21
01/10
Official 1/21/10 Obamarket BANANA DEFCON 2 Market Warning: Today Mattered
by John Galt
January 21, 2010
Based on purely empirical evidence, today sucked to be a dancing banana on Wall Street.
Of course, I could have added a comment or two after Jim Cramer’s bold prediction that the Dow would rally huge on Wednesday after a victory in the Tuesday 1/19 special election in Massachusetts.
How’d that work out with a -122 and -213 “rally” there Jimbo?
Of course the liberal loon with the plastic bull who praised massive government intervention in 2008 and 2009 and was called out for his hypocrisy by, oops, CNBC’s own Rick Santelli back during the Bear/Merrill/etc…., days is now guess what? No, not blaming Bush, that’s Obama’s gig. He’s ripping the Messiah and he had best be careful because they have not approved the sale of his network to Comcast yet and thus he is still subject to the whims and whipping posts installed in the General Electric studios for those who dare to question their God (and the people at the Fed who hold all the notes on Bubblevison’s loans).
PART I. IF YOU LOVE OBAMA, YOU DON’T FILE FOR UNEMPLOYMENT INSURANCE
Do what? That’s right. This is addressed to all of you ignorant Marxist steaming piles who think that my hard work is your ticket to paradise and that you are “entitled” to unemployment insurance on a regular basis because YOUR Messiah said so. You see, you Democrap slugs, you keep filing for unemployment insurance and it’s making your boy look bad. Need proof? Well, here ya go:
Now that comment above is not addressed to you “Seasonally Adjusted” unemployed workers. Hell, you can’t help it if you became unemployed in the “wrong” season according to the bureaucraps at the BLS. But those of you who hate your President and keep filing for money to keep paying for that house you can not afford that you could never afford because you got a loan from the same government that could not afford to insure that you got that home should not file for unemployment because you’re making Obamaramaville look bad. Shame on you.
In a more serious discussion of those numbers, you can see what I’ve highlighted, what I’ve pointed out and why I don’t give a crap about the excuses of an “administrative dispute” (The BLS words, not mine) about the numbers filed by the states. You see the raw numbers are just that. They are filings per state, per week and not something that the Tinkerbells (those who tinker with statistics to make politicians look good) can’t fudge those numbers no matter how hard they try. The lies being told about this recovery will continue and the dirtbags in charge will continue to invite derision by small businessmen who know the reality. Trust me. I speak to them daily, albeit in a state which is akin to interviewing Hiroshima survivors about how good their sunglasses worked when the flash happened.
How bad has it been since the crisis began in February 2007?
Yup, still following “seasonal” patterns using the actual numbers reported and worse, still way above the 400,000; 500,000; and 600,000 levels. Why is this significant? The layoff and Birth/Death model lies. They are not openly being called into question and when the “seasonal” Birth/Death numbers appear in February we will once again validate the political nature of the fictitious bovine scatology being thrust into American’s faces on a daily basis. These political types know no shame, care not about the truth and had great teachers in Teddy Roosevelt, Woodrow Wilson, Mussolini, Hitler, Stalin and FDR.
Thus small business WILL NOT BE HIRING as long as confidence and trust in the government plus the lack of a sufficient credit line remains at post 1932 lows. Why?
II. SMALL BUSINESS TELLS THE WORLD: DEFCON 2 AND THE TRUTH, WE’RE DYING AND YOU WILL TOO
Within the pages at www.businessinsider.com they posted a fantastic series of charts titled 13 Must-See Charts That Explain Why Americans Have No Jobs and boys and girls, I’m going to post 5 of them without my editing or bananas, despite their protests, to clue you in as to why the unemployment reality is so bad and why this “recovery” is the biggest lie since Clintoon said tried the “sex is is” discussion on behalf of blue dressed chunky interns.
CHART #1:
Uh, no credit, no expansion, no hiring, no pay raises, no reason to expand inventories, no risk taking, no advertising, etc……..
CHART #2:
I’m not a rocket scientist nor an “expert” economist like this guy:
Oh Steve, things like future capital expenditures by small business do not matter. It’s only what you think small business should be doing according to the Soviet models you studied and became an expert in, right?
CHART#3:
Uh, that is not an inspiring chart. The base level for this chart is “100″ from 1996 and as you can see, we are far below that level and rolling over. Would you:
a. Attempt to borrow money to expand?
b. Hire more employees?
c. Expand inventory levels?
d. All of the above
If you were a small business being force fed the bullcrap that the ‘recovery’ was in motion? I think not based on this chart.
CHART#4:
WHEW! For a minute there, uh, oh, wait a sec, never mind. Inventories are not being built up by HUGE acquisitions by the MSM and Bubblevisions and Bubbleradios. Week after week we heard how business was building up inventory for the huge expansion to come. This chart says otherwise. Oh, wait a sec; it does not reflect an accumulation of fertilizer obtained by GE/CNBC to advertise just how wonderful things are.
CHART#5:
Hmmmm. Maybe I am just a bananatard.
Nope, it’s not me. It’s the bananarallymonkeys voting on this administration. The theory of asset deflation and commodity inflation lives, even though I made that call in 2006 as a non-Austrian Keynesian mind numbed robot not realizing there is no such thing. Inflation and deflation are monetary events, not price events as they are consequences of insane policies initiated by our central banks. Based on the chart above, the reflation efforts sucked and if Ben and the boys do not initiate the Swedish model within 90 days, the risk of a deflationary collapse inside the United States is better than 75% in my opinion.
Thus you see in a short, brief pictorial why I’m still the bear in the woods, sleeping, taking bear poops and ready to eat some STEAK as the bulls are losing their freaking minds as this glass shelf rally is about to be shattered after an almost 3% plus decline in just two days. It could be a short term correction but……
Let me explain this chart from my non-CNBC guest appearance perspective.
1. We’ve violated the 50 DMA. So what.
2. The volume yesterday was too low to be meaningful.
3. The volume today was something that mattered. The last time we saw volume this high was during a year end options expiration event. It matters. 2% with volume is not a good sign.
4. The S&P 500 is no better.
5. If we se one chart and one chart only continue to break down, this decade’s GM, then all hell could break loose:
The volume is OFF THE CHART.
The negative move is OFF THE CHART.
This is the one stock you need to watch tomorrow. It it craps out below 157, then the market will break some 1000 points in very short order over trading sessions during the next 30-60 days.
Today mattered. You can ignore it. You can act like things like housing starts, unemployment, reality, etc. do not matter.
They do.
And it will impact this nation to the desire of the Socialist elements far beyond today’s mini-press conference and announcement.
The Revenge of the Obamaempire has begun, and darkness is about to descend upon the Republic. Watch 1100 on the S&P and 10,125ish on the DOW. Did I mention the 1-3-6 rule?
You may want to check that out. If I can get in touch with Beck again, I’ll remind him of the consequences we are seeing from the flight to safety by overseas and domestic capital…..
BOHICA
