06/01/2012: GARY ON NATIONALLY SYNDICATED INVESTORS EDGE RADIO BROADCAST

[email_link]

https://archives.warpradio.com/btr/InvestorsEdge/060118.mp3

JUST LETTING YOU KNOW

Here’s what I was hearing today ladies and gentlemen:

You know what we need?

We need the people that can afford it to pay more of their fair share.

We need to step up government spending.

We need an infrastructure spending.

I heard the President today blame everybody but himself and his policies. He said people need to step up and pay their fair share. And we need more government programs. That’s the ticket. That’s the answer.

More deficits.

More government control.

More government answers.

Every answer is what more government will do for you.

More government spending.

And higher taxes.

More green energy. I heard that out of the president today. We need more green energy.

FORGET THE TENS OF BILLIONS OF DOLLARS THAT ARE GONE TO COMPANIES THAT WERE HIS BUDDIES, BUNGLERS AND HIS FRIENDS – THEY’RE ALL BANKRUPT!

George Bush. It was a just a trillion that went to Iraq. We’re now out of Iraq. Have you been reading the about the bombings that are happening daily in Iraq? I have. Doesn’t anybody think there’s a chance that somebody worse than Sadam Hussain could take it over?

Who are these people? I’ll tell you they are. They’re running us into the ground. They are so lucky they have us…

…and our hard work

…and our risk taking

…and our ingenuity.

Because I’ve got news for you. THEY SUCK!

So we’re at this point where I’ve told you for years that nothing’s bad until the market says so. Well the market’s speaking up. And yes, part of it is Europe. But I’ve been telling to not ignore what’s going on here.

Now you would think…didn’t we still gain jobs? Unemployment has improved somewhat, though it was up a little bit here.

Why did the market get killed today?

Well it’s simple. The market came to the realization over the past few weeks and months that nothing’s going to change. These people that are running the show are insane. They are economic socialist dictatorships. Spending money that they don’t have. Infinitum.

The next six years of our tax payer dollars have already been spent.

They should be in jail for this.

Who are these people in government?

George Bush. What did he do in business? Oh, he was given a piece of the Texas Rangers to own. He oversaw a defunct oil company.

Barack Obama. What has he done in the business world? NOTHING!

Yet, there are our two most recent presidents.

And this one building up $6 trillion in debt over three years. He beat George Bush. George Bush didn’t even do that in eight years.

And now you see some outcomes. I’ve been telling you for 3 1/2 years on my radio show. There is no way we’re going to see the economy find its potential. It’s impossible for an economy to find its potential when you have the government spending a $1.5 trillion inefficiently every year, adding to debt that everybody knows has to be paid back.

There’s no way the economy can reach its potential if on a daily basis you are blasting every business out there. In the past 3 1/2 years they have gone after Walmart, oil companies, medical companies, doctors, lawyers, insurance companies, banks, brokerages, coal companies….shall I continue?

I can go on and on.

The Market

We walked into a big gap down into the market today. The market was gapping down even before the employment numbers came out. And then kinda sorta – all heck broke loose.

The only port in the storm was that everything that was sold today was put into gold and gold stocks. Not as an inflation play, but as a “just put me somewhere play.”

And, of course, they went into treasuries. Wait till you hear the yields on the 10- and 30-year…holy smokes.

Leave no doubt, this bearish phase is gaining teeth. As I have told you for the past few months, as it was topping out and more and more areas were getting into trouble, we have no idea how bad it gets or how far it goes. We just know that we are in a corrective phase of unknown price and time.

The support levels that I have told you about over the past few days, were taken out today and somewhat on the easy side.

More technical damage was done in the market today.

And I hope you have been listening to my radio show. This did not start today. This started in Mid-March, when first I told you about the Advance/Decline, new highs dissipating and then it was the financials. And then the Semiconductors. And this, that and the other thing.

And where it stops, I don’t know. All I can tell you is, after the break today…expect some more downside.

The Fed meets June 19 and 20. We’ll see what they have to say. But I have news for you. I’m not sure they have any ammo. They certainly don’t have any one the economy. Part of the problem is that the Fed has sat around allowing all this deficit spending.

Government has the answer?

No. They have nothing. They failed in everything. Medicare, Medicaid, Social Security, it’s all bankrupt.

But there’s good news…

We will come out of this. And it will spawn new leaders and big movers. So do not every turn your head away, we’ll let this bearish phase go through. And we will find the characteristics of the turn when it occurs and we’ll talk about what’s leading at that point in time, when it occurs. NOT IF…but WHEN IT OCCURS.

LISTEN TO GARY LIVE ON WEEKDAYS 6-7 PM ON A STATION NEAR YOU AND AT GARYK.COM

6-7 pm EST

Best of Investor’s Edge
Saturdays 1-2 am EST

Gary Kaltbaum owns Kaltbaum Capital Management, LLC (“KCM”), an investment adviser registered with the U.S. Securities and Exchange Commission. The opinions expressed herein are those of Mr. Kaltbaum and may not reflect those of KCM. The information offered in this publication is general information that does not take into account the individual circumstances, financial situation or individual needs of an investor. The information herein has been obtained from sources believed to be reliable, but we cannot assure its accuracy or completeness. Neither the information nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Any reference to past performance is not to be implied or construed as a guarantee of future results.