We guess when a lot of things are going wrong, a President must hang their hat on something good. Surprisingly, President Obama chose the economy in the past week. Really? Didn’t we just have a -2.9% GDP quarter/ But of course, that was only weather. To be fair, the economy is better. The economy is improving. Finally, there may be some traction. But let’s get some facts to the forefront here…just the facts. Since the President became President, he has overseen:
$7 TRILLION IN ADDED DEBT. This is far and away a record for that amount of time. Of course, this coming after promising to cut the debt in half. This comes after the 2nd worst President with our tax dollars, George W. Bush.
A CRASH IN THE EMPLOYMENT PARTICIPATION RATE. Add half of this fake list back in and you get an unemployment rate around 9%. We are still waiting for this list from the Labor Department.
MASSIVE YEARLY DEFICITS. After single-handedly raising the yearly deficit to over $1 trillion, the President is patting himself on the back that it is down to $600 billion.
A HUGE INCREASE IN FOOD STAMPS AND OTHER WELFARE-type payments. In fact, the government lowered the restrictions and actually advertises for people to get on welfare.
A MANIACAL FEDERAL RESERVE that not only keeps rates down at 0% but also printed trillions to fund the deficits at lower rates.
FEDERAL SPENDING that doubles the last year of Clinton’s presidency. If you want only one stat on why this economy cannot reach its full potential, it is that the government now spends between $3-4 trillion each year…which comes out of the real economy.
Higher taxes…massive regulations…giveaways to buddies(green energy)…takeaways from enemies(coal companies). Have you seen the stock charts of the coal companies?
We can go on and on…one can talk GDP all they want…a good quarter, a bad quarter. The bottom line is that longer term, this country is being saddled with debt that will be very hard to come back from. We pray that the markets don’t wake up one day and shoot the middle finger at all this debt and deficits as well as anti-business policies.
Today, we start the show with something that will not be reported by the paws in the air, tongues wagging, lying on their back, lap-dog media. You will not hear any of this, what is about to be said. Why? Because it affects their guy, the journalistic community that is supposed to be the last line of defense on power will say nothing about it. And, by the way this is not outside the box. This is not an outside the box segment. This is all about you and your buckos and all points in between, and that is since Barack Obama, President Barack Obama became president, he has overseen seven trillion dollars in new debt. For a man, and I quote, stated, “I will cut the deficit in half.” He lied! Seven trillion dollars on top on what they have been spending, is a sin. It is crime, it is basically (I have to be careful here, I held back) It is wee-weeing on you, the tax payer and nobody does anything about it. There is nobody having a million man march on the mall on Washington D.C. Nobody is even talking about it. Seven trillion dollars in money they did not take in, spent by your president of the United States. Wait, wait Gary hold hold hold. I thought that is the House that sets all the spending. Nooo, it is supposed to be, but it doesn’t happen that way. Barrack Obama now, takes over as the worst president in history from George W. Bush. Officially takes over. The worst president in history. Didn’t we have worse than these guys? Nooo!
Let me explain something to each and every one of you. The presidency is a business, it’s a business. You don’t think they treat it as a business? Look at how much money they fund raise. Look at how much time they spend. Look at how much tax payer dollars they spend fund raising. It’s all a business and you see that seven trillion spent. You really think it’s spent helping this country out? You really think that that is what it has been spent on? What are you kidding? It’s to solidify power and it’s their base and their needs and their wants. Geroge Bush spent a trillion bucks on Iraq and completely mismanaged it. And we got nothing for it. Gone! A trillion. George Bush was five trillion dollars in eight years of debt. Barrack Obama is seven trillion in six years. Winner! We couldn’t have a worse quinella than these two presidents handling our treasure. And nobody says anything.
Now conservative columnists will say something. Fox news will report it. You think CNN is going to report it? You think ABC, NBC, CBS and BONBC, yes they are changing MSNBC to BONBC (Barack Obama NBC). Seven trillion in debt. $61,000 per household. We are now at 17.7 trillion. Throughout history, before George Bush the second, there was a total of five trillion in debt. Between these two dufuses, 12 trillion. And we let them. We’ve let them and you know how they get away with it? Because them and their minions, when anyone says anything about it, and the out of control criminal asinine, asaten, aseleven, government spending, whenever anybody says anything, you’re a racist, you’re an extremist, you hate the poor, you love the rich, you hate the children you hate the elderly, you’re a scum. That’s what they do to you. And what do you think this money is for? Solidifying their power. Barack Obama they’re advertising for food stamps. Come on! Come one come all. They lowered the restrictions on it so its much easier to get it. Come on come all, but just vote for me please. You got a green energy business, you’re a democrat, here ya go! There are some bucks for ya. There is now 80 welfare programs doling out over a trillion bucks a year, a trillion a year in welfare programs. Bill Clinton’s last budget, the whole budget was 1.8. You think these guys don’t know what they are doing? 17.7 trillion, seven trillion brought on by Barrack Obama the guy who had the chance to do the right thing, said he would do the right thing and lied out his rear end to each and every one of us. Lied!
Within days of becoming President, boom an extra 860 billion in stimulus spending giveaways to all of his buddies. Giveaways! Remember he said, we got to do this for the infrastructure. You think a dime was spent on a road? Not a freaking dime! Eh, maybe a couple of dimes. You get my point, right? But nobody does anything about it. Not a thing, not a one. You keep voting in the same people that are voting for this spending. You keep voting in the same people that are voting for massive regulations, massive taxes. You got this other yutz today, Rosa Delauro from Connecticut now just wants to put a law in to tax you for a spoonful of sugar. This is what these people have been voted in for? And we keep voting them in. Yay! Anyway I wanted to start the day by ruining your day by letting you know they are destroying your country. The next six years of tax-payer dollars have already been spent. This is not the way it was supposed to be. There is supposed to be checks and balances on both sides of so this wouldn’t happen but they are such in bed together there is not Republican and Democratic Party. There is one big gigantic spending party. And, they are spending your money and you are doing nothing about it. Yay! Yay!
We think we said it all last time here as the markets fell under some serious distribution this past week. Shorter term, anything is possible. The short term is the trees. Maybe we get a bounce here as the market felt a little sold out on Friday. We also saw a spike in put buying which often turns the tide near term. That said, there has been some technical damage done. A quick glance at the chart we posted shows a crash in the amount of names trading above the 50 day moving average. That in itself is not a death knell for the market but it doesn’t help.
A few other things we are watching:
The GERMAN DAX. It has been leading up and down for a while…and finished below the 200 day moving average this past week.
The REGIONAL BANKS. They actually look headed into a bear market in here. This is important to watch as financials matter. It is also less than thrilling seeing names like JPM,C and BAC rolling over here.
The OILS. They have been leading and now many have cracked.
The continued underperformance by the SMALL CAPS as the RUSSELL and SMALL CAP 600 trade below the 200 day average while the NDX and NASDAQ are still above the 50 day.
We’ll know a lot more by how and if the market bounces in here. Otherwise, it remains a time to go slow.