converging with what the more unbiased Rasmussen poll has been saying all along. However the morons are digging in because they are becoming dependent on the Obama gravy train.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 45% of voters nationwide, while President Obama earns the vote from 46%.http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

　

World market this week
India’s gross domestic product rose 5.5 percent in the three months through June from a year earlier.

Asian stocks fell, with the regional benchmark index heading for its first monthly decline since May as reports showed lower industrial output in South Korea and Japan amid slowing economic growth.

An index of executive and consumer sentiment in the 17- nation euro area dropped to 86.1 from 87.9 in July, the lowest since August 2009.

Australia faces a deepening slowdown and falling export prices after windfall gains from exports reached a 140-year high last year.

Infosys Ltd. (INFO), India’s second largest software developer by value, has peaked as outsourcing in the USA already has peaked. If Americans take back the government in November the new tax code will make it profitable to do all work in the USA again.

German unemployment increased for a fifth straight month in August as demand for exports fell and companies held back investment.

Europeans have 15 days to justify bondholder optimism that they can deliver lasting solutions to the contagion of debt turmoil. Then new borrowing is needed.

European Central Bank President Mario Draghi hit back at German criticism of his plan to adopt the Obama Ponzi scheme and intervene in bond markets to drop interest rates so that Europeans can afford to spend their grand children’s inheritance.

China's biggest listed steel maker, said its expects its third quarter to be 'most difficult,' in continuing evidence that the world's No. 2 economy is in trouble.

French industrial confidence has been at its lowest for two years, increasing pressure on President Francois Hollande’s government to revive growth and spend their great-grand children’s inheritance.

350 million families living below India’s poverty line starve with a corrupt distribution system that rots 15% of the food to justify stealing another 15% sold by corrupt socialist politicians.

Ivica Dacic, Milosevic’s former socialist wartime spokesman, became prime minister of Serbia a month ago and Tomislav Nikolic, who served as deputy prime minister of the former Communist Yugoslavia toward the end of Milosevic’s regime, was sworn in as president in June. Both men, once barred from entering the EU have pledged to fix the economy.

The Czech Republic is set to borrow at a record-low cost for the fifth consecutive bond auction today as the koruna’s rally to the strongest in four months.

Deutsche Lufthansa AG (LHA) declined 1.8 percent after the airline’s main cabin-crew union planned to strike.

Spain’s recession worsened in the second quarter as the government’s austerity push to reduce the enormous budget deficit and a slump in consumer spending offset growth in exports.

China attacks car driven by Japanese officials in Beijing. "China has told us this was an extremely regrettable incident," Fujimura said. "The authorities said they will make every effort to prevent a re-occurrence of such an incident, and guarantee the safety of Japanese citizens and businesses."

Socialist Hollande says economics bites. He returned from a 15-day summer break last week faced an economy that hasn’t grown in three quarters, rising joblessness, a ballooning trade deficit and a budget hole of more than 30 billion euros ($37 billion) for next year. The challenges ahead may undermine the rally in French bonds that has allowed the country to sell bills at negative yields for the first time in history. During Hollande’s first 100 days in French 10-year debt sold better than comparable German securities. That trend is reversing

Hungary’s central bank will refrain from cutting the EU’s highest benchmark interest rate because of accelerating inflation.

German Chancellor Angela Merkel told officials in her coalition calling for a Greek exit from the Euro to "weigh their words" as she signaled a renewed determination to keep the single currency intact. No progress was made on deficit spending in Greece but the current leader is the first to say he is at least trying. The Ifo institute of Munich said German business confidence dropped to 102.3 from 103.2 in July. That’s the lowest reading since March 2010. Economists predicted a lesser decline to 102.7 so perhaps it has over spiked and is ready to advance next month.

Portuguese government bond trading in the secondary market dropped to an average 3 million euros a day in July, the lowest since at least 2000, from 15 million euros in June. This is the reaction artificial lowering of rates when the governments bid on their own bonds. Liquidity dries up as the situations approach instability. The lower the rates the higher the risk of investors loosing more than 80% of their investments.

A Bloomberg survey of traders and analysts at a conference in Hyderabad in South India on Aug. 25 concluded gold bullion may reach $1,800 an ounce before the year-end. That would be the most since a 30 percent surge in 2010.

Germany’s economic growth slowed to 0.3 percent from 0.5 percent in the first three months of the year, the Federal Statistics Office said today.

Emerging-market stocks dropped to a three-week low as a U.S. jury ruled Samsung Electronics Co. had infringed

Emerging markets will continue to suffer unless Obama is given the heave-ho. http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lows.http://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;



German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
If the backlash wins the election or just shows evidence it will win, then stocks will soar in America and unemployment will begin to tumble down.

The Obama Ponzi scheme continues to destabilize the American economy and Draghi wants Germany to do it for the EU and destroy the future of German children and grandchildren like Obama is doing to future American children. A cash crunch is beginning among American home owners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets. Everyone must have skin at risk in the economy. We cannot have 49% of Americans living as freeloading Obama moron supporters.

Case-Shiller 20-city Index Jun 0.5% much improved from -0.7% but CT is down 12.9% from last year.

Aug 28 10:00 AM Consumer Confidence Aug 60.6 a huge drop from 65.9 as Obama’s moron economy goes nowhere.

MBA Mortgage Index 08/25 -4.3% bad again after -7.4% -

GDP - Second Estimate Q2 1.7% still poor after 1.5% -

GDP Deflator - Second Estimate Q2 1.6% still says the GDP increase is due to inflation1.6% not real growth

Pending Home Sales Jul 2.4% improved from -1.4%

Crude Inventories 08/25 3.778M improved from -5.412M

Yesterday
Initial Claims 08/25 374K up from 372K

Continuing Claims 08/18 3316K constant 3317K

Personal Income Jul 0.3% down from 0.5%

Personal Spending Jul 0.4% down from 0.5%

PCE Prices - Core Jul 0.0% flat from 0.2%

This Week
Aug 31 9:45 AM Chicago PMI Aug

Aug 31 9:55 AM Michigan Sentiment

Aug 31 10:00 AM Factory Orders Jul

Market outlook August 31, 2012
Today the market is looking up after the Republican convention. It is time to get ready to invest again if the market pulls back. The S&P stopped at its upside resistance level set in March. Still no buy signals.

Markets fell yesterday in anticipation that Bernanke is wasting everyone’s time and his Ponzi scheme is an enabler of more socialist debt. This is the quiet before the storm with the VIX under 14 and extreme complacency. Most of Europe takes all of August as a vacation so it is a lost month every year. September reality is coming home. The socialist myth has evaporated and the morons hold their convention next week and the world gets to hear why the next generation of morons needs subsidized free sex more than scholarships.

There still has been no buy signal. The stock market hit old highs and failed to break out. Obama likes to say the market has risen since the morons took office but the truth is the market collapsed when the morons held their 2008 convention but fell the most when the morons were elected.

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakouthttp://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The NASDAQ is near its march level nowhttp://finance.yahoo.com/echarts?s=QQQ+Interactive#symbol=qqq;range=my;compare=;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The VIX is rising? The low VIX normally precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally end. The driving force this year is the election and whether the morons win or losehttp://finance.yahoo.com/q/bc?s=%5EVIX&t=1m&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low.http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down last night. China down –0.3%, Hong Kong down –0.4%, India down -0.9, Japan down –1.6%.

European markets are up half way through their day in a range of 0.5% to 1.4%.

American market futures are up at about 0.5% in after-hour trading at 7 AM EST. This indicator does not statistically correlate with anything.

Cloud computing has the programs running on the Internet not in your private computers. That opens the possibility of private data being accessed on the Internet. With hundreds of billions of appliances and inexpensive sensors that will collect a flood of new data… that will ultimately prove to be too big a temptation to data miners and to government and industrial piracy of government and private intellectual property. It will damage America and the EU more than outsourcing already has. Basically it gives criminals the ability to read the minds of the employees in the corporations in the most advanced countries and in their homes.

Obama wants to "Share the Wealth", his share of your wealth to be exact.

Our warriors who took out Bin Laden are taking political action to replace their commander in chief because he has loose lips that put them and all Americans at risk.

Fortune Magazine this week said that for 25 years CT has been the state with the highest per capita income in the U.S., but is now leading the nation in home-price declines.   Now after three years of Obama, housing values are still falling with prices in the bedroom communities of Greenwich and New Canaan now 12.9 percent lower in the second quarter than only a year earlier. Barrons Magazine just rated Connecticut dead last in the nation. 

"Americans are smart enough to know we don’t know all the answers but not dumb enough to believe there are not better answers"- Ann Romney

"This pathetic president spent his entire time dividing the nation." "He has taken all the wealth entrepreneurs created and calls it greed." He is pathetic." Kenneth Langone said

Our government spent 8% GDP in 1910, we were at 25% pre-Obama, and Obama has set the deficit spending to take spending to 40% of GDP mostly spent on a government welfare society in four years.

A recent survey of traders and analysts at a conference in South India this weekend concluded gold bullion would climb the most since a 30 percent surge in 2010. That is in line with the high deficits being run by Obama and the socialists of Athens, and Portugal and all the banana republics run by incompetent administrations.

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Mitt Romney slipped 3% in the polls prior to the convention. Americans need to give the Democrat Socialists the boot out of all federal offices if the Obama Greatest Depression Ever on Earth is going to be stopped. There has to be a limit on the maximum permissible Federal/State/Local Government’s spending percentage of the GDP. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

Clearly Obama Solyndra corruption, gangster fast and furious gun-running, and Obama’s Goldman Sachs crony capitalism will only end in further collapse of American production, collapse of small businesses and finally the Obama round up of the hated 2% of wealthy people who will not give the 40% who do nothing but vote for Obama socialism, what they want.

Lexmark International Inc. the U.S. printer maker, plans to eliminate 1,700 positions and shut a factory in the Philippines and will cut 1,100 manufacturing positions and also reduce positions in research and development in Lexington, Kentucky. It explores a sale of its main source of income, inkjet technology to raise cash. The inkjet manufacturing facilities in Cebu will be closed by the end of 2015.

Oil rose in New York as U.S. crude inventories were forecast to drop, a storm headed for the Gulf of Mexico and a fire continued to burn at Venezuela’s biggest refinery.

Sands China and its U.S. parent Las Vegas Sands are facing weaker growth in the former Portuguese colony this year as China’s economy slows and high- stake gamblers cut spending. The company is also under greater scrutiny amid the Macau investigation and probes by U.S. regulators.

Tiffany reduced its global net sales growth forecast by 1 percentage point. It lowered its full-year profit outlook to $3.55 to $3.70 a share from $3.70 to $3.80. Global sales at stores open at least a year fell 1 percent, excluding the impact of currency fluctuations.

The CBS News poll is finally converging with what the more unbiased Rasmussen poll has been saying all along. However the morons are digging in because they are becoming dependent on the Obama gravy train.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 45% of voters nationwide, while President Obama earns the vote from 46%.http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

　

World market this week
An index of executive and consumer sentiment in the 17- nation euro area dropped to 86.1 from 87.9 in July, the lowest since August 2009. It is as bad as confidence in America.

Australia faces a deepening slowdown and falling export prices as windfall gains from exports reached a 140-year high last year.

Infosys Ltd. (INFO), India’s second largest software developer by value, has peaked as outsourcing in the USA already has peaked. If Americans take back the government in November the new tax code will make it profitable to do all work in the USA again. If the imported morons win a second term there will be no work in America or the EU for four more years. Either way Infosys and other big outsource firms will go out of business or will evolve into new kinds of firms over the next four years.

German unemployment increased for a fifth straight month in August as demand for exports fell and companies held back investment.

Europeans have 15 days to justify bondholder optimism that they can deliver lasting solutions to the contagion of debt turmoil. Then new borrowing is needed.

European Central Bank President Mario Draghi hit back at German criticism of his plan to adopt the Obama Ponzi scheme and intervene in bond markets to drop interest rates so that Europeans can afford to spend their grand children’s inheritance.

China's biggest listed steel maker, said its expects its third quarter to be 'most difficult,' in continuing evidence that the world's No. 2 economy is in trouble.

French industrial confidence has been at its lowest for two years, increasing pressure on President Francois Hollande’s government to revive growth and spend their great-grand children’s inheritance.

350 million families living below India’s poverty line starve with a corrupt distribution system that rots 15% of the food to justify stealing another 15% sold by corrupt socialist politicians.

Ivica Dacic, Milosevic’s former socialist wartime spokesman, became prime minister of Serbia a month ago and Tomislav Nikolic, who served as deputy prime minister of the former Communist Yugoslavia toward the end of Milosevic’s regime, was sworn in as president in June. Both men, once barred from entering the EU have pledged to fix the economy.

The Czech Republic is set to borrow at a record-low cost for the fifth consecutive bond auction today as the koruna’s rally to the strongest in four months.

Deutsche Lufthansa AG (LHA) declined 1.8 percent after the airline’s main cabin-crew union planned to strike.

Spain’s recession worsened in the second quarter as the government’s austerity push to reduce the enormous budget deficit and a slump in consumer spending offset growth in exports.

China attacks car driven by Japanese officials in Beijing. "China has told us this was an extremely regrettable incident," Fujimura said. "The authorities said they will make every effort to prevent a re-occurrence of such an incident, and guarantee the safety of Japanese citizens and businesses."

Socialist Hollande says economics bites. He returned from a 15-day summer break last week faced an economy that hasn’t grown in three quarters, rising joblessness, a ballooning trade deficit and a budget hole of more than 30 billion euros ($37 billion) for next year. The challenges ahead may undermine the rally in French bonds that has allowed the country to sell bills at negative yields for the first time in history. During Hollande’s first 100 days in French 10-year debt sold better than comparable German securities. That trend is reversing

Hungary’s central bank will refrain from cutting the EU’s highest benchmark interest rate because of accelerating inflation.

German Chancellor Angela Merkel told officials in her coalition calling for a Greek exit from the Euro to "weigh their words" as she signaled a renewed determination to keep the single currency intact. No progress was made on deficit spending in Greece but the current leader is the first to say he is at least trying. The Ifo institute of Munich said German business confidence dropped to 102.3 from 103.2 in July. That’s the lowest reading since March 2010. Economists predicted a lesser decline to 102.7 so perhaps it has over spiked and is ready to advance next month.

Portuguese government bond trading in the secondary market dropped to an average 3 million euros a day in July, the lowest since at least 2000, from 15 million euros in June. This is the reaction artificial lowering of rates when the governments bid on their own bonds. Liquidity dries up as the situations approach instability. The lower the rates the higher the risk of investors loosing more than 80% of their investments.

A Bloomberg survey of traders and analysts at a conference in Hyderabad in South India on Aug. 25 concluded gold bullion may reach $1,800 an ounce before the year-end. That would be the most since a 30 percent surge in 2010.

Germany’s economic growth slowed to 0.3 percent from 0.5 percent in the first three months of the year, the Federal Statistics Office said today.

Emerging-market stocks dropped to a three-week low as a U.S. jury ruled Samsung Electronics Co. had infringed

Emerging markets will continue to suffer unless Obama is given the heave-ho. http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lows.http://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
The QE Ponzi scheme continues to destabilize the American economy and Draghi wants Germany to do it for the EU and destroy the future of German children and grandchildren. A cash crunch is beginning among American home owners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets.  Everyone must have skin at risk in the economy. 

YesterdayCase-Shiller 20-city Index Jun 0.5% much improved from -0.7% but CT is down 12.9% from last year.

Aug 28 10:00 AM Consumer Confidence Aug 60.6 a huge drop from 65.9 as Obama’s moron economy goes nowhere.

MBA Mortgage Index 08/25 -4.3% bad again after -7.4% -

GDP - Second Estimate Q2 1.7% still poor after 1.5% -

GDP Deflator - Second Estimate Q2 1.6% still says the GDP increase is due to inflation1.6% not real growth

Pending Home Sales Jul 2.4% improved from -1.4%

Crude Inventories 08/25 3.778M improved from -5.412M

This Week
Aug 30 8:30 AM Initial Claims 08/25

Aug 30 8:30 AM Continuing Claims 08/18

Aug 30 8:30 AM Personal Income Jul

Aug 30 8:30 AM Personal Spending Jul

Aug 30 8:30 AM PCE Prices - Core Jul

Aug 31 9:45 AM Chicago PMI Aug

Aug 31 9:55 AM Michigan Sentiment

Aug 31 10:00 AM Factory Orders Jul

Market outlook August 30, 2012
Markets are weak today. This is the quiet before the storm with the VIX under 14 and extreme complacency. Most of Europe takes all of August as a vacation so it is a lost month every year.

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakouthttp://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The NASDAQ is near its march level nowhttp://finance.yahoo.com/echarts?s=QQQ+Interactive#symbol=qqq;range=my;compare=;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The VIX is rising? The low VIX normally precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally end. The driving force this year is the election and whether the morons win or losehttp://finance.yahoo.com/q/bc?s=%5EVIX&t=1m&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low.http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down last night. China down –0.1%, Hong Kong down –1.2%, India up 0.3, Japan down -1%.
European markets are down sharply half way through their day in a range of -0.2% to –0.8%.

American market futures are down at about -0.4% in after-hour trading at 7 AM EST. This indicator does not statistically correlate with anything.

Everyone must have skin at risk in our economy. We cannot have 49% of Americans living as freeloading Obama moron supporters.

Yes, Obama and his moron constituency are absolutely correct in thinking they did nothing to earn or justify their American inheritance of the infrastructure or the wealth that our American forefathers have left us. They are absolutely right and should go back to the huts that their forefathers left for them or just stop bemoaning the fact that our American forefathers actually worked much harder and built a nation instead of sitting around a fire in a hut eating their dogs like Obama said he and his dad did in Kenya.

But real Americans know that what our forefathers gave us was the a work ethic, a sense of responsibility to everyone, a customer centric business environment, and most of all the opportunity to succeed with free enterprise and the rule not of politicians but of our constitution, a document that Obama says he despises.

Obama would not be such a moron if he just learned a little "real" American history rather than the brain rotting material he studied under brain rotted socialists. The American infrastructure and wealth is just the icing on the cake that the Obama morons know in their heart they did not inherit but want to seize. Obama’s redistribution is just legalized looting of the national treasury.

Obama has disparaged America and kissed his Saudi Kings. Despair, misery and poverty for everyone is the only true socialistic redistribution the Khmer Rouge, the USSR, and Mao ever achieved. And they all achieved their Draconian goals in less than eight years. Now Americans need to boot Obama and his morons out before they destroy America. 
 
The "American Anti-Moron" backlash is growing fast in Connecticut and other states. Fortune Magazine this week said that for 25 years CT has been the state with the highest per capita income in the U.S., but is now leading the nation in home-price declines as Obama nukes American industrial pre-eminence that had driven out multimillion-dollar incomes and property sales. Now after three years of Obama, housing values are still falling with prices in the bedroom communities of Greenwich and New Canaan are 12.9 percent lower in the second quarter than only a year earlier. Barrons Magazine just rated Connecticut dead last in the nation due to moron State Government democrats in bed with state employee unions. Connecticut’s democrat government legalized smoking Mary Jane and ran up a pension overhang plus its accumulated deficit that is now 17% of the Connecticut’s GDP. The result is that many CT Independents and conservative Democrats are beginning to swing and get ready to vote with the Tea Party and Republicans in November. Republican Senate Candidate Linda Mc Mahon has now taken the lead 49% to 46%. She and her husband worked hard and are self-made millionaires. While the women’s vote unfortunately gave us Obama, increasingly women are joining the anti-moron backlash to rebuild the government bequeathed to us by our forefathers.

"Americans are smart enough to know we don’t know all the answers but not dumb enough to believe there are not better answers"- Ann Romney

"This pathetic president spent his entire time dividing the nation." "He has taken all the wealth entrepreneurs created and calls it greed." He is pathetic." Kenneth Langone said

If the "American Anti-Moron" backlash wins the election or just shows evidence it will win, then stocks will soar in America and unemployment will tumble down.

According to the Washington Times, Obama is getting the moron vote (mostly women).
http://www.washingtontimes.com/news/2012/aug/22/obamas-looking-for-the-moron-vote/

Our government spent 8% GDP in 1910, we were at 25% pre-Obama, and Obama has set the deficit spending to take spending to 40% of GDP mostly spent on a government welfare society in four years.

A recent survey of traders and analysts at a conference in South India this weekend concluded gold bullion would climb the most since a 30 percent surge in 2010. That is in line with the high deficits being run by Obama and the socialists of Athens, and Portugal and all the banana republics run by incompetent administrations.

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Mitt Romney slipped 3% in the polls prior to the convention. Americans need to give the Democrat Socialists the boot out of all federal offices if the Obama Greatest Depression Ever on Earth is going to be stopped. There has to be a limit on the maximum permissible Federal/State/Local Government’s spending percentage of the GDP. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

Clearly Obama Solyndra corruption, gangster fast and furious socialism, and Obama’s Goldman Sachs crony capitalism will only end in further collapse of American production, collapse of small businesses and finally the Obama round up of the hated 2% of wealthy people who will not give the 40% who do nothing but vote for Obama socialism, what they want.

Lexmark International Inc. the U.S. printer maker, plans to eliminate 1,700 positions and shut a factory in the Philippines and will cut 1,100 manufacturing positions and also reduce positions in research and development in Lexington, Kentucky. It explores a sale of its main source of income, inkjet technology to raise cash. The inkjet manufacturing facilities in Cebu will be closed by the end of 2015.

Oil rose in New York as U.S. crude inventories were forecast to drop, a storm headed for the Gulf of Mexico and a fire continued to burn at Venezuela’s biggest refinery.

Sands China and its U.S. parent Las Vegas Sands are facing weaker growth in the former Portuguese colony this year as China’s economy slows and high- stake gamblers cut spending. The company is also under greater scrutiny amid the Macau investigation and probes by U.S. regulators.

Tiffany reduced its global net sales growth forecast by 1 percentage point. It lowered its full-year profit outlook to $3.55 to $3.70 a share from $3.70 to $3.80. Global sales at stores open at least a year fell 1 percent, excluding the impact of currency fluctuations.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 44% of voters nationwide, while President Obama earns the vote from 47%http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

　

World market this week

European Central Bank President Mario Draghi hit back at German criticism of his plan to adopt the Obama Ponzi scheme and intervene in bond markets to drop interest rates so that Europeans can afford to spend their grand children’s inheritance.

China's biggest listed steel maker, said its expects its third quarter to be 'most difficult,' in continuing evidence that the world's No. 2 economy is in trouble.

French industrial confidence has been at its lowest for two years, increasing pressure on President Francois Hollande’s government to revive growth and spend their great-grand children’s inheritance.

350 million families living below India’s poverty line starve with a corrupt distribution system that rots 15% of the food to justify stealing another 15% sold by corrupt socialist politicians.

Ivica Dacic, Milosevic’s former socialist wartime spokesman, became prime minister of Serbia a month ago and Tomislav Nikolic, who served as deputy prime minister of the former Communist Yugoslavia toward the end of Milosevic’s regime, was sworn in as president in June. Both men, once barred from entering the EU have pledged to fix the economy.

The Czech Republic is set to borrow at a record-low cost for the fifth consecutive bond auction today as the koruna’s rally to the strongest in four months.

Deutsche Lufthansa AG (LHA) declined 1.8 percent after the airline’s main cabin-crew union planned to strike.

Spain’s recession worsened in the second quarter as the government’s austerity push to reduce the enormous budget deficit and a slump in consumer spending offset growth in exports.

China attacks car driven by Japanese officials in Beijing. "China has told us this was an extremely regrettable incident," Fujimura said. "The authorities said they will make every effort to prevent a re-occurrence of such an incident, and guarantee the safety of Japanese citizens and businesses."

Socialist Hollande says economics bites. He returned from a 15-day summer break last week faced an economy that hasn’t grown in three quarters, rising joblessness, a ballooning trade deficit and a budget hole of more than 30 billion euros ($37 billion) for next year. The challenges ahead may undermine the rally in French bonds that has allowed the country to sell bills at negative yields for the first time in history. During Hollande’s first 100 days in French 10-year debt sold better than comparable German securities. That trend is reversing

Hungary’s central bank will refrain from cutting the EU’s highest benchmark interest rate because of accelerating inflation.

German Chancellor Angela Merkel told officials in her coalition calling for a Greek exit from the Euro to "weigh their words" as she signaled a renewed determination to keep the single currency intact. No progress was made on deficit spending in Greece but the current leader is the first to say he is at least trying. The Ifo institute of Munich said German business confidence dropped to 102.3 from 103.2 in July. That’s the lowest reading since March 2010. Economists predicted a lesser decline to 102.7 so perhaps it has over spiked and is ready to advance next month.

Portuguese government bond trading in the secondary market dropped to an average 3 million euros a day in July, the lowest since at least 2000, from 15 million euros in June. This is the reaction artificial lowering of rates when the governments bid on their own bonds. Liquidity dries up as the situations approach instability. The lower the rates the higher the risk of investors loosing more than 80% of their investments.

A Bloomberg survey of traders and analysts at a conference in Hyderabad in South India on Aug. 25 concluded gold bullion may reach $1,800 an ounce before the year-end. That would be the most since a 30 percent surge in 2010.

Germany’s economic growth slowed to 0.3 percent from 0.5 percent in the first three months of the year, the Federal Statistics Office said today.

Emerging-market stocks dropped to a three-week low as a U.S. jury ruled Samsung Electronics Co. had infringed

Emerging markets will continue to suffer unless Obama is given the heave-ho.
http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lowshttp://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
The Obama Ponzi scheme continues to destabilize the American economy and Draghi wants Germany to do it for the EU and destroy the future of German children and grandchildren. A cash crunch is beginning among American home owners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets. When the collapse occurs as it will under Obama and other socialists there will be revolutions and violence. Governments will quickly confiscate gold. People will have to stay put to hold their only assets their homes. Travel will collapse. America needs to eject Obama and his Senate and House socialists ASAP.

Everyone must have skin at risk in the economy. We cannot have 49% of Americans living as freeloading Obama moron supporters.

YesterdayCase-Shiller 20-city Index Jun 0.5% much improved from -0.7% but CT is down 12.9% from last year.

Aug 28 10:00 AM Consumer Confidence Aug 60.6 a huge drop from 65.9 as Obama’s moron economy goes nowhere.

This Week
Aug 29 7:00 AM MBA Mortgage Index 08/25

Aug 29 8:30 AM GDP - Second Estimate Q2

Aug 29 8:30 AM GDP Deflator - Second Estimate Q2

Aug 29 10:00 AM Pending Home Sales Jul

Aug 29 10:30 AM Crude Inventories 08/25 -

Aug 29 2:00 PM Fed's Beige Book Aug

Aug 30 8:30 AM Initial Claims 08/25

Aug 30 8:30 AM Continuing Claims 08/18

Aug 30 8:30 AM Personal Income Jul

Aug 30 8:30 AM Personal Spending Jul

Aug 30 8:30 AM PCE Prices - Core Jul

Aug 31 9:45 AM Chicago PMI Aug

Aug 31 9:55 AM Michigan Sentiment

Aug 31 10:00 AM Factory Orders Jul

Market outlook August 29, 2012
If the "American Anti-Moron" back-lash wins the election or just shows evidence it will win then stocks will soar in America and unemployment will tumble down.

Markets are weak today. This is the quiet before the storm with the VIX under 14 and extreme complacency. Most of Europe takes all of August as a vacation so it is a lost month every year.

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakouthttp://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The NASDAQ is near its march level nowhttp://finance.yahoo.com/echarts?s=QQQ+Interactive#symbol=qqq;range=my;compare=;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

Has the VIX bottomed? The low VIX precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally endhttp://finance.yahoo.com/q/bc?s=%5EVIX&t=1m&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low.http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down last night. China down -1%, Hong Kong down -0.1%, India down – 0.8, Japan up 0.4%.

European markets are down half way through their day in a range of -0.6% to +0.2%.

American market futures are down at about -0.1% in after-hour trading at 8 AM EST. This indicator does not statistically correlate with anything.

Women are just realizing now that sexist Obama has already branded his women supporters as self centered and empty headed in his selection of the women speakers to represent women at the Democratic convention. One is a stereotype movie star and another is the infamous co-ed who claimed young liberal women students at private universities needed up to $3000/yr of taxpayer provided birth control for their sex lives. Women according to Obama do not need the $3000/yr for scholarships because they are just too sexy. No, Obama says liberal women can afford private universities except they need, (what could instead be scholarship money) $3000/yr, for their sex lives because their male partners can’t afford condoms. Obama says women need the money more to accommodate men with free sex not because women have brains. In other words women who support Obama are being branded as empty headed sex objects for men who cannot afford their own condoms). Men are about 20% less enamored with Obama than are women.

According to the Washington Times, Obama is getting the moron vote (mostly women).http://www.washingtontimes.com/news/2012/aug/22/obamas-looking-for-the-moron-vote/

We were at 8% GDP spent by government in 1910, we are at 25% pre-Obama, and Obama has set the deficit spending to take spending to 40% of GDP mostly spent on a government welfare society in four years. A recent survey of traders and analysts at a conference in South India this weekend concluded gold bullion would climb the most since a 30 percent surge in 2010. That is in line with the high deficits being run by Obama and the socialists of Athens, and Portugal and all the banana republics run by incompetent administrations.

Mitt Romney would drop government spending to 20% of the GDP as it was under Reagan. Mitt Romney slipped 3% in the polls prior to the convention. Americans need to give the Democrat Socialists the boot out of all federal offices if the Obama Greatest Depression Ever on Earth is going to be stopped. There has to be a limit on the maximum permissible Federal/State/Local Government’s spending percentage of the GDP. Only by controlling the spending will America get the debt and the percentage of freeloaders under control. We need a Constitutional limit on taxes. There were no income taxes of any kind until more than 100 years after the constitution was written.

Clearly Obama Solyndra corruption, gangster fast and furious gun running socialism, and Obama’s Goldman Sachs crony capitalism will only end in further collapse of American production, collapse of small businesses and finally the Obama round up of the hated 2% of wealthy people who will not give the 40% who do nothing but vote for Obama socialism, what they want.

Lexmark International Inc. the U.S. printer maker, plans to eliminate 1,700 positions and shut a factory in the Philippines and will cut 1,100 manufacturing positions and also reduce positions in research and development in Lexington, Kentucky. It explores a sale of its main source of income, inkjet technology to raise cash. The inkjet manufacturing facilities in Cebu will be closed by the end of 2015.

Oil rose in New York as U.S. crude inventories were forecast to drop, a storm headed for the Gulf of Mexico and a fire continued to burn at Venezuela’s biggest refinery.

Connecticut, for 25 years the state with the highest per capita income in the U.S., is now leading the nation in home-price declines as Wall Street trims jobs and bonuses that had driven multimillion-dollar property sales. Prices in the banker bedroom communities of Greenwich and New Canaan, were 12.9 percent lower in the second quarter than a year earlier.

Sands China and its U.S. parent Las Vegas Sands are facing weaker growth in the former Portuguese colony this year as China’s economy slows and high- stake gamblers cut spending. The company is also under greater scrutiny amid the Macau investigation and probes by U.S. regulators.

Tiffany reduced its global net sales growth forecast by 1 percentage point. It lowered its full-year profit outlook to $3.55 to $3.70 a share from $3.70 to $3.80. Global sales at stores open at least a year fell 1 percent, excluding the impact of currency fluctuations.

Rasmussen reports daily Presidential Tracking Poll for Wednesday shows Mitt Romney attracting support from 44% of voters nationwide, while President Obama earns the vote from 47%.http://www.rasmussenreports.com/public_content/politics/obama_administration/daily_presidential_tracking_poll

　

World market this week
World markets are down sharply today.

Deutsche Lufthansa AG (LHA) declined 1.8 percent after the airline’s main cabin-crew union planned to strike.

Spain’s recession worsened in the second quarter as the government’s austerity push to reduce the enormous budget deficit and a slump in consumer spending offset growth in exports.

China attacks car driven by Japanese officials in Beijing. "China has told us this was an extremely regrettable incident," Fujimura said. "The authorities said they will make every effort to prevent a re-occurrence of such an incident, and guarantee the safety of Japanese citizens and businesses."

Socialist Hollande says economics bites. He returned from a 15-day summer break last week faced an economy that hasn’t grown in three quarters, rising joblessness, a ballooning trade deficit and a budget hole of more than 30 billion euros ($37 billion) for next year. The challenges ahead may undermine the rally in French bonds that has allowed the country to sell bills at negative yields for the first time in history. During Hollande’s first 100 days in French 10-year debt sold better than comparable German securities. That trend is reversing

Hungary’s central bank will refrain from cutting the EU’s highest benchmark interest rate because of accelerating inflation.

German Chancellor Angela Merkel told officials in her coalition calling for a Greek exit from the Euro to "weigh their words" as she signaled a renewed determination to keep the single currency intact. No progress was made on deficit spending in Greece but the current leader is the first to say he is at least trying. The Ifo institute of Munich said German business confidence dropped to 102.3 from 103.2 in July. That’s the lowest reading since March 2010. Economists predicted a lesser decline to 102.7 so perhaps it has over spiked and is ready to advance next month.

Portuguese government bond trading in the secondary market dropped to an average 3 million euros a day in July, the lowest since at least 2000, from 15 million euros in June. This is the reaction artificial lowering of rates when the governments bid on their own bonds. Liquidity dries up as the situations approach instability. The lower the rates the higher the risk of investors loosing more than 80% of their investments.

A Bloomberg survey of traders and analysts at a conference in Hyderabad in South India on Aug. 25 concluded gold bullion may reach $1,800 an ounce before the year-end. That would be the most since a 30 percent surge in 2010.

Germany’s economic growth slowed to 0.3 percent from 0.5 percent in the first three months of the year, the Federal Statistics Office said today.

Emerging-market stocks dropped to a three-week low as a U.S. jury ruled Samsung Electronics Co. had infringed Apple Inc.’s patents and concern mounted corporate earnings growth in developing nations is slowing.

Emerging markets will continue to suffer unless Obama is given the heave-ho. http://finance.yahoo.com/echarts?s=^BVSP+Interactive#chart1:symbol=^bvsp;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefine

Emerging market composite indicates continued breaking down through the recent lows.http://finance.yahoo.com/echarts?s=%5EGSPTSE+Interactive#symbol=^gsptse;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;


German stocks are faltering below the recent high that is now close to the March level which is still below the high of 2011 and 2012: Choose 2 or 5 years.
http://finance.yahoo.com/echarts?s=%5EGDAXI+Interactive#chart2:symbol=^gdaxi;range=2y;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

The Swiss Market is testing moving averages. It gave a sell signal last year. It is at a new high for 2012 but below the 2011 high.http://finance.yahoo.com/echarts?s=%5ESSMI+Interactive#chart1:symbol=^ssmi;range=2y;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

American Economy
The Obama Ponzi scheme continues to destabilize the American economy. A cash crunch is beginning among American home owners. Cash is locked up in fixed assets and falling home prices now is hitting the vast majority of Americans who took out home equity loans. Once the bond market collapses -70% all trade and economic exchange will collapse because the free world runs on credit cards not cash and the banks will be insolvent because they hold unstable American treasuries. The world governments are running out of money for their social nets. When the collapse occurs as it will under Obama and other socialists there will be revolutions and violence. Governments will quickly confiscate gold. People will have to stay put to hold their only assets their homes. Travel will collapse. America needs to eject Obama and his Senate and House socialists.

This Week
Aug 28 9:00 AM Case-Shiller 20-city Index Jun

Aug 28 10:00 AM Consumer Confidence Aug

Aug 29 7:00 AM MBA Mortgage Index 08/25

Aug 29 8:30 AM GDP - Second Estimate Q2

Aug 29 8:30 AM GDP Deflator - Second Estimate Q2

Aug 29 10:00 AM Pending Home Sales Jul

Aug 29 10:30 AM Crude Inventories 08/25 -

Aug 29 2:00 PM Fed's Beige Book Aug

Aug 30 8:30 AM Initial Claims 08/25

Aug 30 8:30 AM Continuing Claims 08/18

Aug 30 8:30 AM Personal Income Jul

Aug 30 8:30 AM Personal Spending Jul

Aug 30 8:30 AM PCE Prices - Core Jul

Aug 31 9:45 AM Chicago PMI Aug

Aug 31 9:55 AM Michigan Sentiment

Aug 31 10:00 AM Factory Orders Jul

Market outlook August 28, 2012
Markets are weak today. This is the quiet before the storm with the VIX under 14 and extreme complacency. Most of Europe takes all of August as a vacation so it is a lost month every year.

People forget that the DJI is not by itself the famous stock market indicator. The DJR must confirm the DJI for there to be a buy signal or sell signal. The DJI and DJR confirmed a sell signal together in August 2011and the DJR remains confirming that sell signal today. The DJI is the last "safe" place bulls go to reduce risk before the entire stock market collapses. Therefore the DJI is biased bullish and needs the DJR for balance. The DJ Rails continues to say sell even as people seek the false security of the DJ Industrials. The Divergence you see is the classic symptom of the Dow theory bull’s trap.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=6m;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

12,000 Federal workers are reported getting government pensions exceeding $100,000/yr for life.

The NYSE is much more representative of the US economy than are the DOW indices. Examine the last 5 years of the NYSE. It shows that Obama may be taking America into a profoundly deeper depression breaking 2009 lows if he is re-elected.
http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=5y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined;

The Dow Theory Industrials and Rails sell signal of August 2, 2011 still holds. The Rails failed again to meet even the last shoulder of the head and shoulder sell signal.
http://finance.yahoo.com/echarts?s=%5EDJT+Interactive#symbol=^djt;range=5y;compare=^dji;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

The market sell signal is also seen in 3-month market cyclic data. Notice that yesterday wasn’t even a breakout.http://finance.yahoo.com/echarts?s=%5ENYA+Interactive#symbol=^nya;range=2y;compare=;indicator=ema(200,100)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=off;source=undefined

The NASDAQ is near its march level now.http://finance.yahoo.com/echarts?s=QQQ+Interactive#symbol=qqq;range=my;compare=;indicator=;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined;

Has the VIX bottomed? The low VIX precedes a sell-off. Once that starts the VIX needs to go up above 30 until bear markets normally end.http://finance.yahoo.com/q/bc?s=%5EVIX&t=1m&l=on&z=l&q=l&c=

The Baltic Dry Index says world trade is now at a depression low. http://www.bloomberg.com/quote/BDIY:IND/chart

Stock market update:
Asian markets were down last night. China up 1.7%, Hong Kong up 0.1%, India down – 0.3%, S. Korea down – 0.1%, Japan down –0.6%.

European markets are down sharply half way through their day in a range of -0.4% to –1.7%.

American market futures are down at about 0.2% in after-hour trading at 8 AM EST. This indicator does not statistically correlate with anything.