Whewwwww! What a month October has been. The worst month in % losses in the history of Wall Street, and the worse is likely to come out over the next few month since all the bad news has yet to hit the streets.
With the election of BHO on Tuesday, the country will begin the change that will make it into a 3rd world country similar to the impotent European countries of the European Union, but, alas, I believe that the USA must diminish for the world to progress to the final stages of its existence.
Have a great weekend, and don't lose heart. Remember, the Creator has set the world in motion and established its rules and principles that can't be violated. We get exactly what we put out, and the hard work of the past USA may not mean as much in the future given the way this Bush 43 administration has turned the US Treasury into a piggy bank for Wall Street executives, auto companies, insurance companies, banks, and now your next door neighbor that isn't paying his mortgage.
The LOUC of all this will be complete dampening of the American spirit to the point where it will not make sense to do anything beyond what you can get from the government. It is going to destroy the American character of hard-working, innovation, and vision. The loss of these characteristics will be both sad and permanent as the children of this generation will not know how to remount the levels of previous American glory.
History will look back and point to this election as the point at which the USA slipped into mediocrity and third world status, but that's the way it is suppose to be.
Good Night, America.
Friday, October 31, 2008
BHO trying to prevent last minute mistakes
BHO is trying to prevent a "last minute faux pas" by limited access to him by media players not sensitive to his candidacy. Reporters are not given much time directly with the Democratic Presidential nominee since they don't want anything to upset his lead in the race as indicated by the polls.
This is not someone comfortable with speaking his mind or answering questions not scripted for him on a teleprompter it would seem.
I wonder what he will do in the crisis that Joe Biden talked about that is coming after he is installed as President on Jan. 20, 2009.
This is not someone comfortable with speaking his mind or answering questions not scripted for him on a teleprompter it would seem.
I wonder what he will do in the crisis that Joe Biden talked about that is coming after he is installed as President on Jan. 20, 2009.
How a BHO White House will suppress opposition
The BHO-authorized suppression of conservatives continues with the absolutely unbelievable treatment of "Joe the Plumber" (Samuel Joe Wurzelbacher) by the Ohio Democratic machine now in power in that state.
Mr. Wurzelbacher had the audacity to ask BHO a question for which he didn't have a good answer so he fell back on his true socialistic leanings and responded with the statement that has now become an epitaph for the final days of the campaign:
"spread the wealth..."
These simple 3 words have done more to scare people away from BHO's socialistic tendencies and towards the American Dream based on working for your dream, not have it taken from one and given to others. That's not the American Way. You don't take from one and give to others that haven't worked for it. There are many people have just want a hand-out, and not an opportunity to succeed.
The BHO administration is going to raise taxes on all people, suppress opposition, kill opportunity in favor of hand-outs, and grow government to where it is the major force in every American's life.
While I don't look forward to this, I still think BHO and his SMDC is going to elected, but maybe with not the huge mandate they were hoping for a few weeks ago. However, I still think the Reid/Pelosi Congress is going to do as much damage as they can before the 2010 elections bring them to task.
They can do a lot of mischief in 2 short years, but the American public will have to pay for their emotional election of BHO and a SMDC.
Mr. Wurzelbacher had the audacity to ask BHO a question for which he didn't have a good answer so he fell back on his true socialistic leanings and responded with the statement that has now become an epitaph for the final days of the campaign:
"spread the wealth..."
These simple 3 words have done more to scare people away from BHO's socialistic tendencies and towards the American Dream based on working for your dream, not have it taken from one and given to others. That's not the American Way. You don't take from one and give to others that haven't worked for it. There are many people have just want a hand-out, and not an opportunity to succeed.
The BHO administration is going to raise taxes on all people, suppress opposition, kill opportunity in favor of hand-outs, and grow government to where it is the major force in every American's life.
While I don't look forward to this, I still think BHO and his SMDC is going to elected, but maybe with not the huge mandate they were hoping for a few weeks ago. However, I still think the Reid/Pelosi Congress is going to do as much damage as they can before the 2010 elections bring them to task.
They can do a lot of mischief in 2 short years, but the American public will have to pay for their emotional election of BHO and a SMDC.
Pro-McCain media kicked off Obama plane
If you haven't believed me before you should now, the BHO campaign has kicked off 3 pro-McCain newspaper reporters, the Washington Times, the New York Post, and the Dallas Morning News, due to "space problems." Amazing that it was the McCain-endorsing newspapers that were kicked off and now of the others.
Add to to this the Democratic-based Ohio officials that are investigating "Joe the Plumber" (Samuel Joe Wurzelbacher) for no other reason then he asked BHO an embarrassing question, and you get a picture of what the BHO White House will do to those that don't agree or have the audacity to embarrass their position.
Punishment for disagreement with the BHO administration is going to show the world that BHO is nothing short of moving towards a government-controlled or "punished" media, it would seem like voters would start to see how BHO and his SMDC are going to "change the rules."
An independent press and that means those that don't agree with you have to be allowed equal access to the government is one of the most important guarantees of freedom in any country. One of the first rights bridled when a totalitarian leaning government begins to take over in a political formation is the right of a free-press since a free-press will expose, uncover and illustrate the government's take over of personal freedoms and liberties.
The liberal press and blogosphere are going to change their tune once the same limitations now being imposed on the conservative free-press either through the removal of access to BHO or via the "Fairness Doctrine" is going to be turned on them as soon as they begin to show some of the BHO and SMDC's excesses. I know they believe that BHO's administration will never turn on them, but BHO has a record of turning on those that previously supported him when it didn't improve his political stature. Remember how he dumped Wright, Ayers, ACORN, and the list goes on.
The liberal press will soon the object of his limitations as well. It has happened in many other political venues, and if BHO and his SMDC get their mandate, IT WILL HAPPEN IN AMERICA.
Add to to this the Democratic-based Ohio officials that are investigating "Joe the Plumber" (Samuel Joe Wurzelbacher) for no other reason then he asked BHO an embarrassing question, and you get a picture of what the BHO White House will do to those that don't agree or have the audacity to embarrass their position.
Punishment for disagreement with the BHO administration is going to show the world that BHO is nothing short of moving towards a government-controlled or "punished" media, it would seem like voters would start to see how BHO and his SMDC are going to "change the rules."
An independent press and that means those that don't agree with you have to be allowed equal access to the government is one of the most important guarantees of freedom in any country. One of the first rights bridled when a totalitarian leaning government begins to take over in a political formation is the right of a free-press since a free-press will expose, uncover and illustrate the government's take over of personal freedoms and liberties.
The liberal press and blogosphere are going to change their tune once the same limitations now being imposed on the conservative free-press either through the removal of access to BHO or via the "Fairness Doctrine" is going to be turned on them as soon as they begin to show some of the BHO and SMDC's excesses. I know they believe that BHO's administration will never turn on them, but BHO has a record of turning on those that previously supported him when it didn't improve his political stature. Remember how he dumped Wright, Ayers, ACORN, and the list goes on.
The liberal press will soon the object of his limitations as well. It has happened in many other political venues, and if BHO and his SMDC get their mandate, IT WILL HAPPEN IN AMERICA.
Thursday, October 30, 2008
How dare you ignore a government hand-out!
Another indication that the government is becoming a heavy-handed player in the private financial industry came today when the President of the ABA (American Bankers Association) Edward Yingling in a letter to Treasury Secretary Henry Paulson complained that some of his membership are being "strong armed" into participating in the Government's TARP operations.
Mr. Yingling has stated several times during Congressional hearings and investigations that many of the small to medium sized banks and bank holding companies are doing just fine and don't need nor want the government's money. He complained that the Treasury should "back off" and let these banks determine on their own if they want to participate or not.
Well! I can't believe that! Mr. Yingling, how dare you not take a government hand-out when offered! ;-)
On a related note, the Treasury Department is not releasing the list of banks and institutions that have or are going to participate in the TARP operations for "fear of stigmatizing..." the institutions.
Again, well, I can't believe that anyone would think that. And the beat goes on towards the USSA.
5 more days until the beginning of the USSA.
Mr. Yingling has stated several times during Congressional hearings and investigations that many of the small to medium sized banks and bank holding companies are doing just fine and don't need nor want the government's money. He complained that the Treasury should "back off" and let these banks determine on their own if they want to participate or not.
Well! I can't believe that! Mr. Yingling, how dare you not take a government hand-out when offered! ;-)
On a related note, the Treasury Department is not releasing the list of banks and institutions that have or are going to participate in the TARP operations for "fear of stigmatizing..." the institutions.
Again, well, I can't believe that anyone would think that. And the beat goes on towards the USSA.
5 more days until the beginning of the USSA.
The coming political tsunami in the USA
BHO and his campaign are going to do everything they can to keep it together over the next 5 days. In other words, they are going to try and run out the clock without making any big mistakes that have turned elections in the past during the final days.
Once BHO is elected (assuming that battleground states like Ohio, Florida, and Pennsylvania do not have their results challenged in court), the changes will begin almost immediately. A brand new crowd with liberal and socialistic beliefs will begin on taking power in Washington. The federal government will begin to grow and intrude into every part of your life. More and more of what you do, where you go, and how you live will be dictated by the benevolent federal crowd.
I firmly believe that there will be no going back unless after 4-8 years of a BHO administration, the country revolts and sends the liberals packing; however, by the time it becomes evident that the country is no longer a representative democracy, it will be too late.
I know that many don't believe that the USA can change that far and that quickly, but think how far the country moved from the 1960 election of JFK through the Nixon administration. The cultural and political changes, the changes in technology and education. The basis of liberalism, the lost of self-reliance, the growth of government dependence were all results of the 1960 elections and changes that they brought to the USA.
The election of BHO will bring about even more changes and movement towards a socialistic formation in the USA. This is precisely why I don't believe the USA can be saved from itself. The next generation was not taught self-responsibility, self-reliance, or ethical behavior. They want entertainment, they want to be taken care of, they want, yes shall we say it:
BREAD and CIRCUS!
The result of the changes brought about by the success of the Roman Republic was the degradation of the Roman populace to the point where the Roman Empire was made possible. It has happened over and over throughout history. I don't believe the USA is somehow immune to such forces. It is the normal process of the human equation towards increasing Entropy or chaos.
Now you know why I will not be upset with the likely outcome of next Tuesday's election. The USA has be eliminated as a world power to set the stage for the next act of man's play upon the earth.
Once BHO is elected (assuming that battleground states like Ohio, Florida, and Pennsylvania do not have their results challenged in court), the changes will begin almost immediately. A brand new crowd with liberal and socialistic beliefs will begin on taking power in Washington. The federal government will begin to grow and intrude into every part of your life. More and more of what you do, where you go, and how you live will be dictated by the benevolent federal crowd.
I firmly believe that there will be no going back unless after 4-8 years of a BHO administration, the country revolts and sends the liberals packing; however, by the time it becomes evident that the country is no longer a representative democracy, it will be too late.
I know that many don't believe that the USA can change that far and that quickly, but think how far the country moved from the 1960 election of JFK through the Nixon administration. The cultural and political changes, the changes in technology and education. The basis of liberalism, the lost of self-reliance, the growth of government dependence were all results of the 1960 elections and changes that they brought to the USA.
The election of BHO will bring about even more changes and movement towards a socialistic formation in the USA. This is precisely why I don't believe the USA can be saved from itself. The next generation was not taught self-responsibility, self-reliance, or ethical behavior. They want entertainment, they want to be taken care of, they want, yes shall we say it:
BREAD and CIRCUS!
The result of the changes brought about by the success of the Roman Republic was the degradation of the Roman populace to the point where the Roman Empire was made possible. It has happened over and over throughout history. I don't believe the USA is somehow immune to such forces. It is the normal process of the human equation towards increasing Entropy or chaos.
Now you know why I will not be upset with the likely outcome of next Tuesday's election. The USA has be eliminated as a world power to set the stage for the next act of man's play upon the earth.
Election polls are swinging to-and-fro
The current Presidential campaign is swinging back towards the McCain camp, but this is normal in the closing moments of a very contentious election cycle. This, however, is only tease for the McCain side since BHO is going to win regardless of what McCain/Palin do in these last few days.
The media is going to protect the BHO side with everything they can muster since if McCain/Palin win, the main stream media will find themselves again on the outside of Presidential politics due to their strong, demonstrative support for the BHO side. The media and celebrities from Hollywood want back into the "Lincoln bedroom" so bad they can taste it, and are willing to do anything to accomplish the election of BHO and a SMDC (super-majority Democratic Congress - see acronyms posting).
These 2 groups, working in concert, have been thwarted twice in the last 2 election cycles by the country's election of the dolt from Texas as they call Bush 43. They simply can't understand how the country would ignore their leading and elect Bush 43 twice. This time they are taking no chances by controlling the media stories which in the last Rasmussen polls have shown that over 70% of American believe the media is BHO-sensitive.
When BHO and his SMDC is elected next Tuesday, the voters will have to contend with the results of their very emotional, but not very well informed choice. The media will begin to cover-up all the stories that they should have written during the campaign on BHO, but failed to do so. The stories coming out after the election would do nothing but undercut the BHO victory and prove that the main stream media is no longer independent.
The media is going to protect the BHO side with everything they can muster since if McCain/Palin win, the main stream media will find themselves again on the outside of Presidential politics due to their strong, demonstrative support for the BHO side. The media and celebrities from Hollywood want back into the "Lincoln bedroom" so bad they can taste it, and are willing to do anything to accomplish the election of BHO and a SMDC (super-majority Democratic Congress - see acronyms posting).
These 2 groups, working in concert, have been thwarted twice in the last 2 election cycles by the country's election of the dolt from Texas as they call Bush 43. They simply can't understand how the country would ignore their leading and elect Bush 43 twice. This time they are taking no chances by controlling the media stories which in the last Rasmussen polls have shown that over 70% of American believe the media is BHO-sensitive.
When BHO and his SMDC is elected next Tuesday, the voters will have to contend with the results of their very emotional, but not very well informed choice. The media will begin to cover-up all the stories that they should have written during the campaign on BHO, but failed to do so. The stories coming out after the election would do nothing but undercut the BHO victory and prove that the main stream media is no longer independent.
Bear market rally and market operations
Recent market gains are normal during a bear market. Remember a cardinal rule of the markets:
Markets do not go straight up or down instead they cycle up and down.
What is meant by this is that for every transaction there is both a buyer and a seller, no more, no less. This is what government bureaucrats and politicians don't understand, and is why they believe that by banning particular activities such as short selling, they are somehow protecting the markets. Their error is thinking that sellers operate or control markets by themselves. Every seller must find a willing buyer at an agreed upon price.
To find a buyer, a seller must offer a stock, future, or option as a price that will coax a buyer to invest his/her money in the belief that they will make a profit. The seller believes that he/she will make a profit as well, it's just that they are of different beliefs: the buyer believes the instrument will go up while the seller believes the opposite.
So this rally will continue to the point where 1 of 2 things will happen:
Buyers can not coax any more sellers to take the other side of their trades at prices the buyers want to buy at.
All interested buyers are fully invested in a particular instrument.
This minute-by-minute tug of war is of little value to most long term investors; however, it is precisely this action that produces the ups and downs that normal people find bewildering and sometimes silly.
This "bear-market rally" will probably run out of steam when the professional investors have purchased their fill from the general public that is in panic-mode. After this rebalancing of portfolios, the bad economic news or the current recession will begin the slow process of producing a bear market bottom from which the seeds of the next bull rally will spring.
Such operations will continue until the rules are so altered that normal market forces can not longer operate effectively. The current government intervention could cause the markets to change to where they no longer operate effectively. This is the real danger of government tampering with a free-market system.
Markets do not go straight up or down instead they cycle up and down.
What is meant by this is that for every transaction there is both a buyer and a seller, no more, no less. This is what government bureaucrats and politicians don't understand, and is why they believe that by banning particular activities such as short selling, they are somehow protecting the markets. Their error is thinking that sellers operate or control markets by themselves. Every seller must find a willing buyer at an agreed upon price.
To find a buyer, a seller must offer a stock, future, or option as a price that will coax a buyer to invest his/her money in the belief that they will make a profit. The seller believes that he/she will make a profit as well, it's just that they are of different beliefs: the buyer believes the instrument will go up while the seller believes the opposite.
So this rally will continue to the point where 1 of 2 things will happen:
Buyers can not coax any more sellers to take the other side of their trades at prices the buyers want to buy at.
All interested buyers are fully invested in a particular instrument.
This minute-by-minute tug of war is of little value to most long term investors; however, it is precisely this action that produces the ups and downs that normal people find bewildering and sometimes silly.
This "bear-market rally" will probably run out of steam when the professional investors have purchased their fill from the general public that is in panic-mode. After this rebalancing of portfolios, the bad economic news or the current recession will begin the slow process of producing a bear market bottom from which the seeds of the next bull rally will spring.
Such operations will continue until the rules are so altered that normal market forces can not longer operate effectively. The current government intervention could cause the markets to change to where they no longer operate effectively. This is the real danger of government tampering with a free-market system.
Wednesday, October 29, 2008
Market sold off in last 30 minutes of trading
The market sold off its HOS [971 SP 500] down to the [920 SP 500] levels putting the DOW down to a loss of 75pts, but off an intraday high of +300pts.
This means that investors/traders are doing what they do in a bear market recession of "sell the rallies".
The bottom has probably not be seen yet, and it will drift slowly lower as several things start to indicate the future of the market action:
Companies are beginning to end their contribution to employees' 401K plans.
Credit card companies are beginning to lower customer's credit limits and raise rates. This will cause the consumer to pull-back and make Christmas retail period this year very dismal.
The Federal Reserve is lowering interest rates so savers are going to lose money (interest) on their deposits and this tends to reduce the amount of savings both for retirement and emergency times.
Car leasing companies are not offering car loans
Mortgages are getting much tougher to get and so all the other ancillary industries of home buying are going to suffer as well.
Next administration likely to be BHO has said that he favors a withdrawal from IRA and 401Ks without penalty and this would cause another wave of redemptions of stocks.
If BHO is elected, he has said that he would raise taxes on all kinds of entities from dividends, capital gains, and corporations. Again, all these have chilling impacts on the stock markets.
All these plus more and more pressure on the US stock markets keeping their rallies from really taking hold as companies begin to show lower and lower earnings as the consumer which has been 2/3 of this economy begins to really pull-back after the election.
It's just the normal cycle of capitalism, but its going to exacerbated by the BHO's election and with his SMDC's propensity to spend, spend, spend. The deficit is going to be over $1 Trillion USD next year. I wonder how the BHO and SMDC are going to blame it on anyone then?
This means that investors/traders are doing what they do in a bear market recession of "sell the rallies".
The bottom has probably not be seen yet, and it will drift slowly lower as several things start to indicate the future of the market action:
Companies are beginning to end their contribution to employees' 401K plans.
Credit card companies are beginning to lower customer's credit limits and raise rates. This will cause the consumer to pull-back and make Christmas retail period this year very dismal.
The Federal Reserve is lowering interest rates so savers are going to lose money (interest) on their deposits and this tends to reduce the amount of savings both for retirement and emergency times.
Car leasing companies are not offering car loans
Mortgages are getting much tougher to get and so all the other ancillary industries of home buying are going to suffer as well.
Next administration likely to be BHO has said that he favors a withdrawal from IRA and 401Ks without penalty and this would cause another wave of redemptions of stocks.
If BHO is elected, he has said that he would raise taxes on all kinds of entities from dividends, capital gains, and corporations. Again, all these have chilling impacts on the stock markets.
All these plus more and more pressure on the US stock markets keeping their rallies from really taking hold as companies begin to show lower and lower earnings as the consumer which has been 2/3 of this economy begins to really pull-back after the election.
It's just the normal cycle of capitalism, but its going to exacerbated by the BHO's election and with his SMDC's propensity to spend, spend, spend. The deficit is going to be over $1 Trillion USD next year. I wonder how the BHO and SMDC are going to blame it on anyone then?
FOMC action and market reaction
The FOMC cut the Fed Funds by 50bp, and the Discount Rate by 50bp as expected. It was the language of the meeting minutes that caused the lag in the time it took for the move to take place.
The Fed Funds Rate is now 1.0%
The Discount Rate is now 1.25%
The language of the announcement that caused the big move down was the FOMC said it would continue to "act as needed." It also just mentioned that the economy is slowing down, but they did not use the recession label.
That's pretty bland and banal language that really doesn't tip the Fed's hand since they are only 100 bp from going to 0% which would put the Fed in a non-action capable mode.
The 3 stage move played out with an initial move down, a reversal to fail to make new highs of the session, and then the 3rd stage back to the downside.
The rest of the day is now going to be based the "buy the rumor, and sell the news" meaning that the 50bp was already in the market price and now there is very little that future Fed action can do to stem the tide of the financial crisis as more and more houses go into foreclosure and real estate values continue to drop.
The market could slowly drift down over the next few trading days back to the SP 500 850 levels before too long since the Fed language suggested that the US and global economies are in a recession period and it could take up to 12-18 months to recover.
The Fed Funds Rate is now 1.0%
The Discount Rate is now 1.25%
The language of the announcement that caused the big move down was the FOMC said it would continue to "act as needed." It also just mentioned that the economy is slowing down, but they did not use the recession label.
That's pretty bland and banal language that really doesn't tip the Fed's hand since they are only 100 bp from going to 0% which would put the Fed in a non-action capable mode.
The 3 stage move played out with an initial move down, a reversal to fail to make new highs of the session, and then the 3rd stage back to the downside.
The rest of the day is now going to be based the "buy the rumor, and sell the news" meaning that the 50bp was already in the market price and now there is very little that future Fed action can do to stem the tide of the financial crisis as more and more houses go into foreclosure and real estate values continue to drop.
The market could slowly drift down over the next few trading days back to the SP 500 850 levels before too long since the Fed language suggested that the US and global economies are in a recession period and it could take up to 12-18 months to recover.
How the market moves after a FOMC announcement
How to play the FOMC STIR announcement action is a topic of much discussion amongst day traders. I have found that the FOMC announcement produces a 3 stage move:
Stage 1: the move is in the direction of ultimate trend, but it only lasts for a few minutes if that. This move is called the "weak hand move" since it is usually taken by weak, quick hands that can't wait for the trend to establish itself and have to get right on the leading/bleeding edge.
Stage 2: this is a reverse of stage 1 against the ultimate direction about 50% of the stage 1 move, and then it reverses sometimes in a very ugly manner - meaning not a clean "V" reversal and it usually reverses off some important support & resistance line. This is called the "fake-out move."
Stage 3: this reverses the stage 2 counter-move and reestablishes the original direction after faking out the weaker hands that give up their original position to stronger hands that have the calm to wait out the first weak move.
This is not guaranteed, but a move that I have seen over and over given the kind of information the FOMC releases at 1415. Remember, the stock market is discounter of future information and it has already priced in a 50bp STIR cut so if the FOMC does something not at the 50bp level or makes some big change in their language about future rate moves.
I would suggest that you don't play this type of move the first couple of times, but just watch to see if you can pick out the 3 stages of the market moves after the FOMC STIR announcement.
Finally, if the cuts are what the market expects, in this case 50bp, but there is some change in the language about future interest rate moves, it may take the market sometimes up to 15 minutes to go through the above 3 stages as the language is analyzed and disseminated.
Stage 1: the move is in the direction of ultimate trend, but it only lasts for a few minutes if that. This move is called the "weak hand move" since it is usually taken by weak, quick hands that can't wait for the trend to establish itself and have to get right on the leading/bleeding edge.
Stage 2: this is a reverse of stage 1 against the ultimate direction about 50% of the stage 1 move, and then it reverses sometimes in a very ugly manner - meaning not a clean "V" reversal and it usually reverses off some important support & resistance line. This is called the "fake-out move."
Stage 3: this reverses the stage 2 counter-move and reestablishes the original direction after faking out the weaker hands that give up their original position to stronger hands that have the calm to wait out the first weak move.
This is not guaranteed, but a move that I have seen over and over given the kind of information the FOMC releases at 1415. Remember, the stock market is discounter of future information and it has already priced in a 50bp STIR cut so if the FOMC does something not at the 50bp level or makes some big change in their language about future rate moves.
I would suggest that you don't play this type of move the first couple of times, but just watch to see if you can pick out the 3 stages of the market moves after the FOMC STIR announcement.
Finally, if the cuts are what the market expects, in this case 50bp, but there is some change in the language about future interest rate moves, it may take the market sometimes up to 15 minutes to go through the above 3 stages as the language is analyzed and disseminated.
BHO web site not using credit card AVS process
BHO's campaign site now under pressure to prove they have not violated federal campaign election rules by their acceptance of non-AVS (address verification system) credit card donations as reported by several news outlets.
Basically, the AVS is a credit card industry verification system where the card's user and owner are verified to be the same by ensuring the card's usage matches the card's owner private information. By turning off the AVS portion of the credit card acceptance processing, a person could use a credit card and make donations using different names and addresses thereby getting by the federal campaign election donation rules of disclosure and amounts donated.
The Washington Post did an article with Bradley A. Smith, former FEC (federal election commission) chairman, during a Q&A session. The one thing that amazes me is that the elimination of the AVS process on the BHO web site was completely missed.
Mr. Smith even said, which he shows his ignorance, that "these contributions are made by credit card. The campaign therefore has a way to track the real donors, and a legal obligation to report the sources accurately or refund the money. I'm comfortable that will happen. You might say the process is working."
Ahhhh, if the website doesn't use the AVS, then this statement is simply silly.
Basically, the AVS is a credit card industry verification system where the card's user and owner are verified to be the same by ensuring the card's usage matches the card's owner private information. By turning off the AVS portion of the credit card acceptance processing, a person could use a credit card and make donations using different names and addresses thereby getting by the federal campaign election donation rules of disclosure and amounts donated.
The Washington Post did an article with Bradley A. Smith, former FEC (federal election commission) chairman, during a Q&A session. The one thing that amazes me is that the elimination of the AVS process on the BHO web site was completely missed.
Mr. Smith even said, which he shows his ignorance, that "these contributions are made by credit card. The campaign therefore has a way to track the real donors, and a legal obligation to report the sources accurately or refund the money. I'm comfortable that will happen. You might say the process is working."
Ahhhh, if the website doesn't use the AVS, then this statement is simply silly.
French President Sarkozy blasts BHO's Iran policy
The French President Nicolas Sarkozy slammed BHO's unilateral offer to talk with the Iranian President as "utterly immature." (Sarkozy's words not mine)
Sarkozy went on to say that Iran's nuclear intentions "are without doubt the most serious crisis that weighs today on the international scene," (source London Times)
This is the same Iran that BHO said was "a small country and not a very large threat..." So the European's primary political country, France, believes that Iran is the most serious crisis today while BHO thinks its just a small thing.
The election of BHO next week will show his lack of international experience, but it will be too late. We can only hope that Joe Biden's "adult supervision" will kick in and prevent too much damage.
Sarkozy went on to say that Iran's nuclear intentions "are without doubt the most serious crisis that weighs today on the international scene," (source London Times)
This is the same Iran that BHO said was "a small country and not a very large threat..." So the European's primary political country, France, believes that Iran is the most serious crisis today while BHO thinks its just a small thing.
The election of BHO next week will show his lack of international experience, but it will be too late. We can only hope that Joe Biden's "adult supervision" will kick in and prevent too much damage.
LA Times covering for BHO meeting with Anti-Semite
The LA Times is now in some hot water due to a story that now appears to show that they are sitting on a tape/transcript of a BHO attendance at a party for Rashid Khalidi where William Ayers was also in attendance. The BHO campaign is getting anxious about its possible release this close the end of the election and is trying as hard as it can to prevent the release of either video itself or a complete transcript.
The LA Times says that it reported on the story about 6 months ago, but only released a redacted version of the transcript and is falling back on the unverifiable claim that the source asked them not to release the tap or a transcript of the tape.
Now if this was a tape of McCain or Palin attending a party where a unrepentant say abortion clinic bomber was in attendance while McCain praised the person for whom the party was given even though this honoree was a known skin head sympathizer, the main stream media would have it on page 1 and demand a complete release of the tape and non-redacted transcript. They would scream "cover-up" to the highest levels.
So much for the objectivity and independence of the main stream media. This will come back to haunt the media and Democrats since all information seeks to be free and sometime, probably not before the election, the tape will make its way out to the public and BHO's connections and probable lies about his association with Ayers will come to light.
One can not hide secrets forever. Like water on a roof, information will always find the tiniest hole to get released to the widest dissemination possible.
The LA Times says that it reported on the story about 6 months ago, but only released a redacted version of the transcript and is falling back on the unverifiable claim that the source asked them not to release the tap or a transcript of the tape.
Now if this was a tape of McCain or Palin attending a party where a unrepentant say abortion clinic bomber was in attendance while McCain praised the person for whom the party was given even though this honoree was a known skin head sympathizer, the main stream media would have it on page 1 and demand a complete release of the tape and non-redacted transcript. They would scream "cover-up" to the highest levels.
So much for the objectivity and independence of the main stream media. This will come back to haunt the media and Democrats since all information seeks to be free and sometime, probably not before the election, the tape will make its way out to the public and BHO's connections and probable lies about his association with Ayers will come to light.
One can not hide secrets forever. Like water on a roof, information will always find the tiniest hole to get released to the widest dissemination possible.
Here comes the BHO tax plan changes
The same switch-a-roo is coming as soon as BHO and his SMDC is elected next week that occurred when Bill Clinton was elected in 1992.
Democratic VP nominee Joe Biden just said a couple of days ago that the tax hikes are now going to hit those that make over $150,000.
WHAT? First it was $1,000,000 in the primary, then it went to $250,000 once BHO was nominated as the Democratic Presidential nominee which then quickly went to really meaning $200,000 and over will get hit with the tax hike.
Now the VP nominee is saying that it will those over $150,000. Quite a moving target.
My guess is that its going to drop even further after the election is over and BHO says that the economy is worse off than he was led to believe.
Joe has already said he believes that its every American's patriotic duty to pay taxes!!!!
Democratic VP nominee Joe Biden just said a couple of days ago that the tax hikes are now going to hit those that make over $150,000.
WHAT? First it was $1,000,000 in the primary, then it went to $250,000 once BHO was nominated as the Democratic Presidential nominee which then quickly went to really meaning $200,000 and over will get hit with the tax hike.
Now the VP nominee is saying that it will those over $150,000. Quite a moving target.
My guess is that its going to drop even further after the election is over and BHO says that the economy is worse off than he was led to believe.
Joe has already said he believes that its every American's patriotic duty to pay taxes!!!!
Extreme leftists continued hate-spewing explained
Reading all the extreme liberalism/leftists hate-filled blogs and speech (Huffington Post, Daily Kos, etc) makes me understand that there must be something about conservatism that they fear since "ideologs" that are comfortable in their own beliefs and tenants do not go out of their way to spew such hatred about the object of their fear and loathing.
Using a left wing politicos own words, I quote the ex-Secretary of State under Bill Clinton, Madeline Albright:
"“there’s a place in Hell reserved for women who don’t help other women.”
Notice that her quotation did not refer to ideology, politics or beliefs, just gender. Once Gov. Sarah Palin used the quotation (a paraphrase that was misquoted on a coffee cup, not her misquote) the extreme left has gone nuts over the use.
"How dare this dolt misuse Secretary Albright's quote..." (sic: should be quotation, but that's just their lack of English training) from the Huffington Post
More amazing is that their hatred is gaining strength as the election moves towards the Nov. 4th culmination. It would seem that if BHO is so far ahead as the media and polls would like one to assume, why waste your time? Why waste your energy on hatred since it also eats the presenter as well.
Oh well, when one's heart is filled with hatred and sadness, all you can do is pity them. Their lives must be very poor and morose indeed.
While I am a conservative (not Republican) who supports both self-responsibility and self-reliance, I am happy with the world even though BHO and his SMDC may sweep the election. I don't worry about such trivial matters since in the long scheme of things, both the very poor performance of Bush 43 and the likely election of BHO and a SMDC do not matter beyond something to think about when nothing else comes to mind.
Using a left wing politicos own words, I quote the ex-Secretary of State under Bill Clinton, Madeline Albright:
"“there’s a place in Hell reserved for women who don’t help other women.”
Notice that her quotation did not refer to ideology, politics or beliefs, just gender. Once Gov. Sarah Palin used the quotation (a paraphrase that was misquoted on a coffee cup, not her misquote) the extreme left has gone nuts over the use.
"How dare this dolt misuse Secretary Albright's quote..." (sic: should be quotation, but that's just their lack of English training) from the Huffington Post
More amazing is that their hatred is gaining strength as the election moves towards the Nov. 4th culmination. It would seem that if BHO is so far ahead as the media and polls would like one to assume, why waste your time? Why waste your energy on hatred since it also eats the presenter as well.
Oh well, when one's heart is filled with hatred and sadness, all you can do is pity them. Their lives must be very poor and morose indeed.
While I am a conservative (not Republican) who supports both self-responsibility and self-reliance, I am happy with the world even though BHO and his SMDC may sweep the election. I don't worry about such trivial matters since in the long scheme of things, both the very poor performance of Bush 43 and the likely election of BHO and a SMDC do not matter beyond something to think about when nothing else comes to mind.
Outlook for market action today Oct 29, 2008
What can we expect for the markets today?
Since today is the FOMC STIR announcement at 1415 EDT, the market, if it is true to history, will remain relatively quiet (low volume and range) until the 1415 hour release. From there depending on the amount of the cut and then more importantly the wording of the FOMC about future rate cuts or monetary policy concerns.
This means that if the rate cut which everyone is expecting and is already priced into the market with yesterday's big rally is 50 basis points or 1/2% on both the Fed Funds Rate taking it to 1.0% and then Discount Rate taking it to 1.25%.
If the FOMC doesn't cut rates or less than 50bp, the market will give up a lot of the 100 pts it made yesterday (I'm speaking of the SP 500 value) taking it back to the 850-860 level.
If the FOMC cuts the expected 50bp, but says that it will not do more cuts in the future, the market could also tank, but not as much probably to the 875-880 level.
If the FOMC cuts MORE than the 50bp, and says that more rate cuts are not out of the questions, the market could rally to the SP 500 975 level before finding some resistance.
If the FOMC does what is expected, a 50 bp cut in both key interest rates, and does not discuss future rate cuts and does not talk about inflation, etc. the market could just go sideways.
Remember, the Fed doesn't have many options left if it cuts too far since you can't go lower than 0% and they don't want to have to deal with that problem. Bernanke is a student of the depression and he doesn't want to put the US economy into a tailspin like FDR did with STIR so low that capital flees the US.
More after the 1415 rate cut announcement.
Since today is the FOMC STIR announcement at 1415 EDT, the market, if it is true to history, will remain relatively quiet (low volume and range) until the 1415 hour release. From there depending on the amount of the cut and then more importantly the wording of the FOMC about future rate cuts or monetary policy concerns.
This means that if the rate cut which everyone is expecting and is already priced into the market with yesterday's big rally is 50 basis points or 1/2% on both the Fed Funds Rate taking it to 1.0% and then Discount Rate taking it to 1.25%.
If the FOMC doesn't cut rates or less than 50bp, the market will give up a lot of the 100 pts it made yesterday (I'm speaking of the SP 500 value) taking it back to the 850-860 level.
If the FOMC cuts the expected 50bp, but says that it will not do more cuts in the future, the market could also tank, but not as much probably to the 875-880 level.
If the FOMC cuts MORE than the 50bp, and says that more rate cuts are not out of the questions, the market could rally to the SP 500 975 level before finding some resistance.
If the FOMC does what is expected, a 50 bp cut in both key interest rates, and does not discuss future rate cuts and does not talk about inflation, etc. the market could just go sideways.
Remember, the Fed doesn't have many options left if it cuts too far since you can't go lower than 0% and they don't want to have to deal with that problem. Bernanke is a student of the depression and he doesn't want to put the US economy into a tailspin like FDR did with STIR so low that capital flees the US.
More after the 1415 rate cut announcement.
Senator Stevens convicted, but still running for seat!
If there is any more need of the lack of statesmanship from politicians, it is from the Alaskan Senator Ted Stevens (AK-R) who was convicted by a federal jury on 7 counts of corruptions, etc, but still has the audacity to go back to Alaska and ask the voters to put him back into office.
The Alaskan GOP including Gov. Sarah Palin along with Senator McCain are calling for Stevens to resign now before the election even though it would mean that the Democratic candidate would win the Republican seat. So Senator Stevens shows that he has no shame, ethics, or integrity while the Republic candidates for President & VP are asking for him to resign even though it might mean that the US Senate increases its Democratic majority.
I don't think you would see the same thing from the Democrats where even after President Clinton was shown to have lied directly to the US public, was allowed to stay in office and even til today is the Democratic Party's Ronald Reagan.
So there is plenty of bad manners and lack of ethics to go around on both sides, so what do I say?
A POX on BOTH YOUR HOUSES (or PARTIES in this issue)!
We really need to get both parties to reform especially the Republicans who have gone the way of the Democrats which you expect such behavior from given all their bad episodes, scandals, and "forgiving passes" from the main stream media. All this just lowers the bar for all politicians to a point where the voters need to completely eliminate both of these parties of losers.
However, the chance of this being done in the US today? Well, in statistics we call this an epsilon number. [Hint: an extremely small, small number, but not exactly zero.]
(DYH)
The Alaskan GOP including Gov. Sarah Palin along with Senator McCain are calling for Stevens to resign now before the election even though it would mean that the Democratic candidate would win the Republican seat. So Senator Stevens shows that he has no shame, ethics, or integrity while the Republic candidates for President & VP are asking for him to resign even though it might mean that the US Senate increases its Democratic majority.
I don't think you would see the same thing from the Democrats where even after President Clinton was shown to have lied directly to the US public, was allowed to stay in office and even til today is the Democratic Party's Ronald Reagan.
So there is plenty of bad manners and lack of ethics to go around on both sides, so what do I say?
A POX on BOTH YOUR HOUSES (or PARTIES in this issue)!
We really need to get both parties to reform especially the Republicans who have gone the way of the Democrats which you expect such behavior from given all their bad episodes, scandals, and "forgiving passes" from the main stream media. All this just lowers the bar for all politicians to a point where the voters need to completely eliminate both of these parties of losers.
However, the chance of this being done in the US today? Well, in statistics we call this an epsilon number. [Hint: an extremely small, small number, but not exactly zero.]
(DYH)
Tuesday, October 28, 2008
Liberal Media Bias? Even liberal media agrees!
They liberal media has finally said that they are liberally-biased, and so you have to believe it when someone says that it is true, and they are part of the so-called liberal media.
Liberal ABCNews.com columnist Michael S. Malone said last week:
"The traditional media are playing a very, very dangerous game — with their readers, with the Constitution and with their own fates.
The sheer bias in the print and television coverage of this election campaign is not just bewildering, but appalling. And over the last few months I’ve found myself slowly moving from shaking my head at the obvious one-sided reporting, to actually shouting at the screen of my television and my laptop computer.
But worst of all, for the last couple weeks, I’ve begun — for the first time in my adult life — to be embarrassed to admit what I do for a living. A few days ago, when asked by a new acquaintance what I did for a living, I replied that I was “a writer,” because I couldn’t bring myself to admit to a stranger that I’m a journalist."
WOW! What a mouth full, Michael. I don't think I can add anything to that statement of self-incrimination and journalistic self-loathing.
Is there some semblance of ethics left in the main stream media that would even produce such an introspective reaction to the media's coverage of the 2008 election?
My hat is off to Mr. Michael Malone of ABCNews. I will have to start reading him more often.
Now let's see now long he keeps his job at ABCNews.com. That will be the real test of journalistic integrity: the ability to allow someone to disagree with you and not fire them on the spot.
Liberal ABCNews.com columnist Michael S. Malone said last week:
"The traditional media are playing a very, very dangerous game — with their readers, with the Constitution and with their own fates.
The sheer bias in the print and television coverage of this election campaign is not just bewildering, but appalling. And over the last few months I’ve found myself slowly moving from shaking my head at the obvious one-sided reporting, to actually shouting at the screen of my television and my laptop computer.
But worst of all, for the last couple weeks, I’ve begun — for the first time in my adult life — to be embarrassed to admit what I do for a living. A few days ago, when asked by a new acquaintance what I did for a living, I replied that I was “a writer,” because I couldn’t bring myself to admit to a stranger that I’m a journalist."
WOW! What a mouth full, Michael. I don't think I can add anything to that statement of self-incrimination and journalistic self-loathing.
Is there some semblance of ethics left in the main stream media that would even produce such an introspective reaction to the media's coverage of the 2008 election?
My hat is off to Mr. Michael Malone of ABCNews. I will have to start reading him more often.
Now let's see now long he keeps his job at ABCNews.com. That will be the real test of journalistic integrity: the ability to allow someone to disagree with you and not fire them on the spot.
Right on the money with market prediction
Again, this blogger was right on the money about the direction and size of market move today. In my market outlook posted at 09:24 EDT (before the markets opened up this AM), I said that if the market held the 880 level of the SP 500, it could take out the next level of SP 500 930.
WELLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL
That's exactly what the markets did today and more. Not only did it hold the 880 level, but it didn't return to the 825 previous LOY (it may very well still do that before too long), but it completed a PB (pull back) to the 1100 time frame and then over the rest of the day with the big push coming at the EOD (end of day), took out the 930 and 940 levels before settling at 939 for the close at 1615.
Right on, eh? Come back tomorrow morning and I will tell where I believe the markets will go tomorrow even with the FOMC announcing its STIR (short term interest rate) actions at 1415.
Stay tuned.
WELLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL
That's exactly what the markets did today and more. Not only did it hold the 880 level, but it didn't return to the 825 previous LOY (it may very well still do that before too long), but it completed a PB (pull back) to the 1100 time frame and then over the rest of the day with the big push coming at the EOD (end of day), took out the 930 and 940 levels before settling at 939 for the close at 1615.
Right on, eh? Come back tomorrow morning and I will tell where I believe the markets will go tomorrow even with the FOMC announcing its STIR (short term interest rate) actions at 1415.
Stay tuned.
The GOP needs to be laid to rest!
Sounding more like a liberal/Democrat, but I am not, I want the Republicans to be completely routed from power and eliminated as a political party of power since they squandered their power from 1994 to 2006 and did nothing to check that Republican President of complete nonsense, Bush 43. They sent out of balance budget after out of balance budget, and Bush 43 signed everyone.
The complete rout of the Republican Party next week is necessary in order to show what happens when you ignore your core values and ethics. The GOP needs to be put to sleep and a more conservative, more principled and aggressive party needs to rise from the ashes.
The new conservative party needs to be as mean, focused, and driven as the current Democratic Party. It will need to be ruthless and take no prisoners. It will have to be completely different from the mealy-mouthed Republican Party that Abe Lincoln would laugh at today.
This may be hard for Republicans and Conservatives to understand or accept, but when something is useless and putrefied, it needs to be buried not carried around like some "Weekend at Bernie's" zombie.
How did the GOP come to this point in their history? The politician that started the demise was Speaker Newt Gingrich. He had the legislative world by the tail when he architected the "Contract with America" sweep of the Congress in 1994 to counter-balance the co-Presidency of Billary (Bill and Hillary Clinton). Remember her very poor showing at trying to nationalize health care in 1993?
What did Gingrich do? Gingrich had the extreme arrogance of doing the exact same thing that he had leveled at then Speaker Jim Wright: milking a book deal for his own personal advantage. When the voters saw that even the Republican Speaker was that political and unethical, they started losing patience with the GOP.
From there is was scandal after scandal culminating in the influence peddling case of Lobbyist Jack Abramoff and the manner in which Bush 43 unfortunately politicized the Iraqi War. Finally, the financial crisis of 2008 was laid at the doors of the GOP even though the Democrats such as Dodd and Frank had their finger prints all over the smoking gun, the GOP failed to make the case and let the Democrats and their operatives walk all over them.
Do you see why the GOP needs to be put down like a aged, but beloved dog that it is. When it is hurting and useless, I say, put it down. Let the Phoenix rise from its corpse hopefully with a renewed sense of purpose and focus. If not, well then
WELCOME TO THE USSA! (sung to the tune of the Beatles hit: Back in the USSR)
The complete rout of the Republican Party next week is necessary in order to show what happens when you ignore your core values and ethics. The GOP needs to be put to sleep and a more conservative, more principled and aggressive party needs to rise from the ashes.
The new conservative party needs to be as mean, focused, and driven as the current Democratic Party. It will need to be ruthless and take no prisoners. It will have to be completely different from the mealy-mouthed Republican Party that Abe Lincoln would laugh at today.
This may be hard for Republicans and Conservatives to understand or accept, but when something is useless and putrefied, it needs to be buried not carried around like some "Weekend at Bernie's" zombie.
How did the GOP come to this point in their history? The politician that started the demise was Speaker Newt Gingrich. He had the legislative world by the tail when he architected the "Contract with America" sweep of the Congress in 1994 to counter-balance the co-Presidency of Billary (Bill and Hillary Clinton). Remember her very poor showing at trying to nationalize health care in 1993?
What did Gingrich do? Gingrich had the extreme arrogance of doing the exact same thing that he had leveled at then Speaker Jim Wright: milking a book deal for his own personal advantage. When the voters saw that even the Republican Speaker was that political and unethical, they started losing patience with the GOP.
From there is was scandal after scandal culminating in the influence peddling case of Lobbyist Jack Abramoff and the manner in which Bush 43 unfortunately politicized the Iraqi War. Finally, the financial crisis of 2008 was laid at the doors of the GOP even though the Democrats such as Dodd and Frank had their finger prints all over the smoking gun, the GOP failed to make the case and let the Democrats and their operatives walk all over them.
Do you see why the GOP needs to be put down like a aged, but beloved dog that it is. When it is hurting and useless, I say, put it down. Let the Phoenix rise from its corpse hopefully with a renewed sense of purpose and focus. If not, well then
WELCOME TO THE USSA! (sung to the tune of the Beatles hit: Back in the USSR)
A Democrat Sweep Mean Bipartisanship! Oh Yea!
I think I have now heard everything when Speaker Nancy Pelosi (CA-D) stated without blinking or winking that if the Democrats sweep the elections and end up with a large majority in both the Senate and House, the Congress will become more bipartisanship.
Unbelievable that she thinks the voters of the USA are that clueless. They know that giving all three branches of the US Government to 1 political party will not do anything to increase bipartisanship; they just want change and don't care what it will mean for their future. By putting BHO and his SMDC into office next Tuesday, they are going to find out.
Trust me, the Democrats are the most non-bipartisan seen in recent years. Go back to when the Democrats had a VP-enforced majority in the US Senate under Bill Clinton. Did they share power with the Republicans? Not on your life, they used the 51st Senator (VP Al Gore's vote) to enforce complete control of the Senate business and agenda while the very naïve Senator Bob Dole tried to be bipartisan when the Republicans had a true majority of 51-49 just the year before Senator Jeffords switched parties in 2001.
When the SMDC is elected next week, you will not have to wait until Jan. 20, 2009 to see how partisan the new Congress is going to be. My prediction is that you will see the Republicans shut out of everything from daily business and agendas. They will most likely get as much work done from home as they will showing up to the Congress every day. They will be ignored, laughed at, and ridiculed; they deserve this treatment in spades.
Unbelievable that she thinks the voters of the USA are that clueless. They know that giving all three branches of the US Government to 1 political party will not do anything to increase bipartisanship; they just want change and don't care what it will mean for their future. By putting BHO and his SMDC into office next Tuesday, they are going to find out.
Trust me, the Democrats are the most non-bipartisan seen in recent years. Go back to when the Democrats had a VP-enforced majority in the US Senate under Bill Clinton. Did they share power with the Republicans? Not on your life, they used the 51st Senator (VP Al Gore's vote) to enforce complete control of the Senate business and agenda while the very naïve Senator Bob Dole tried to be bipartisan when the Republicans had a true majority of 51-49 just the year before Senator Jeffords switched parties in 2001.
When the SMDC is elected next week, you will not have to wait until Jan. 20, 2009 to see how partisan the new Congress is going to be. My prediction is that you will see the Republicans shut out of everything from daily business and agendas. They will most likely get as much work done from home as they will showing up to the Congress every day. They will be ignored, laughed at, and ridiculed; they deserve this treatment in spades.
Continued slide towards Socialism in GM-Chrysler Merger support by Treasury
More evidence of the country's move towards socialism and this coming from the current Republican administration which history will record began the slide towards socialism was found in the support by the US Treasury Department of $5 Billion USD of tax payer monies to support the take over of Chrysler by GM.
The Bush 43 administration is handing the BHO Presidency the road to socialism on a silver platter. Whatever the BHO White House does it will be able to point to the Bush 43 actions and find cover for their increased socialization of the country.
For the US Treasury Department to sanction and support the use of public monies for the express purpose of the take over of one private organization by another is just pure socialism in its clearest form. For this support, the US Government will receive a certain equity positions in the form of preferred stock.
Interesting, it seem that if Hugo Chavez or Vladimir Putin was doing this, the US would probably be crying foul, but since its the good old USA, it somehow passes the smell test. In addition, I can't believe all the supposed free-marketers on the financial networks, FBN included, that don't have problem with this action.
In times of stress it would seem even the true of heart become jaded and can not see their ethics and principles clearly. In the future, these so-called journalist are going to have a difficult time making a case that the government should not nationalize this or that, or take equity stakes in this or that.
I am so tired of hearing, "Well, the Government could actually make money on these positions." I have never seen the US Government make money on anything even the so-called RTC (Resolution Trust Corporation) and the airlines bail-outs and previous Detroit bail-outs. Why?
On paper some of these actions actually did make a small profit, but when you put all the time and effort and precedence setting issues, you can see that they were just the forerunner of today's almost total nationalization of the financial systems in the country.
Remember the old adage: "The journey of a thousand miles begins with a single step." This is truly the journey of a thousand miles as we begin the long path towards socialization a la BHO and his SMDC.
Europe here we come.
The Bush 43 administration is handing the BHO Presidency the road to socialism on a silver platter. Whatever the BHO White House does it will be able to point to the Bush 43 actions and find cover for their increased socialization of the country.
For the US Treasury Department to sanction and support the use of public monies for the express purpose of the take over of one private organization by another is just pure socialism in its clearest form. For this support, the US Government will receive a certain equity positions in the form of preferred stock.
Interesting, it seem that if Hugo Chavez or Vladimir Putin was doing this, the US would probably be crying foul, but since its the good old USA, it somehow passes the smell test. In addition, I can't believe all the supposed free-marketers on the financial networks, FBN included, that don't have problem with this action.
In times of stress it would seem even the true of heart become jaded and can not see their ethics and principles clearly. In the future, these so-called journalist are going to have a difficult time making a case that the government should not nationalize this or that, or take equity stakes in this or that.
I am so tired of hearing, "Well, the Government could actually make money on these positions." I have never seen the US Government make money on anything even the so-called RTC (Resolution Trust Corporation) and the airlines bail-outs and previous Detroit bail-outs. Why?
On paper some of these actions actually did make a small profit, but when you put all the time and effort and precedence setting issues, you can see that they were just the forerunner of today's almost total nationalization of the financial systems in the country.
Remember the old adage: "The journey of a thousand miles begins with a single step." This is truly the journey of a thousand miles as we begin the long path towards socialization a la BHO and his SMDC.
Europe here we come.
Extreme Liberalism truly is a Mental Disorder
Having put myself out there on this blog, I expect to receive comments and email that disagree with my point of view, but I have been sent such hate-filled comments (those I do not post, but keep for humor reading later) and emails from EXTREME liberals and Democrats (I know because they are self-labeling) that it belies the label liberal.
The concept of liberalism is to support, allow, and activate for the "right to be liberal;" however, I find that most, not all, of the extreme hate mail I read on the Internet is from the extreme left side of the Democratic party. I am speaking of the Huffington Post, the Daily Kos, Media Matters, and many others.
To the normal liberal/Democrats reading my blog, your left-sided cohorts are really giving your cause a bad name for several reasons:
When a person can only level personal, unsubstantiated attacks against the person and not the argument, it is a sure sign of weak mindedness since cogent arguments are what persuade, not personal, and vitriolic comments.
Showing such hatred for someone that does not agree with your point of view is a true sign of fascism and smacks of the kind of thinking that got Germany started down the path of Nazism where those that did not look like, act like, or think like those in charge were to be shunned, at first, later killed.
Such hatred and virulence is truly the beginning of the degradation of mental processes that usually end in a severe mental disorder as defined in the DSM (Diagnostic & Statistical Manual of Mental Disorders). Most hatreds as the DSM delineates are usually manifestations of self-hatred.
Accepting of the fact that there is hate-crime legislation (which I strongly disagree with its enactment on governmental intrusion into the thoughts and motives of its citizens) on the books, the kind of comments and hate-email I receive could probably rise to the level of prosecution. Hmmmmmm... I guess this would make extreme liberalism a mental disorder. Should it be placed in the DSM?
In this case, I would probably have to agree with the DSM that such hatred is usually just self-hatred projected outward towards those that are different. Seems quite an incongruity that the extreme liberals are the ones that exhibit for the most hatred for conservatives, but then want everyone to be tolerant of their "pet projects."
I know that if you are a liberal/Democrat reading this you are going to immediately begin thinking of examples of how the "conservative/right" does the same thing and you might even be able to produce a site or two that supports your contention; however, excusing bad behavior by pointing to other bad behavior just lowers the bar for all.
By the way, I have found 15 to 1 of extreme left to extreme right website rising to the level of a "mental disorder." I think the imbalance speaks for itself.
Life and people never cease to amaze me.
The concept of liberalism is to support, allow, and activate for the "right to be liberal;" however, I find that most, not all, of the extreme hate mail I read on the Internet is from the extreme left side of the Democratic party. I am speaking of the Huffington Post, the Daily Kos, Media Matters, and many others.
To the normal liberal/Democrats reading my blog, your left-sided cohorts are really giving your cause a bad name for several reasons:
When a person can only level personal, unsubstantiated attacks against the person and not the argument, it is a sure sign of weak mindedness since cogent arguments are what persuade, not personal, and vitriolic comments.
Showing such hatred for someone that does not agree with your point of view is a true sign of fascism and smacks of the kind of thinking that got Germany started down the path of Nazism where those that did not look like, act like, or think like those in charge were to be shunned, at first, later killed.
Such hatred and virulence is truly the beginning of the degradation of mental processes that usually end in a severe mental disorder as defined in the DSM (Diagnostic & Statistical Manual of Mental Disorders). Most hatreds as the DSM delineates are usually manifestations of self-hatred.
Accepting of the fact that there is hate-crime legislation (which I strongly disagree with its enactment on governmental intrusion into the thoughts and motives of its citizens) on the books, the kind of comments and hate-email I receive could probably rise to the level of prosecution. Hmmmmmm... I guess this would make extreme liberalism a mental disorder. Should it be placed in the DSM?
In this case, I would probably have to agree with the DSM that such hatred is usually just self-hatred projected outward towards those that are different. Seems quite an incongruity that the extreme liberals are the ones that exhibit for the most hatred for conservatives, but then want everyone to be tolerant of their "pet projects."
I know that if you are a liberal/Democrat reading this you are going to immediately begin thinking of examples of how the "conservative/right" does the same thing and you might even be able to produce a site or two that supports your contention; however, excusing bad behavior by pointing to other bad behavior just lowers the bar for all.
By the way, I have found 15 to 1 of extreme left to extreme right website rising to the level of a "mental disorder." I think the imbalance speaks for itself.
Life and people never cease to amaze me.
How the FOMC operates on Interest Rates
The market has already priced in a 50 bp (basis point: 100 bp = 1%) rate cut, so anything less or if the FOMC is heavy handed with its language about future STIR cuts the market will tank and tank big time.
If the FOMC goes for a 75 or 100 bp cut, the market could rally to and even beyond the 930 level given the amount of PB (pull back) already in the market from the first of October.
Here is the razor's edge the FOMC is on:
Here isn't much room to cut STIR much lower given the current value of the 2 major STIR that the FOMC uses for economic control (called monetary policy).
The Fed Funds Rate (currently at 1.5%) is the rate at which banks in the US lend to each other usually overnight.
The Discount Rate (currently at 1.75%) is the rate which commercial banks (and now almost anyone else given the TARP legislation) borrow from the FRS (federal reserve system).
A cut of 50bp would bring the FFR to 1.0% (back under Greenspan where all the trouble started), and the DR to 1.25%. Both of these rates will then be historically very low and severely limits the FOMC's future actions since you can't go < 0. Also, once the rates go to or near 0% money starts being denominated in USD driving the USD down against other currencies, but then the money leaves the US for overseas projects due to the very low interests rates on capital that these low rates bring. It's a double edged sword.
Bottom line, the US risks the same problem that Japan did when it had its real estate bubble pop in the late 1980's and early 1990's and the lowering of STIR to 0% in Japan and holding it there for over 12 years. Japan fairly much disappeared off the face of the planet as a financial powerhouse.
The cards are lining up on the US house of cards.
If the FOMC goes for a 75 or 100 bp cut, the market could rally to and even beyond the 930 level given the amount of PB (pull back) already in the market from the first of October.
Here is the razor's edge the FOMC is on:
Here isn't much room to cut STIR much lower given the current value of the 2 major STIR that the FOMC uses for economic control (called monetary policy).
The Fed Funds Rate (currently at 1.5%) is the rate at which banks in the US lend to each other usually overnight.
The Discount Rate (currently at 1.75%) is the rate which commercial banks (and now almost anyone else given the TARP legislation) borrow from the FRS (federal reserve system).
A cut of 50bp would bring the FFR to 1.0% (back under Greenspan where all the trouble started), and the DR to 1.25%. Both of these rates will then be historically very low and severely limits the FOMC's future actions since you can't go < 0. Also, once the rates go to or near 0% money starts being denominated in USD driving the USD down against other currencies, but then the money leaves the US for overseas projects due to the very low interests rates on capital that these low rates bring. It's a double edged sword.
Bottom line, the US risks the same problem that Japan did when it had its real estate bubble pop in the late 1980's and early 1990's and the lowering of STIR to 0% in Japan and holding it there for over 12 years. Japan fairly much disappeared off the face of the planet as a financial powerhouse.
The cards are lining up on the US house of cards.
Outlook for markets this week
The SP 500 is still in a pattern for a PB (pull back) and if it can not BO (break out) and hold 880 then it is going to continue on down to probably take out its current LOY (lows of the year) @ 825.
If the market BO the 880 level, then the next level for movement will the 930 area and it could do this after the FOMC STIR (federal open market committee short term interest rates) cut or hold is made public tomorrow at 1415 (2:15 EDT).
Stand by for more volatility this week, but not until the FOMC meeting notes release tomorrow at 1415. Today could be a relatively quiet day with low volume.
If the market BO the 880 level, then the next level for movement will the 930 area and it could do this after the FOMC STIR (federal open market committee short term interest rates) cut or hold is made public tomorrow at 1415 (2:15 EDT).
Stand by for more volatility this week, but not until the FOMC meeting notes release tomorrow at 1415. Today could be a relatively quiet day with low volume.
Monday, October 27, 2008
Stock Market Losses continue to mount
If there was any more reason to believe that the government is not the organization to effect change in the financial systems in this country, the continuous, daily drop in the stock markets both domestically and overseas should illustrate this fact most pointedly. If the over $2.2 Trillion USD being thrown at the financial systems have not "thawed the credit markets", "stopped the crisis", etc. it indicates a fundamental misunderstanding of how financial systems operate by the politicians.
Confidence by both the lending organizations and borrows have been thrown to the wind, and it does not come back overnight even with the government insuring everything and everyone. It will only return after those have been burnt have had time to let their wounds heal. It will take time, not more of this or more of that.
The bottoming process is going to take some time and the consumer pulling back as unemployment mounts is not going to help. A recession is a normal result of an expansion, not something to be avoided. It resets all the pointers to zero, cleans out the excesses and paves the way for the next wave of innovation and growth. We some how believe that the Fed or the Treasury or the Congress can do something to mitigate or eliminate recessions. They can't unless they change the rules like take the country towards a more socialist formation. It is a normal process, folks.
If you use the principles that you have read here such as dollar cost averaging and the sell in May, buy back in November, you will do quite well over the length of a normal working life. It's not anything to fear, just do.
Confidence by both the lending organizations and borrows have been thrown to the wind, and it does not come back overnight even with the government insuring everything and everyone. It will only return after those have been burnt have had time to let their wounds heal. It will take time, not more of this or more of that.
The bottoming process is going to take some time and the consumer pulling back as unemployment mounts is not going to help. A recession is a normal result of an expansion, not something to be avoided. It resets all the pointers to zero, cleans out the excesses and paves the way for the next wave of innovation and growth. We some how believe that the Fed or the Treasury or the Congress can do something to mitigate or eliminate recessions. They can't unless they change the rules like take the country towards a more socialist formation. It is a normal process, folks.
If you use the principles that you have read here such as dollar cost averaging and the sell in May, buy back in November, you will do quite well over the length of a normal working life. It's not anything to fear, just do.
Raising taxes on the rich & corporations YEA!
Does BHO's tax talk about raising taxes on corporations and small business > $250,000 sound good to you, the "middle class that comprises 95%" of the US population? Be careful what you vote for...
Remember, raising taxes on corporations and small businesses doesn't cost these entities a penny since they simply pass the taxes on to their customers via price hikes and/or smaller deliverables. This is the primary reason that raising corporate taxes causes an economy to enter a tailspin because you simply are raising the prices that customers pay.
Every time a politician says he/she is going to raise taxes on the rich and corporations, you can bet it is simply going to end up being a price hike on the consumers which will cause them to cut back even further doing exactly what you don't want to do in a economic recessionary perspective.
Let's not forget what Bill Clinton did as soon as he won the 1992 election. If you aren't as good of memory as I am, during his transition period he held an economic summit and said that "the economy is worse than he was led to believe, and so the tax cuts discussed during the campaign" may not be able to be implemented. In fact, memory struggle again, Bill Clinton signed the largest tax hike in history in 1993.
Prepare for history to repeat itself as soon as BHO is elected next week.
Remember, raising taxes on corporations and small businesses doesn't cost these entities a penny since they simply pass the taxes on to their customers via price hikes and/or smaller deliverables. This is the primary reason that raising corporate taxes causes an economy to enter a tailspin because you simply are raising the prices that customers pay.
Every time a politician says he/she is going to raise taxes on the rich and corporations, you can bet it is simply going to end up being a price hike on the consumers which will cause them to cut back even further doing exactly what you don't want to do in a economic recessionary perspective.
Let's not forget what Bill Clinton did as soon as he won the 1992 election. If you aren't as good of memory as I am, during his transition period he held an economic summit and said that "the economy is worse than he was led to believe, and so the tax cuts discussed during the campaign" may not be able to be implemented. In fact, memory struggle again, Bill Clinton signed the largest tax hike in history in 1993.
Prepare for history to repeat itself as soon as BHO is elected next week.
BHO's 4.3 Trillion, yes Trillion in New Spending!
OK, here's the low down on what BHO and his Congress have been proposing in order to get elected. Now understand that he is NOT going to be able to get most of it through since there simply will not be enough money for everything, but it does show BHO is proposing that the new USSA government is going to become almost 40-50% of the GDP (gross domestic product).
These spending items/promises come from BHO's own speeches:
1. 1.3 Trillion USD of refundable credits mostly in the form of checks to those that don't already pay taxes.
2. 1.6 Trillion USD over 10 years for nationalized health plans
3. 1.4 Trillion USD direct giving
All these spending/promises come from the Tax Payers Union and Tax Policy Center numbers since these are the numbers that the BHO campaign uses. Also, these are not said to be promises but monies to be given to the middle class which is now 95% of the US population.
These spending items/promises come from BHO's own speeches:
1. 1.3 Trillion USD of refundable credits mostly in the form of checks to those that don't already pay taxes.
2. 1.6 Trillion USD over 10 years for nationalized health plans
3. 1.4 Trillion USD direct giving
All these spending/promises come from the Tax Payers Union and Tax Policy Center numbers since these are the numbers that the BHO campaign uses. Also, these are not said to be promises but monies to be given to the middle class which is now 95% of the US population.
Even Oil-rich producers are getting HIT
The government of Kuwaiti is announcing that is has had to bail out the countries 2nd largest bank, Gulf Bank. In Saudi Arabia the government is saying it will use up to $2.5 Billion USD to guarantee some depositors and institutions in their kingdom. Whoa! isn't that a quick turn of events?
Goes to show you that even the mighty can fall and fall quickly. Remember when in the 1980's Japan was considered the economic powerhouse that would eventually take over the world? Well, they haven't been heard from for over 10-15 years, and its actually what may have saved them from this financial crisis.
Japan unlike the oil-rich Gulf countries did not participate in these toxic paper assets and so they aren't as exposed to this financial crisis as others even though their stock market is getting hit like all the others. Japan's financial institutions are not having capitalization issues due to NOT having huge amounts of these toxic financial derivatives on their balance sheets. This is why there are large move of monies from the US dollar to the Japanese Yen.
Goes to show you that even the mighty can fall and fall quickly. Remember when in the 1980's Japan was considered the economic powerhouse that would eventually take over the world? Well, they haven't been heard from for over 10-15 years, and its actually what may have saved them from this financial crisis.
Japan unlike the oil-rich Gulf countries did not participate in these toxic paper assets and so they aren't as exposed to this financial crisis as others even though their stock market is getting hit like all the others. Japan's financial institutions are not having capitalization issues due to NOT having huge amounts of these toxic financial derivatives on their balance sheets. This is why there are large move of monies from the US dollar to the Japanese Yen.
Oil, gold and other commodity sell-offs
Why is gold, oil and other commodities all selling-off at a time when conventional wisdom would say that gold-silver should be exploding?
All you have to do is look at the simple rule of supply and demand. Gold is being sold by countries that need to make up the loss in their financial assets such as Russia and European Union members and all this gold being dumped on to the world market is sending gold plummeting.
Oil is dropping since the world production and growth is falling off and the demand for oil is dwindling so even production cuts by OPEC last week didn't stop the slide of crude prices.
Commodity prices are dropping as the commodity bubble has popped and everyone is trying to find some place of safety (beside their mattresses). It's simple supply and demand as it usually is after all the complexity is removed when the financial talking heads are done with their obfuscation.
All you have to do is look at the simple rule of supply and demand. Gold is being sold by countries that need to make up the loss in their financial assets such as Russia and European Union members and all this gold being dumped on to the world market is sending gold plummeting.
Oil is dropping since the world production and growth is falling off and the demand for oil is dwindling so even production cuts by OPEC last week didn't stop the slide of crude prices.
Commodity prices are dropping as the commodity bubble has popped and everyone is trying to find some place of safety (beside their mattresses). It's simple supply and demand as it usually is after all the complexity is removed when the financial talking heads are done with their obfuscation.
2 Simple rules for Successful Investing
Investing isn't brain surgery regardless of what financial talking heads try to tell you. If you think they know what's going on, why didn't they see this financial crisis coming? Why didn't they get all their clients out before the fall?
HA! It's because they aren't as smart as they would like you to believe they are. They want to make you believe that they know what's going on, remember, they are professionals; however, all the talking heads are telling you now is to "hold!"
OK, so what are the 2 simple rules for successful investing?
1. Don't believe anything Wall Street or associated financial types tell you. This includes the very stupid "buy and hold" strategies that financial types tell their clients, but DO NOT follow themselves.
a. Use the great "dollar cost averaging" concept, and
b. Use the "sell in May, go away; come November, reassemble"
2. Do your own homework. Learn something about investing every week and don't assume that it's to hard to understand. That's financial types trying to scare you. Investing is not that tough to understand. Both the Wall Street Journal and/or Investors Business Daily have excellent "common person" references on understanding investment.
If you give up your control to someone that supposedly has your best interests at heart, you are going to be sadly disappointed. They have their own best interests at heart. You need to take control, not be afraid of investing, just take it one step at a time.
HA! It's because they aren't as smart as they would like you to believe they are. They want to make you believe that they know what's going on, remember, they are professionals; however, all the talking heads are telling you now is to "hold!"
OK, so what are the 2 simple rules for successful investing?
1. Don't believe anything Wall Street or associated financial types tell you. This includes the very stupid "buy and hold" strategies that financial types tell their clients, but DO NOT follow themselves.
a. Use the great "dollar cost averaging" concept, and
b. Use the "sell in May, go away; come November, reassemble"
2. Do your own homework. Learn something about investing every week and don't assume that it's to hard to understand. That's financial types trying to scare you. Investing is not that tough to understand. Both the Wall Street Journal and/or Investors Business Daily have excellent "common person" references on understanding investment.
If you give up your control to someone that supposedly has your best interests at heart, you are going to be sadly disappointed. They have their own best interests at heart. You need to take control, not be afraid of investing, just take it one step at a time.
Investor capitulation is coming
The day after day of stock market sell-offs are soon going to produce the investor capitulation that is needed at market bottoms. Seeing these loses every day and knowing that the crap that they have told "Don't sell, don't sell" by the talking heads isn't producing the results they all believed it would.
Soon the weary investors are going to say, "I don't care, I just want to sleep at night."
This usually is a sign that the bottom is near, but not after more pain is likely. If you would have sold when the market did its first 15% drop after the Oct. 2007 highs, you would be about 70% better off now.
Why do investors believe their financial advisors? I don't understand since none of them saw this thing coming, so why should they follow their "hold hold hold" strategy now.
There are 2 very simple rules for investing that will guarantee a much better return than you could get from your advisors. See my next post for these rules.
Soon the weary investors are going to say, "I don't care, I just want to sleep at night."
This usually is a sign that the bottom is near, but not after more pain is likely. If you would have sold when the market did its first 15% drop after the Oct. 2007 highs, you would be about 70% better off now.
Why do investors believe their financial advisors? I don't understand since none of them saw this thing coming, so why should they follow their "hold hold hold" strategy now.
There are 2 very simple rules for investing that will guarantee a much better return than you could get from your advisors. See my next post for these rules.
Financial Crisis will breed revolution
As one of my readers commented on the Argentina post that human suffering and struggles are linked to the deception of the evil financial institutions, a typical socialist/communist tenant, he as most of believers in that form of socio-economic formation forget is that their ideas don't improve the human condition, they destroy it.
Show me a socialist/communistic country where their populations aren't suffering and struggling? Uhhhh! Ding! Thanks for playing.
The problem with socialistic/communistic socio-economic formations is that they fail to take into account the human equation both on the part of the people and those that want to run the formation: the supposed leaders.
Both socio-economic formation assume that the governed and the governors are going to act rationally. We all know that the governed tend to give into their desire to be handed everything once it is shown that working for success is useless under these forms of economic formation, and the governors tend to want to solidify their control and powers as seen in North Korea, Cuba, and recently, Venezuela.
This being said, revolution will come as a result of this current financial crisis as it always does when the radicals use it to rial up "the people" to revolt against their oppressors seen as the evil financiers. What is the fallacy not exposed to "the people" is that the radicals trying to get them to revolt are only looking to replace the evil financiers as their oppressors since power/energy abhors a vacuum. One is traded for another.
Ah, the human equation again shows its propensity for doing the wrong thing at exactly the wrong time.
Show me a socialist/communistic country where their populations aren't suffering and struggling? Uhhhh! Ding! Thanks for playing.
The problem with socialistic/communistic socio-economic formations is that they fail to take into account the human equation both on the part of the people and those that want to run the formation: the supposed leaders.
Both socio-economic formation assume that the governed and the governors are going to act rationally. We all know that the governed tend to give into their desire to be handed everything once it is shown that working for success is useless under these forms of economic formation, and the governors tend to want to solidify their control and powers as seen in North Korea, Cuba, and recently, Venezuela.
This being said, revolution will come as a result of this current financial crisis as it always does when the radicals use it to rial up "the people" to revolt against their oppressors seen as the evil financiers. What is the fallacy not exposed to "the people" is that the radicals trying to get them to revolt are only looking to replace the evil financiers as their oppressors since power/energy abhors a vacuum. One is traded for another.
Ah, the human equation again shows its propensity for doing the wrong thing at exactly the wrong time.
Government intervention DOES NOT WORK!
You can now see that what I have been postulating since the beginning of this financial crises began to really gain strength at the beginning of October:
GOVERNMENT INTERVENTION DOES NOT WORK!
The reason is of course the LOUC. Everything the government does has equal and opposite reactions (simple laws of physics).
Fed Chairman Ben Bernanke is going to lower rates again, and this time to almost ZERO! This will complete the US Government intervention to the point where there is no reason to invest or lend in the US: the exact opposite of what the Fed is trying to do.
We will produce similar, not exact, results that Japan did in the late 1980's and early 1990's from which their economy took a 10 year hiatus, and is just starting to come out of that "lost decade" right into the jaws of another crisis.
Could the USA be entering its own "lost decade?" Oh yes, it is very likely, very likely given the amount of government intervention, and the huge Democratic sweeps coming to the US Government in about a week. With people like Rep. Barney Frank, Senator Chris Dodd, Kerry, and now possibly Rev. Jesse Jackson being proposed to replace BHO as the junior senator from IL, the USA will not have a chance to recover.
Now you can see why I changed the blog to:
American Can't be Fixed!
GOVERNMENT INTERVENTION DOES NOT WORK!
The reason is of course the LOUC. Everything the government does has equal and opposite reactions (simple laws of physics).
Fed Chairman Ben Bernanke is going to lower rates again, and this time to almost ZERO! This will complete the US Government intervention to the point where there is no reason to invest or lend in the US: the exact opposite of what the Fed is trying to do.
We will produce similar, not exact, results that Japan did in the late 1980's and early 1990's from which their economy took a 10 year hiatus, and is just starting to come out of that "lost decade" right into the jaws of another crisis.
Could the USA be entering its own "lost decade?" Oh yes, it is very likely, very likely given the amount of government intervention, and the huge Democratic sweeps coming to the US Government in about a week. With people like Rep. Barney Frank, Senator Chris Dodd, Kerry, and now possibly Rev. Jesse Jackson being proposed to replace BHO as the junior senator from IL, the USA will not have a chance to recover.
Now you can see why I changed the blog to:
American Can't be Fixed!
Appropriate Comment Rules for this Blog
Please folks, understand that I simply can not allow comments that allow advertising or links to other web sites that I can not verify are safe for my readers. I will post your comments in their entirety with the links and advertising removed if the comments are relative and not simply ranting or ravings.
Thank you for understanding, but I am not going to advertise or publish links to unverified web sites due to security issues.
Nanouk Miller
IBNANOUK
Thank you for understanding, but I am not going to advertise or publish links to unverified web sites due to security issues.
Nanouk Miller
IBNANOUK
Dropping oil prices to cause chaos
While dropping oil prices may seem to be a bonus to the USA, it may be very ominous as it causes those countries that derive most of their revenue from oil production and are also very totalitarian in nature: Russia (yes Putin is a virtue dictator), Venezuela, Iran, and many of the Gulf states.
Since these are the states that mostly sponsor terror organizations, these organizations will find their help dwindling from normal sources placing them on the brink of financial ruin, so what will they be thinking?
WHAT DO WE HAVE TO LOSE?
They may figure that if even the petro-dollars are going to dry up, why not do something desperate and quickly before they no longer have the monies to buy or dig up their weapons of terror. Desperation is the mother of violent action.
Since these are the states that mostly sponsor terror organizations, these organizations will find their help dwindling from normal sources placing them on the brink of financial ruin, so what will they be thinking?
WHAT DO WE HAVE TO LOSE?
They may figure that if even the petro-dollars are going to dry up, why not do something desperate and quickly before they no longer have the monies to buy or dig up their weapons of terror. Desperation is the mother of violent action.
Yearly LOW taken out as predicted HERE!
OK, well I hate to say it, but I TOLD YOU SO!!!!
The markets around the world tanked again, and the US futures are down less than their previous Lows of the Year! The SP 500 has taken out its previous LOY [837] and isn't looking good for a rebound before the NYMO.
I don't think we will LOCK LIMIT DOWN like we did on Friday, since we would have to fall to around SP 500 [800], but we could very get close to that level.
However, the big thing that is being missed is the price of oil. The dropping price of oil to less than $60.00 / barrel is going to have geopolitical implications. More on that in a subsequent post.
The stock markets continue to plummet including now the once supreme Mid-Eastern and Gulf area stocks markets and banks. There are runs on the Gulf banks when once oil-rich cartels are beginning panic withdrawals.
Country after country is defaulting asking for help from IMF (International Monetary Fund) that has already helped Iceland, and is being asked to help Pakistan, Hungary and Belarus. Once the IMF shuts it doors, the real pain will begin.
Can we say, "Free-fall?"
The markets around the world tanked again, and the US futures are down less than their previous Lows of the Year! The SP 500 has taken out its previous LOY [837] and isn't looking good for a rebound before the NYMO.
I don't think we will LOCK LIMIT DOWN like we did on Friday, since we would have to fall to around SP 500 [800], but we could very get close to that level.
However, the big thing that is being missed is the price of oil. The dropping price of oil to less than $60.00 / barrel is going to have geopolitical implications. More on that in a subsequent post.
The stock markets continue to plummet including now the once supreme Mid-Eastern and Gulf area stocks markets and banks. There are runs on the Gulf banks when once oil-rich cartels are beginning panic withdrawals.
Country after country is defaulting asking for help from IMF (International Monetary Fund) that has already helped Iceland, and is being asked to help Pakistan, Hungary and Belarus. Once the IMF shuts it doors, the real pain will begin.
Can we say, "Free-fall?"
Sunday, October 26, 2008
Argentina as a warning to America
If you want to see what happens when a normally free-market country allows its government to nationalize large parts of its financial system, just watch what is happening in Argentina.
The government in Argentina is going to nationalize all pension funds and plans due to what they say is "blatant corruption and uncontrolled greed..." in order to protect the Argentine taxpayer, etc.
What was the response from the Argentine stock markets: they dropped 26% in one week!
American be ware -- your government is talking about doing the same thing. Government intervention always brings disaster. Always.
No socialist country has ever produced anything but pain, misery, and suffering from its citizenry. Look up the history, folks. Lack of freedom always drowns the human spirit and dampens the spirit regardless of the motives of the well-intended.
The government in Argentina is going to nationalize all pension funds and plans due to what they say is "blatant corruption and uncontrolled greed..." in order to protect the Argentine taxpayer, etc.
What was the response from the Argentine stock markets: they dropped 26% in one week!
American be ware -- your government is talking about doing the same thing. Government intervention always brings disaster. Always.
No socialist country has ever produced anything but pain, misery, and suffering from its citizenry. Look up the history, folks. Lack of freedom always drowns the human spirit and dampens the spirit regardless of the motives of the well-intended.
It's even worse for McCain & Palin
Watching the responsible polls (Rasmussen, Clear Politics, etc), BHO is really beginning to pull away from McCain/Palin to the point where its going to be a landslide victory and it is very likely BHO may pull a SMDC in with him.
McCain is losing in all the states that Bush 43 won in 2004, and he is even going lose some of the Southern states that have been dead set against a BHO/SMDC victory. I am still predicting that BHO is going to win over 400 electoral college votes and all but about 10-12 states. This is going to give him such an ego boost that with his SMDC, BHO is going to go nuts with his legislative agenda and judicial replacement choices.
This will change the face of American politics and culture forever. America is going to down and there is nothing to stop it. We are going to be a socialized, government controlled country. I don't think anything can stop that so get ready for big changes.
McCain is losing in all the states that Bush 43 won in 2004, and he is even going lose some of the Southern states that have been dead set against a BHO/SMDC victory. I am still predicting that BHO is going to win over 400 electoral college votes and all but about 10-12 states. This is going to give him such an ego boost that with his SMDC, BHO is going to go nuts with his legislative agenda and judicial replacement choices.
This will change the face of American politics and culture forever. America is going to down and there is nothing to stop it. We are going to be a socialized, government controlled country. I don't think anything can stop that so get ready for big changes.
Ted Nugent has the right idea!
Ted Nugent of all people has it right on the money.
He says that we are paying the price for over-indulging and not taking responsibility for our actions. Wow! Here is a rocker that actually understands the underpinnings of human nature. When you screw up, you have to pay for it.
Go Ted!
He says that we are paying the price for over-indulging and not taking responsibility for our actions. Wow! Here is a rocker that actually understands the underpinnings of human nature. When you screw up, you have to pay for it.
Go Ted!
Damn! Barney Frank strikes Again!
Just when you would think that BHO would be calling the Congress and telling them to keep their damn mouths shut, Rep. Barney Frank (MA-D) strikes again!
This time he is talking about taking away the tax break for contributing to retirement funds like 401K's! Are they nuts! When you want capital infusion and capital replacement, you begin by removing the tax breaks for contributing to 401Ks and IRAs. Is that crazy or just liberal/Democrat exuberance that they are going to win big on Nov 4th?
Whatever the motive, the voting public is now getting to see what will happen if a SMDC (see acronyms post) is elected on Nov. 4th. To talk about removing the tax benefits of 401K plans and have 5% of everyone's pay check and given to the Social Security Administration for management.
WHOA!!! Am I glad I don't have any monies with the Social Security Administration. Investing the same monies with the SSA vs. the Stock market would have resulted in about 1/6th the monthly stipend. That's enough to make me sit up and want to have my monies managed by the government!
The USA would have solved its entire capitalization problem if from the beginning of the SSA, all the monies paid into the SSA would have been placed under 2 different rules:
1. The SSA trust fund could not be used by the Congress for short falls
2. The monies of the SSA trust fund would have been invested in the US stock market.
Ah, but alas, these rules were ignored and the retirement plan that all Congress people have which DO adhere to these 2 rules is NOT the same plan that US workers are forced to pay into every work day. Talk about arrogance and hypocrisy.
This time he is talking about taking away the tax break for contributing to retirement funds like 401K's! Are they nuts! When you want capital infusion and capital replacement, you begin by removing the tax breaks for contributing to 401Ks and IRAs. Is that crazy or just liberal/Democrat exuberance that they are going to win big on Nov 4th?
Whatever the motive, the voting public is now getting to see what will happen if a SMDC (see acronyms post) is elected on Nov. 4th. To talk about removing the tax benefits of 401K plans and have 5% of everyone's pay check and given to the Social Security Administration for management.
WHOA!!! Am I glad I don't have any monies with the Social Security Administration. Investing the same monies with the SSA vs. the Stock market would have resulted in about 1/6th the monthly stipend. That's enough to make me sit up and want to have my monies managed by the government!
The USA would have solved its entire capitalization problem if from the beginning of the SSA, all the monies paid into the SSA would have been placed under 2 different rules:
1. The SSA trust fund could not be used by the Congress for short falls
2. The monies of the SSA trust fund would have been invested in the US stock market.
Ah, but alas, these rules were ignored and the retirement plan that all Congress people have which DO adhere to these 2 rules is NOT the same plan that US workers are forced to pay into every work day. Talk about arrogance and hypocrisy.
Joe the Plumber Anal Probed by Media
Only in America could "Joe the Plumber" (Samuel Joe Wurzelbacher) get the royal reaming by raising a tough question of the media-darling BHO. Here the media and liberal/Democrats (suppose to be for the little guy) are digging into his past, taxes, work permits, etc. This is unbelievable since if he had asked a question that supported BHO's positions, he would have heralded as a hero and patriot, but he poses a question that clearly gets BHO to say something that brings his socialist beliefs out into the open, and he is castrated.
This is very troubling since the media is using this process to scare people from asking questions of our elected officials by telling them if they do they will scrutinized and inspected until something that appears negative is brought out and aired. It is going to have its own LOUC. This treatment of the "Joe the Plumber" is going piss off enough people to where they are going to start taking on the media and liberal/democrats. They are going to begin getting their "hackles up" and digging their heels in and fighting back.
If nothing else, it lowers the bar so that if something like this happens to a liberal/democrat "little person" the media is not going to be able to say anything against the action since they were the ones that started it.
For bloggers like me, they are really going to make the future very easy to blog about anything and say anything about anyone without being taken to task since they are the ones that have set the bar on the ground.
Thank you, NBC, MSNBC, CNN, The Huffington Post, Media Matters, the Daily Kos, etc. We now have carte blanche to do whatever we want without boundaries. Wheeeeee!
This is very troubling since the media is using this process to scare people from asking questions of our elected officials by telling them if they do they will scrutinized and inspected until something that appears negative is brought out and aired. It is going to have its own LOUC. This treatment of the "Joe the Plumber" is going piss off enough people to where they are going to start taking on the media and liberal/democrats. They are going to begin getting their "hackles up" and digging their heels in and fighting back.
If nothing else, it lowers the bar so that if something like this happens to a liberal/democrat "little person" the media is not going to be able to say anything against the action since they were the ones that started it.
For bloggers like me, they are really going to make the future very easy to blog about anything and say anything about anyone without being taken to task since they are the ones that have set the bar on the ground.
Thank you, NBC, MSNBC, CNN, The Huffington Post, Media Matters, the Daily Kos, etc. We now have carte blanche to do whatever we want without boundaries. Wheeeeee!
Competing with the government
Listening to some of the talking heads, I was surprised to hear one or two them finally get it right about why the "bail-out, rescue, stabilization" plan isn't working. It's what I told you earlier this month when I mentioned that the government was going to start buying banks and equity positions:
Capital doesn't want to compete with the Government since the Government has two major advantages:
1. The government can change the rules to their advantage
2. The government can raise an unlimited amount of capital by printing money
With these two overwhelming advantages over private capital, why would private capital want to get involved in the areas where the government is "bailing-out?"
Answer: they won't!
So why does the rescue, bail-out, etc not stem the tide of stock market volatility? Every time the government "rescues" the next area, private capital leaves that area. Stay with me on this one.
First it was the Investment Banks (Bear Sterns, Lehman Brothers, Merrill Lynch, etc), and what happened there? All 5 of the last Investment Banks are gone; Wall Street is completely changed forever.
Second, it was the mortgage market (Fannie Mae, Freddie Mac) and what happened there? Countrywide, WaMu, Wachovia and others all with heavy mortgage holdings and even the big banks overseas began to fail. Governments all over the planet began to take them over.
Third, it was multi-faceted insurer (AIG) and what happened here? AIG gets over 110 Billion USD taxpayer dollars and then uses it to support executive bonuses and senior-level manager's junkets while AIG continues to feed at the taxpayer trough.
Fourth, it was the commercial banks (BoA, Chase, Citi Group, Wells Fargo), and what happened here? The monies that the Treasury via the Federal Reserve are now being used to buy out smaller competitors further concentrating the power of the financial system into a fewer number of very large institutions: the exact process that got us into this problem in the first place.
Fourth, and now the government wants to take equity positions in small insurers (State Farm, Allstate, GEIGO, etc) and what will happen here? These companies will dump their high risk policies onto the tax payers' back and then go back to their bad insuring practices since the government have socialized the risk.
Bottom line? Every area the government gets into will suffer from the LOUC (law of unintended consequences). Pure and simple.
Capital doesn't want to compete with the Government since the Government has two major advantages:
1. The government can change the rules to their advantage
2. The government can raise an unlimited amount of capital by printing money
With these two overwhelming advantages over private capital, why would private capital want to get involved in the areas where the government is "bailing-out?"
Answer: they won't!
So why does the rescue, bail-out, etc not stem the tide of stock market volatility? Every time the government "rescues" the next area, private capital leaves that area. Stay with me on this one.
First it was the Investment Banks (Bear Sterns, Lehman Brothers, Merrill Lynch, etc), and what happened there? All 5 of the last Investment Banks are gone; Wall Street is completely changed forever.
Second, it was the mortgage market (Fannie Mae, Freddie Mac) and what happened there? Countrywide, WaMu, Wachovia and others all with heavy mortgage holdings and even the big banks overseas began to fail. Governments all over the planet began to take them over.
Third, it was multi-faceted insurer (AIG) and what happened here? AIG gets over 110 Billion USD taxpayer dollars and then uses it to support executive bonuses and senior-level manager's junkets while AIG continues to feed at the taxpayer trough.
Fourth, it was the commercial banks (BoA, Chase, Citi Group, Wells Fargo), and what happened here? The monies that the Treasury via the Federal Reserve are now being used to buy out smaller competitors further concentrating the power of the financial system into a fewer number of very large institutions: the exact process that got us into this problem in the first place.
Fourth, and now the government wants to take equity positions in small insurers (State Farm, Allstate, GEIGO, etc) and what will happen here? These companies will dump their high risk policies onto the tax payers' back and then go back to their bad insuring practices since the government have socialized the risk.
Bottom line? Every area the government gets into will suffer from the LOUC (law of unintended consequences). Pure and simple.
Saturday, October 25, 2008
CAUTION! Understand Wikipedia's Biases
I have made references to Wikipedia's information on some topics, but others I will not use since Wikipedia has some severe biases on topics that the San Francisco based foundation hold near and dear.
To provide the fairness that I like to offer on this blog, I have researched and found a sight that provides verifiable research on the biases of the Wikipedia and their chosen editors. I don't care if they are biased, but it needs to be understood and used in reading their supposedly "neutral position" that is one of their "5 pillars" which in and of itself parallel the 5 pillars of Islam.
The site that gives you the other side of the Wikipedia bias is:
the conversative pidea URL that lists evidence of Wikipedia's bias
Read both and at least understand that anything on the Internet can be used to support and direct an ideology. Always ask the one question:
what is the motivation to suppress the other of an issue?
Have a good weekend.
To provide the fairness that I like to offer on this blog, I have researched and found a sight that provides verifiable research on the biases of the Wikipedia and their chosen editors. I don't care if they are biased, but it needs to be understood and used in reading their supposedly "neutral position" that is one of their "5 pillars" which in and of itself parallel the 5 pillars of Islam.
The site that gives you the other side of the Wikipedia bias is:
the conversative pidea URL that lists evidence of Wikipedia's bias
Read both and at least understand that anything on the Internet can be used to support and direct an ideology. Always ask the one question:
what is the motivation to suppress the other of an issue?
Have a good weekend.
BHO's real feelings about the middle class
More BHO's training and beliefs from Saul Alinsky's writings have been the base and rules for his Presidential campaign. From Alinsky's own words:
--Courtesy of IBD, 2008, Article on Saul Alinsky and BHO
You can see that BHO really doesn't believe in or like the middle class since according to his mentor, Alinsky, they can't be trusted and therefore must be "bribed" into going along with the radical changes until they can't stop them from being implemented. As with all radical changes, the covert radical is always the most dangerous since they hide in plain sight. BHO and his SMDC are going to come out of the shadows on Jan 20, 2009 and make their plans and changes very clear.
America is never going to be the same or as strong since by the end of BHO's terms, the USA will be the USSA and most of its power will have turned over to the UN. I know you don't believe me, but think of how many changes occurred during 60's. I 10 short years, the complete cultural, familial, technological, and political landscapes of the USA were changed forever.
Just a warning since I will be one of the strongest "I told you so..." after the January 20, 2009 party for BHO and his SMDC.
Alinsky also readily admitted that he didn't trust the people themselves. "It is the schizophrenia of a free society that we outwardly espouse faith in the people but inwardly have strong doubts whether the people can be trusted," he wrote. "Seeking some meaning in life," the middle class, according to Alinsky, "turn to an extreme chauvinism and become defenders of the 'American' faith."
This is evocative of Obama's remark during the primaries that small-town Americans are "bitter" and "cling to guns or religion."
Obama is also following Alinsky's instructions to the hard left for attaining power in America. In the last chapter of "Rules for Radicals," titled "The Way Ahead," is found this declaration:
"Activists and radicals, on and off our college campuses — people who are committed to change — must make a complete turnabout."
Alinsky noted that "our rebels have contemptuously rejected the values and way of life of the middle class. They have stigmatized it as materialistic, decadent, bourgeois, degenerate, imperialistic, war-mongering, brutalized and corrupt."
According to Alinsky, "They are right," but he cautioned his comrades that "the power and the people are in the big middle-class majority." Therefore, an effective radical activist "discards the rhetoric that always says 'pig' " in reference to police officers, plus other forms of disguise, "to radicalize parts of the middle class."
This is evocative of Obama's remark during the primaries that small-town Americans are "bitter" and "cling to guns or religion."
Obama is also following Alinsky's instructions to the hard left for attaining power in America. In the last chapter of "Rules for Radicals," titled "The Way Ahead," is found this declaration:
"Activists and radicals, on and off our college campuses — people who are committed to change — must make a complete turnabout."
Alinsky noted that "our rebels have contemptuously rejected the values and way of life of the middle class. They have stigmatized it as materialistic, decadent, bourgeois, degenerate, imperialistic, war-mongering, brutalized and corrupt."
According to Alinsky, "They are right," but he cautioned his comrades that "the power and the people are in the big middle-class majority." Therefore, an effective radical activist "discards the rhetoric that always says 'pig' " in reference to police officers, plus other forms of disguise, "to radicalize parts of the middle class."
--Courtesy of IBD, 2008, Article on Saul Alinsky and BHO
You can see that BHO really doesn't believe in or like the middle class since according to his mentor, Alinsky, they can't be trusted and therefore must be "bribed" into going along with the radical changes until they can't stop them from being implemented. As with all radical changes, the covert radical is always the most dangerous since they hide in plain sight. BHO and his SMDC are going to come out of the shadows on Jan 20, 2009 and make their plans and changes very clear.
America is never going to be the same or as strong since by the end of BHO's terms, the USA will be the USSA and most of its power will have turned over to the UN. I know you don't believe me, but think of how many changes occurred during 60's. I 10 short years, the complete cultural, familial, technological, and political landscapes of the USA were changed forever.
Just a warning since I will be one of the strongest "I told you so..." after the January 20, 2009 party for BHO and his SMDC.
BHO and Saul Alinsky, Radical Socialist
For those about to election BHO, here are the ideas that drive his ideology:
Capitalism always was considered the enemy. "America's corporations are a spiritual slum," he wrote, "and their arrogance is the major threat to our future as a free society." Is it surprising that an Alinsky disciple such as Obama can promise so blithely to increase taxes on CEOs?
Obama calls his years as an Alinskyesque community organizer in Chicago "the best education I ever had, and where I learned the true meaning of my Christian faith." But as radicalism expert Richard Lawrence Poe has noted, "Camouflage is key to Alinsky-style organizing. In organizing coalitions of black churches in Chicago, Obama caught flak for not attending church himself. He became an instant churchgoer."
Indeed, Alinsky believed in sacrificing ethics and morals for the great cause. "Ethical standards must be elastic to stretch with the times," Alinsky wrote in his last book, "Rules for Radicals," adding that "all values are relative in a world of political relativity."
Published a year before Alinsky's death in 1972, "Rules for Radicals" includes a dedication in which he gives "an over-the-shoulder acknowledgment to the very first radical . . . who rebelled against the establishment and did it so effectively that he at least won his own kingdom — Lucifer."
Alinsky's writings even explain what often seems like Obama's oversized ego. In New Hampshire in January, for example, the senator told an audience that "a beam of light will come down upon you, you will experience an epiphany . . . and you will suddenly realize that you must go to the polls and vote for Obama."
It was a bizarre spectacle, but consider that Alinsky believed that "anyone who is working against the haves is always facing odds, and in many cases heavy odds. If he or she does not have that complete self-confidence (or call it ego) that he can win, then the battle is lost before it is even begun."
According to Alinsky, "Ego must be so all-pervading that the personality of the organizer is contagious, that it converts the people from despair to defiance, creating a mass ego."
Obama calls his years as an Alinskyesque community organizer in Chicago "the best education I ever had, and where I learned the true meaning of my Christian faith." But as radicalism expert Richard Lawrence Poe has noted, "Camouflage is key to Alinsky-style organizing. In organizing coalitions of black churches in Chicago, Obama caught flak for not attending church himself. He became an instant churchgoer."
Indeed, Alinsky believed in sacrificing ethics and morals for the great cause. "Ethical standards must be elastic to stretch with the times," Alinsky wrote in his last book, "Rules for Radicals," adding that "all values are relative in a world of political relativity."
Published a year before Alinsky's death in 1972, "Rules for Radicals" includes a dedication in which he gives "an over-the-shoulder acknowledgment to the very first radical . . . who rebelled against the establishment and did it so effectively that he at least won his own kingdom — Lucifer."
Alinsky's writings even explain what often seems like Obama's oversized ego. In New Hampshire in January, for example, the senator told an audience that "a beam of light will come down upon you, you will experience an epiphany . . . and you will suddenly realize that you must go to the polls and vote for Obama."
It was a bizarre spectacle, but consider that Alinsky believed that "anyone who is working against the haves is always facing odds, and in many cases heavy odds. If he or she does not have that complete self-confidence (or call it ego) that he can win, then the battle is lost before it is even begun."
According to Alinsky, "Ego must be so all-pervading that the personality of the organizer is contagious, that it converts the people from despair to defiance, creating a mass ego."
--Courtesy of IBD, 2008, Article on Saul Alinsky and BHO
I don't care if you vote for BHO, but please be honest with yourself that you are voting for a "died in the wool" socialist. I can abide people that aren't honest with themselves. I can understand why BHO, who follows Alinsky's warning for "radicals to disguise their ideology.." until they are in a position of power, lies about his true beliefs, but for those that are being swayed by his speech-making, it's intellectual weakness.
Come Nov. 4th, 2008, the USA will indeed elect their first socialist President, and he will come to power in a way that would make Alinsky smile with satisfaction.
Come Nov. 4th, 2008, the USA will indeed elect their first socialist President, and he will come to power in a way that would make Alinsky smile with satisfaction.
The "real change" BHO represents
BHO's big difference from JFK is that he is a socialist. Come on now, let's not lie about it. BHO's training, up-bringing, education, and early community organization experiences have all been in the venue of making the USA a socialist country.
Why do liberals/Democrats have such a problem with that label? I have more respect for people that don't try and hide their stripes, but are willing to be up front and open about what they believe in. When they try to hide their true beliefs and ideologies, it makes me think that there is something to this need for distraction or obfuscation.
BHO, on the other hand, doesn't see this as a problem. When directly asked, "Do you regret making the statement about spreading the wealth around?" BHO answered directly and defiantly, "No, I don't!" BHO simply can't understand why anyone should be upset with this concept. To him the rich can afford it and should be patriotic enough to allow it, and the poor should embrace it as their right to other people's money. BHO believes these concepts are truisms in a progressive, modern society.
Ask yourself? How would I feel if I had to go to work everyday and work until 11:30 AM every day just so that amount of my income that I personally worked for could be taken by the government and then given to someone else "less fortunate" than I. That is not the American Dream, folks. The American Dream is based on opportunity, not charity.
Give a man a fish, and you feed him "each day and make him dependent on your charity"; teach a man how to fish and you feed him "and the small business employees and customers he creates for processing and canning fish." (my update to the old adage)
What BHO doesn't understand is the impact these concepts will have on the production and creation of wealth in a free society, and there may be "gotcha." Maybe he does understand, sneaky, eh?
Why do liberals/Democrats have such a problem with that label? I have more respect for people that don't try and hide their stripes, but are willing to be up front and open about what they believe in. When they try to hide their true beliefs and ideologies, it makes me think that there is something to this need for distraction or obfuscation.
BHO, on the other hand, doesn't see this as a problem. When directly asked, "Do you regret making the statement about spreading the wealth around?" BHO answered directly and defiantly, "No, I don't!" BHO simply can't understand why anyone should be upset with this concept. To him the rich can afford it and should be patriotic enough to allow it, and the poor should embrace it as their right to other people's money. BHO believes these concepts are truisms in a progressive, modern society.
Ask yourself? How would I feel if I had to go to work everyday and work until 11:30 AM every day just so that amount of my income that I personally worked for could be taken by the government and then given to someone else "less fortunate" than I. That is not the American Dream, folks. The American Dream is based on opportunity, not charity.
Give a man a fish, and you feed him "each day and make him dependent on your charity"; teach a man how to fish and you feed him "and the small business employees and customers he creates for processing and canning fish." (my update to the old adage)
What BHO doesn't understand is the impact these concepts will have on the production and creation of wealth in a free society, and there may be "gotcha." Maybe he does understand, sneaky, eh?
The solitude of the ballot booth
This election has so many parallels in past elections it is truly an election of a lifetime.
The 1980 Jimmy Carter vs. Ronald Reagan was called for Carter up until the final debate after which RWR poll numbers just reversed the Peanut-guy (sorry, I truly believe that Carter should be tried for treason due to his comments about the US overseas - disgusting for an ex-President) advantage, and RWR won the 1980 election in a landslide (489 vs 44 EC, 51%-41% popular, 43 - 7 states).
I don't think that this will be the case for McCain assuming that BHO can silence his own internal detractors, but I believe that the only way McCain will win is if in the "solitude of voting booth" those that say they were going to vote for BHO outside or in polls, just can't make themselves pull the lever for the first black President with extreme socialist beliefs.
In the end, I believe that America is so confused and angry that they are willing to take a chance with BHO that they will go for him like my generation took a chance with JFK in 1960; however, the big difference is that JFK represented cultural change not constitutional changes.
I have no problem with BHO being elected President since I can out think and out maneuver any politician when it comes to my income being "shared" that it will not impact me or other smart people, but for those that don't study history, they will repeat the events of Clinton's election in 1992.
The 1980 Jimmy Carter vs. Ronald Reagan was called for Carter up until the final debate after which RWR poll numbers just reversed the Peanut-guy (sorry, I truly believe that Carter should be tried for treason due to his comments about the US overseas - disgusting for an ex-President) advantage, and RWR won the 1980 election in a landslide (489 vs 44 EC, 51%-41% popular, 43 - 7 states).
I don't think that this will be the case for McCain assuming that BHO can silence his own internal detractors, but I believe that the only way McCain will win is if in the "solitude of voting booth" those that say they were going to vote for BHO outside or in polls, just can't make themselves pull the lever for the first black President with extreme socialist beliefs.
In the end, I believe that America is so confused and angry that they are willing to take a chance with BHO that they will go for him like my generation took a chance with JFK in 1960; however, the big difference is that JFK represented cultural change not constitutional changes.
I have no problem with BHO being elected President since I can out think and out maneuver any politician when it comes to my income being "shared" that it will not impact me or other smart people, but for those that don't study history, they will repeat the events of Clinton's election in 1992.
Dems talking their way to defeat!
More Democratic speak before the election is trying to accomplish the warning that BHO made at the Al Smith Dinner a week ago:
"We Democrats have the ability to snatch defeat from the jaws of victory..."
Two of most prominent Dems doing just this are Senator Joe Biden, the current Democratic nominee for VP, and Rep. Barney Frank (MA-D).
Both these politicians, not statesmen (look up the definition of both) are running their audio factories at full tilt making BHO's life on the campaign trail nothing more then that of a fire fighter going from one outbreak to another.
First it was Biden's comment about BHO being tested by the international community after his election and to be patient with him since he will probably not make the right decision the first time. This is BHO's running mate???!!!! If I didn't know better, I would think that Biden is actually a Hillary plant trying to sabotage BHO's campaign from the inside so Hillary can run in 2012 instead of waiting for 2016.
Remember, it was Biden that said his own selection by BHO as a VP would have been better if BHO had chosen Hillary. Joe's mouth is a prime candidate for super glue, eh?
Second, Rep. Barney Frank just said yesterday that after the elections, the military spending needs to be cut 25%! WOW! If this isn't the worst time to say that during a period of terrorists thinking of testing his soon-to-be-new boss!!!
Unbelievable. Dems do have a death wish. Just shut up and coast into the election. Send Frank to the Bahamas for vacation and Joe overseas to test the waters. Guys, its not this tough to win big in 10 days. Just keep your internal moronic talking-heads out of the lime light. Let BHO be front and center and he will sweep the EC (electoral college north of 400 votes), and bring in a SMDC.
Geez!
"We Democrats have the ability to snatch defeat from the jaws of victory..."
Two of most prominent Dems doing just this are Senator Joe Biden, the current Democratic nominee for VP, and Rep. Barney Frank (MA-D).
Both these politicians, not statesmen (look up the definition of both) are running their audio factories at full tilt making BHO's life on the campaign trail nothing more then that of a fire fighter going from one outbreak to another.
First it was Biden's comment about BHO being tested by the international community after his election and to be patient with him since he will probably not make the right decision the first time. This is BHO's running mate???!!!! If I didn't know better, I would think that Biden is actually a Hillary plant trying to sabotage BHO's campaign from the inside so Hillary can run in 2012 instead of waiting for 2016.
Remember, it was Biden that said his own selection by BHO as a VP would have been better if BHO had chosen Hillary. Joe's mouth is a prime candidate for super glue, eh?
Second, Rep. Barney Frank just said yesterday that after the elections, the military spending needs to be cut 25%! WOW! If this isn't the worst time to say that during a period of terrorists thinking of testing his soon-to-be-new boss!!!
Unbelievable. Dems do have a death wish. Just shut up and coast into the election. Send Frank to the Bahamas for vacation and Joe overseas to test the waters. Guys, its not this tough to win big in 10 days. Just keep your internal moronic talking-heads out of the lime light. Let BHO be front and center and he will sweep the EC (electoral college north of 400 votes), and bring in a SMDC.
Geez!
Friday, October 24, 2008
America needs a big BHO win! Whoa!
As in the previous post, I believe that BHO needs to win big in November because American needs a big dose of Democratic/Liberalism legislation and control. America needs to be completely removed from the prominence of the world stage, and reduced to a 3rd world socialistic country that is more interested in being well-liked than being right or standing up for personal freedoms. The world can not move into the next phase of its future with the US still the world's single super power. I know this sounds harsh, but trust me, it has to happen.
The USA has to be taken down, and it can't be taken down externally, so it will be taken down internally. Remember, the Founding Fathers warned us of both enemies, foreign and domestic. BHO and his SMDC will do this quite nicely without a shot being fired. They will do it with hand-outs, give aways, and tax rebates until they bankrupt those that are working to provide these monies, and then the whole structure comes down.
The main reason socialistic-type governments don't last is because they don't understand how human nature impacts the implementation of their basic tenants. When production ceases since there is not reason to produce since the government takes away what you do produce, the produces become out numbered by the consumers and all activity stalled. The government is then forced to move from socialism to totalitarianism in order to get the engines of production at least somewhat working.
Witness what is going on in Europe with the riots in France, 32 hr work weeks in Germany, and 80% tax rates in Denmark and Sweden. What have these countries produced in the last 40 years? Nothing, and the USA is heading that way.
The USA has to be taken down, and it can't be taken down externally, so it will be taken down internally. Remember, the Founding Fathers warned us of both enemies, foreign and domestic. BHO and his SMDC will do this quite nicely without a shot being fired. They will do it with hand-outs, give aways, and tax rebates until they bankrupt those that are working to provide these monies, and then the whole structure comes down.
The main reason socialistic-type governments don't last is because they don't understand how human nature impacts the implementation of their basic tenants. When production ceases since there is not reason to produce since the government takes away what you do produce, the produces become out numbered by the consumers and all activity stalled. The government is then forced to move from socialism to totalitarianism in order to get the engines of production at least somewhat working.
Witness what is going on in Europe with the riots in France, 32 hr work weeks in Germany, and 80% tax rates in Denmark and Sweden. What have these countries produced in the last 40 years? Nothing, and the USA is heading that way.
Liberal media lowers bar for future candidates
The liberal media doesn't know what a gift they are giving bloggers like me in their treatment of Gov. Sarah Palin during this 2008 election. When their candidates come up for scrutiny they will be treated to the same barrage of low-ball tactics that they have leveled at Gov. Palin.
They will scream and yell, but that's the nice thing about places like YouTube and computers these days since we can store years and years of media clips and search on them in a heart beat. All the things they said about Palin on shows like "The View", "CNN", "MSNBC", "NBC", and other liberal-biased media outlets are just allowing the future attacks on politicians both men, women, whites, blacks, straights, gays, and the mentally disabled.
The sword of retribution always is two-sided and it will come back to cut the liberal-media backed candidates in the future, and those leveling the attacks will just be able to point to this treatment of Palin. Now don't get me wrong, I am not standing up for Gov. Palin since she has a record that speaks for itself which they can't attack so they attack her personally.
She was factually correct when she said that she has more executive experience than either BHO, Biden or McCain. She is the only one of the 4 running candidates that has had to balance billion dollar budgets, deal with international companies and the only one that has won monies from corporations for the citizens of her state.
None of the other 3 candidates can even come close to her level of executive experience. Now am I pushing for Palin, no, I think she and McCain need to get beat soundly and BHO and his SMDC need to be installed as I believe they will. How many other conservative, personal responsibility advocates bloggers do you know that want the more qualified candidates to lose? I do, and the next post explains why.
They will scream and yell, but that's the nice thing about places like YouTube and computers these days since we can store years and years of media clips and search on them in a heart beat. All the things they said about Palin on shows like "The View", "CNN", "MSNBC", "NBC", and other liberal-biased media outlets are just allowing the future attacks on politicians both men, women, whites, blacks, straights, gays, and the mentally disabled.
The sword of retribution always is two-sided and it will come back to cut the liberal-media backed candidates in the future, and those leveling the attacks will just be able to point to this treatment of Palin. Now don't get me wrong, I am not standing up for Gov. Palin since she has a record that speaks for itself which they can't attack so they attack her personally.
She was factually correct when she said that she has more executive experience than either BHO, Biden or McCain. She is the only one of the 4 running candidates that has had to balance billion dollar budgets, deal with international companies and the only one that has won monies from corporations for the citizens of her state.
None of the other 3 candidates can even come close to her level of executive experience. Now am I pushing for Palin, no, I think she and McCain need to get beat soundly and BHO and his SMDC need to be installed as I believe they will. How many other conservative, personal responsibility advocates bloggers do you know that want the more qualified candidates to lose? I do, and the next post explains why.
The 4 horsemen of the Financial Apocalypse
Today we saw the 4 horsemen of the financial apocalypse were out in full finger-pointing mode today:
They are:
1. Alan Greenspan: the catalyst and "I see no evil" member of that pack
2. Ben Bernanke: the "I came late too the party" to do anything
3. Henry Paulson: the main player in this financial apocalypse
4. Christopher Cox: the only one to admit guilt, but is still employed
These guys are supposedly the smartest financial types on the planet and they all said to the Congress that they didn't see it coming or didn't do enough to stop it if they did see it coming.
Now if these guys didn't, couldn't, or wouldn't, what chance do normal investors have in winning the investment game. I am sure that the US investor or 401K participant or IRA owner is going to be very suspect of the Wall Street game from now on, and it is going to take a long time before they begin to put their monies back into the market. Many people now believe that the government and Wall Street are in collusion especially with Hank Paulson, the ex-Chairman of Goldman Sachs, is running the Treasury department.
They have blown their "brand" as they say on Madison Avenue.
They are:
1. Alan Greenspan: the catalyst and "I see no evil" member of that pack
2. Ben Bernanke: the "I came late too the party" to do anything
3. Henry Paulson: the main player in this financial apocalypse
4. Christopher Cox: the only one to admit guilt, but is still employed
These guys are supposedly the smartest financial types on the planet and they all said to the Congress that they didn't see it coming or didn't do enough to stop it if they did see it coming.
Now if these guys didn't, couldn't, or wouldn't, what chance do normal investors have in winning the investment game. I am sure that the US investor or 401K participant or IRA owner is going to be very suspect of the Wall Street game from now on, and it is going to take a long time before they begin to put their monies back into the market. Many people now believe that the government and Wall Street are in collusion especially with Hank Paulson, the ex-Chairman of Goldman Sachs, is running the Treasury department.
They have blown their "brand" as they say on Madison Avenue.
The joke that is OPEC
The OPEC meeting in Vienna cut production by 1.5 million barrels a day, and guess what?
OIL STILL WENT DOWN!
This must be jacking the OPEC members to no end. They cut production and oil still goes down to its lowest levels in almost 2 years. Whether we will ever see it in the gas prices is another issue, but it shows that even OPEC is not immune to LOUC.
They quickly left Vienna with their tails between their legs and vowed that they would revisit the question in 20 days at their regularly scheduled meeting. They are truly on the horns of a dilemma:
If they cut production even further, they risk a back lash from the consuming nations as their economies dwindling and turn into recessionary activities.
Also, if they don't cut production, the downhill slide on the price of oil will continue.
What a problem for their advisors, eh? However, you can't help laughing a bit at Chavez (Venezuela) and Putin (Russia) since their power is directly upheld by the price of oil. I am sure this weekend is not going to be very enjoyable for them.
Their revenue has been but almost by 2/3s!
OIL STILL WENT DOWN!
This must be jacking the OPEC members to no end. They cut production and oil still goes down to its lowest levels in almost 2 years. Whether we will ever see it in the gas prices is another issue, but it shows that even OPEC is not immune to LOUC.
They quickly left Vienna with their tails between their legs and vowed that they would revisit the question in 20 days at their regularly scheduled meeting. They are truly on the horns of a dilemma:
If they cut production even further, they risk a back lash from the consuming nations as their economies dwindling and turn into recessionary activities.
Also, if they don't cut production, the downhill slide on the price of oil will continue.
What a problem for their advisors, eh? However, you can't help laughing a bit at Chavez (Venezuela) and Putin (Russia) since their power is directly upheld by the price of oil. I am sure this weekend is not going to be very enjoyable for them.
Their revenue has been but almost by 2/3s!
The one decision that ended McCain's campaign
McCain destroyed his campaign with one decision: to support the ESA 2008 and going along with Bush 43 and his very ignorant group of financial advisors (Paulson, Bernanke, and Cox - more on them later).
Had McCain opposed the ESA 2008 and the market tanked as it has, he could have claimed that he warned the Bush 43 and Congress against this action and BHO would have looked like an economic neophyte. This would put McCain up over 10pts in the polls as he would have been the guy right on the economy which is the most important issue for Nov. 4th.
So how does BHO get a pass since he voted for the same bill as McCain?
Simple, BHO is a Democrat and they are party that is better supported by the media and they want the White House, not already in it. Thus, they will get the pass and be elected, and poor McCain will have to look back on his campaign as being totally unhinged by 1 decision.
The insiders are saying that Gov. Palin warned McCain about supporting the ESA 2008. She told him that he should publicly oppose the ESA 2008 for 2 reasons:
1. He would have claimed in hind-sight that the market action proves that the ESA 2008 was the wrong thing to do and he could have been the "right man with the right decisions" on the economy.
2. He could have claimed that he does not go with Bush-43 and the Democratic Congress and he was right.
He did neither and is now not just the underdog, he is the whipped dog that will be sent home. Sorry, Senator, you violated your long-standing maverick status. Should have stayed true to your principles.
Bye bye, now.
PS: Sarah P: you will do more good in Alaska.
Had McCain opposed the ESA 2008 and the market tanked as it has, he could have claimed that he warned the Bush 43 and Congress against this action and BHO would have looked like an economic neophyte. This would put McCain up over 10pts in the polls as he would have been the guy right on the economy which is the most important issue for Nov. 4th.
So how does BHO get a pass since he voted for the same bill as McCain?
Simple, BHO is a Democrat and they are party that is better supported by the media and they want the White House, not already in it. Thus, they will get the pass and be elected, and poor McCain will have to look back on his campaign as being totally unhinged by 1 decision.
The insiders are saying that Gov. Palin warned McCain about supporting the ESA 2008. She told him that he should publicly oppose the ESA 2008 for 2 reasons:
1. He would have claimed in hind-sight that the market action proves that the ESA 2008 was the wrong thing to do and he could have been the "right man with the right decisions" on the economy.
2. He could have claimed that he does not go with Bush-43 and the Democratic Congress and he was right.
He did neither and is now not just the underdog, he is the whipped dog that will be sent home. Sorry, Senator, you violated your long-standing maverick status. Should have stayed true to your principles.
Bye bye, now.
PS: Sarah P: you will do more good in Alaska.
Called it right on the nose!
So what I said in "End of day action on the market" before the 15:00 EDT (posted at 14:50 see the Blogger time stamp) did exactly what I proposed.
1. We found support and came back to test the 890 (893.75) right before the end of day, and then it settled down for a close of the SP 500 of 868 and a 312 point loss on the DOW.
2. We didn't BD completely since we didn't get back to the 837 LOY (low of the year), we will probably test it on Monday especially if we get some very bad geopolitical news over the weekend.
3. Today closed the book on McCain's campaign run and it is almost a guarantee that BHO and a SMDC will be elected on Nov. 4th, 2008. McCain blew it with his support of the ESA 2008.
If you would have read the blog today, and you were a trader in the ES, you could packed a ton of profit today.
Take care, folks. I will post more later about poor Senator McCain/Gov. Palin. They will be packed off to their respective corners without media fanfare in just over a week.
1. We found support and came back to test the 890 (893.75) right before the end of day, and then it settled down for a close of the SP 500 of 868 and a 312 point loss on the DOW.
2. We didn't BD completely since we didn't get back to the 837 LOY (low of the year), we will probably test it on Monday especially if we get some very bad geopolitical news over the weekend.
3. Today closed the book on McCain's campaign run and it is almost a guarantee that BHO and a SMDC will be elected on Nov. 4th, 2008. McCain blew it with his support of the ESA 2008.
If you would have read the blog today, and you were a trader in the ES, you could packed a ton of profit today.
Take care, folks. I will post more later about poor Senator McCain/Gov. Palin. They will be packed off to their respective corners without media fanfare in just over a week.
End of day action on the market
Well, we got down to 840.25 just 3.25pts off the 837 level I stated we would get to in the post "Likely market action today." I trust you traders out there were listening because if you went LONG there you got quite a nice little pop.
The market found support at that level and bounced all the way back to around 888 on the SP 500 index. So what does this mean, well, the real test is coming around 1500 when the traders decide how they want to spend the weekend: long and worrying about an ASIAN response to the meltdown, or flat which means they have to sell out of all their positions before the end of day (EOD).
If we don't get a big sell-off into the close, we may even get a PTS (profit taking session) which today would be to the upside to test the 890 level before the close at 16:15 EDT.
Watch the markets beginning at 15:00 (that's 3:00 PM for civilians, and big hand is on the 12, and the little hand is on the 3 for public school attendees). If they start to sell-off the panic will spread fast and we could end up around 8000 or lower on the DOW and take out the 837 level on the SP 500.
More after the dust settles.
The market found support at that level and bounced all the way back to around 888 on the SP 500 index. So what does this mean, well, the real test is coming around 1500 when the traders decide how they want to spend the weekend: long and worrying about an ASIAN response to the meltdown, or flat which means they have to sell out of all their positions before the end of day (EOD).
If we don't get a big sell-off into the close, we may even get a PTS (profit taking session) which today would be to the upside to test the 890 level before the close at 16:15 EDT.
Watch the markets beginning at 15:00 (that's 3:00 PM for civilians, and big hand is on the 12, and the little hand is on the 3 for public school attendees). If they start to sell-off the panic will spread fast and we could end up around 8000 or lower on the DOW and take out the 837 level on the SP 500.
More after the dust settles.
Likely market action today, October 24, 2008
Here is the likely scenario of what will happen after 09:30 on the NY Stock Exchange and in Chicago at the Globex exchange (where the SP 500 ES mini contract futures are electronically traded):
The ES futures already have a backlog of short positions of over 10,700 contracts that represent about a $500 Million (that's half a billion USD) in short selling pressure that has to be resolved when the markets attempt to reopen. Let me tell what is probably going to happen at 0930:
1. The markets will attempt to open, but there will not be any buyers at the current levels due to the backlog of sell positions, so how do buyers buy? They lower their bidding prices to very low levels to where they think they can find support and make money. Right now that's somewhere near the LOY [837] on the SP 500 futures.
2. If they can't find enough buyers to handle all the sell offers, the price keeps falling (free-fall as we say in the futures markets) until the next circuit breaker comes into play around, well here is a description of what is happening right now:
DJIA futures are down 550 points, S&P Futures are halted at -60 points at 855.20, and NASDAQ at -85 points at 1168.50. These levels can extend to -10% after the open before circuit breakers come back into play. The way this works is that the futures can reopen if the bids magically come back and the markets would rise, but otherwise futures are halted until the stock market open. after -10% is reached in futures there is a 2 minute halt, then the limit is extended to allow for -20% with a halt for 2 minutes, and then the limit is extended to 30% down. (Courtesy of 24/7 Wall Street website)
3. The complete lack of buyers to move the markets back up due to the meltdown in the Asian and European markets overnight, the US markets are going to follow suit. No one wants to commit capital when it might disappear in a few minutes. Remember the Arabs that bought into the financial institutions of the US way back in Feb/Mar of this year? Well, they need better financial advisors since they have all seen their positions cut by as much as 2/3's!! See having money doesn't make you smart. Warren Buffets recent acquisitions and all those that got in with him are now totally in the red and heading down.
4. If the market's find support near their Lows of the Year (837 on the SP 500), then it will bounce and head back up for a sideways move until the 15:00 (3:00 pm hours). Be back then.
As we use to say in the Navy: "Stand by for heavy rolls..."
The ES futures already have a backlog of short positions of over 10,700 contracts that represent about a $500 Million (that's half a billion USD) in short selling pressure that has to be resolved when the markets attempt to reopen. Let me tell what is probably going to happen at 0930:
1. The markets will attempt to open, but there will not be any buyers at the current levels due to the backlog of sell positions, so how do buyers buy? They lower their bidding prices to very low levels to where they think they can find support and make money. Right now that's somewhere near the LOY [837] on the SP 500 futures.
2. If they can't find enough buyers to handle all the sell offers, the price keeps falling (free-fall as we say in the futures markets) until the next circuit breaker comes into play around, well here is a description of what is happening right now:
DJIA futures are down 550 points, S&P Futures are halted at -60 points at 855.20, and NASDAQ at -85 points at 1168.50. These levels can extend to -10% after the open before circuit breakers come back into play. The way this works is that the futures can reopen if the bids magically come back and the markets would rise, but otherwise futures are halted until the stock market open. after -10% is reached in futures there is a 2 minute halt, then the limit is extended to allow for -20% with a halt for 2 minutes, and then the limit is extended to 30% down. (Courtesy of 24/7 Wall Street website)
3. The complete lack of buyers to move the markets back up due to the meltdown in the Asian and European markets overnight, the US markets are going to follow suit. No one wants to commit capital when it might disappear in a few minutes. Remember the Arabs that bought into the financial institutions of the US way back in Feb/Mar of this year? Well, they need better financial advisors since they have all seen their positions cut by as much as 2/3's!! See having money doesn't make you smart. Warren Buffets recent acquisitions and all those that got in with him are now totally in the red and heading down.
4. If the market's find support near their Lows of the Year (837 on the SP 500), then it will bounce and head back up for a sideways move until the 15:00 (3:00 pm hours). Be back then.
As we use to say in the Navy: "Stand by for heavy rolls..."
Black Fridiay 2008 - I told you it was coming!
I don't mean to be a "i told you so...", but I told you so!
I told back on Oct. 4th and 5th (see Like Japan, Here we go and Beginning of the Crash of 2008) that the markets were going implode due to all the government intervention. Now with this situation of the US markets now in LOCKDOWN, the stage is step for the first 1000pt drop in the DOW!
It's too late, folks, if you haven't moved your monies out of stocks they are going to get hammered today and again on Monday. The stock market and futures markets are already in LOCKDOWN and all that does is cause selling pressure to build up behind it. They are stupid actions because they cause the panic they are trying to prevent. Yes, you are right, its a LOUC of the government intervention.
When the markets reopen at 09:30, expect them to go limit down to the next circuit break with the DOW down over 1000pts which at that time the market halts again, panic spreads and then another wave of selling hits the markets while the bureaucrats try and figure out what to do.
Remember, I told you that McCain ended his run for the Presidency when he voted for this ESA 2008. If he would have been the maverick like he has always said he was, he could have been ridding high on his way to the White House!
WOW! Today is going to be fun. Stand by for blow by blow.
Long live BHO and the SMDC. This guarantees his election and the resulting Depression of 2008 due to his parties heavy handed regulation and controls that they will install.
I told back on Oct. 4th and 5th (see Like Japan, Here we go and Beginning of the Crash of 2008) that the markets were going implode due to all the government intervention. Now with this situation of the US markets now in LOCKDOWN, the stage is step for the first 1000pt drop in the DOW!
It's too late, folks, if you haven't moved your monies out of stocks they are going to get hammered today and again on Monday. The stock market and futures markets are already in LOCKDOWN and all that does is cause selling pressure to build up behind it. They are stupid actions because they cause the panic they are trying to prevent. Yes, you are right, its a LOUC of the government intervention.
When the markets reopen at 09:30, expect them to go limit down to the next circuit break with the DOW down over 1000pts which at that time the market halts again, panic spreads and then another wave of selling hits the markets while the bureaucrats try and figure out what to do.
Remember, I told you that McCain ended his run for the Presidency when he voted for this ESA 2008. If he would have been the maverick like he has always said he was, he could have been ridding high on his way to the White House!
WOW! Today is going to be fun. Stand by for blow by blow.
Long live BHO and the SMDC. This guarantees his election and the resulting Depression of 2008 due to his parties heavy handed regulation and controls that they will install.
Thursday, October 23, 2008
BHO still doesn't understand economics
I just heard BHO talk about "growing the economy from the bottom up." WOW! What school of economics did this guy fail out of?
You can't grow an economy from the bottom up for one simple reason:
THERE IS NO CAPITAL AT THE BOTTOM!!!!!!
In a capitalistic world, the private sector provides the capital from which the economic engine is fueled. In a socialistic world, where the USSA is heading, the capital is controlled by the government and then doled out to those the government thinks are most deserving, but they are usually always wrong.
The proof: show me a socialistic government that is a powerhouse?
I knew you were going to say China. China is not socialistic, it is communistic and that's completely different. Socialism has the smile of capitalism, but the fist of central planning. Communism has both the face and fist of central control.
So, when BHO and his SMDC come into power in January 2009, expect to see the economy go from one that is trying to recover to one that is knocked out flat by the government intervention and control that the new administration will put in place.
This will cause the economy to tailspin, but this is good for them since they will be able install more and more government control to try and deal with the problems they are causing. It's like:
CAUSE THE PROBLEM, then TAKE CONTROL to SOLVE the PROBLEM.
Not bad work if you can get it, eh?
You can't grow an economy from the bottom up for one simple reason:
THERE IS NO CAPITAL AT THE BOTTOM!!!!!!
In a capitalistic world, the private sector provides the capital from which the economic engine is fueled. In a socialistic world, where the USSA is heading, the capital is controlled by the government and then doled out to those the government thinks are most deserving, but they are usually always wrong.
The proof: show me a socialistic government that is a powerhouse?
I knew you were going to say China. China is not socialistic, it is communistic and that's completely different. Socialism has the smile of capitalism, but the fist of central planning. Communism has both the face and fist of central control.
So, when BHO and his SMDC come into power in January 2009, expect to see the economy go from one that is trying to recover to one that is knocked out flat by the government intervention and control that the new administration will put in place.
This will cause the economy to tailspin, but this is good for them since they will be able install more and more government control to try and deal with the problems they are causing. It's like:
CAUSE THE PROBLEM, then TAKE CONTROL to SOLVE the PROBLEM.
Not bad work if you can get it, eh?
Acronyms used on the Blog
I have been asked to provide a list of the acronyms that use on this blog. So here they are so you can print them out and have them handy:
DYH: do your homework
USD: United States dollars
COI: conflict of interest
LOUC: law of unintended consequences
CRA: Community Reinvestment Act 1977 (the Peanut Farmer President's hand in the Crisis of 2008)
FOMC: Federal Open Market Committee (arm of the Federal Reserve System that sets STIR)
STIR: short term interest rates (Fed funds and Discount rate)
VIX: Volatility Index (otherwise knows as the fear index based on put option premiums)
PB: pull back (market term for a downturn)
FDR: Franklin D. Roosevelt
BHO: Barack Hussein Obama, soon to be the 44st POTUS
POTUS: President of the United States
SCOTUS: Supreme Court of the United States
SP: Sarah Palin
SMDC: super-majority Democratic Congress
ESA 2008: Economic Stabilization Act of 2008 (formerly the EERA 2008)
USSA: the United Socialist States of America (future country that elected BHO as President in 2008)
GSE: government sponsored entities
CDO: collateralized debt obligations
MBS: mortgage backed securities
SIV: structured investment vehicles
CDS: credit default swaps
FASB: Financial Accounting Standards Board
SEC: Securities & Exchange Commission
GOP: formerly the Republican Party (died Oct. 3, 2008, but is still the walking dead)
DCB: dead cat bounce (a rally off a big PB usually means bottom feeders at work)
I will add more, but that should do it for now.
DYH: do your homework
USD: United States dollars
COI: conflict of interest
LOUC: law of unintended consequences
CRA: Community Reinvestment Act 1977 (the Peanut Farmer President's hand in the Crisis of 2008)
FOMC: Federal Open Market Committee (arm of the Federal Reserve System that sets STIR)
STIR: short term interest rates (Fed funds and Discount rate)
VIX: Volatility Index (otherwise knows as the fear index based on put option premiums)
PB: pull back (market term for a downturn)
FDR: Franklin D. Roosevelt
BHO: Barack Hussein Obama, soon to be the 44st POTUS
POTUS: President of the United States
SCOTUS: Supreme Court of the United States
SP: Sarah Palin
SMDC: super-majority Democratic Congress
ESA 2008: Economic Stabilization Act of 2008 (formerly the EERA 2008)
USSA: the United Socialist States of America (future country that elected BHO as President in 2008)
GSE: government sponsored entities
CDO: collateralized debt obligations
MBS: mortgage backed securities
SIV: structured investment vehicles
CDS: credit default swaps
FASB: Financial Accounting Standards Board
SEC: Securities & Exchange Commission
GOP: formerly the Republican Party (died Oct. 3, 2008, but is still the walking dead)
DCB: dead cat bounce (a rally off a big PB usually means bottom feeders at work)
I will add more, but that should do it for now.
Nothing going on except more media liberal bias
There is really nothing going on in the political scene except the continued media drubbing of Sarah Palin because she is a conservative. I know have a name for this: SP is being-Bork'd. If you don't remember Robert Bork then DYH (do your homework).
SP is being man-handled by the media and I just wish for once that a Republican/Conservative would just step up and feed it back to them and not just take it on the chin. I thought that SP would do it since she didn't have much to lose; however, I guess the meek and mild handlers of the once-fierce and emotional JMcCain have toned her down to their historical loss and humiliation.
SP could have been this ticket's lioness and gone out and nailed the BHO crowd, but no, McCain is trying to be too nice of a guy and that is why he will loose this election. If he isn't ready to do the hard stuff then he should go back to being just a Senator and SP will go back to being the most popular governor in America. It will be Arizona's and Alaska's gain.
Finally only about 12 days to the socialization of America when the BHO/SMDC take over and turn the USA into the USSA. History will not record it since they will rewrite history just as Stalin did when he came to power. Revisionist history is already being taught in the school in IL about BHO's past and accomplishments, but that is one of the "spoils that go to the victor."
Long live BHO and his SMDC.
The Republican Party the GOP is dead and should be shown a nice funeral while its replacement is being considered; however, I don't think it will happen soon. The dying tend to hang on especially in politics.
SP is being man-handled by the media and I just wish for once that a Republican/Conservative would just step up and feed it back to them and not just take it on the chin. I thought that SP would do it since she didn't have much to lose; however, I guess the meek and mild handlers of the once-fierce and emotional JMcCain have toned her down to their historical loss and humiliation.
SP could have been this ticket's lioness and gone out and nailed the BHO crowd, but no, McCain is trying to be too nice of a guy and that is why he will loose this election. If he isn't ready to do the hard stuff then he should go back to being just a Senator and SP will go back to being the most popular governor in America. It will be Arizona's and Alaska's gain.
Finally only about 12 days to the socialization of America when the BHO/SMDC take over and turn the USA into the USSA. History will not record it since they will rewrite history just as Stalin did when he came to power. Revisionist history is already being taught in the school in IL about BHO's past and accomplishments, but that is one of the "spoils that go to the victor."
Long live BHO and his SMDC.
The Republican Party the GOP is dead and should be shown a nice funeral while its replacement is being considered; however, I don't think it will happen soon. The dying tend to hang on especially in politics.
Wednesday, October 22, 2008
How to handle my investments now
Many of you are asking:
So what should a small investor do while all this is playing out?
1. If you have a 401K at work continue to contribute, but ensure that your contributions are going into a solid money market (now that they are FDIC insured) for now.
2. Watch the price of oil as it is now a proxy for the stock market. Under $90 a barrel, oil will track well with the stock market, over $100 a barrel oil will begin to run counter to the stock market as it begins to have a negative impact on the market.
3. As the market slowly begins to deteriorate after the election, you can begin a small reallocation of your monies to buy as the market goes down. Yes, that's right, buy as the market goes down since your equal amount of money (see dollar cost averaging) will buy more stock as the price goes down. This way you don't have to try and time the market and try to pick the bottom.
4. Look into several ETF (exchange traded funds) for such things as the QQQQ (the NASDAQ), the SPY (for the SP 500), and the DIA (for the DOW). These ETFs are ways of playing the entire market without having to pay for mutual fund expenses or "under performing" mutual fund management. It spreads your risk across the entire market without having to time or sector time.
5. Don't panic, yet. Until the full implementation of the socialist agenda (over the next 8 years), you should be able to grow your nest egg unless BHO and his Pelosi/Reid/Frank crew in Congress change the rules too much.
So what should a small investor do while all this is playing out?
1. If you have a 401K at work continue to contribute, but ensure that your contributions are going into a solid money market (now that they are FDIC insured) for now.
2. Watch the price of oil as it is now a proxy for the stock market. Under $90 a barrel, oil will track well with the stock market, over $100 a barrel oil will begin to run counter to the stock market as it begins to have a negative impact on the market.
3. As the market slowly begins to deteriorate after the election, you can begin a small reallocation of your monies to buy as the market goes down. Yes, that's right, buy as the market goes down since your equal amount of money (see dollar cost averaging) will buy more stock as the price goes down. This way you don't have to try and time the market and try to pick the bottom.
4. Look into several ETF (exchange traded funds) for such things as the QQQQ (the NASDAQ), the SPY (for the SP 500), and the DIA (for the DOW). These ETFs are ways of playing the entire market without having to pay for mutual fund expenses or "under performing" mutual fund management. It spreads your risk across the entire market without having to time or sector time.
5. Don't panic, yet. Until the full implementation of the socialist agenda (over the next 8 years), you should be able to grow your nest egg unless BHO and his Pelosi/Reid/Frank crew in Congress change the rules too much.
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