16

11/09

The Obama Bowing Survey

18:47 by Administrator. Filed under: Whatever

by John Galt

November 16, 2009

OBAMABOWS_saudi

OBAMABOWS

IF Obama bowed to the Saudi King as the picture above indicates and they are rated #4 with the other Oil Exporters for purchasing our Treasuries…..

AND

IF Obama bowed to the Empeoror of Japan as the pictured above indicates and they are rated #2 for purchasing our Treasuries……

THEN WHAT

Did Obama do BEHIND CLOSED DOORS with the Chinese Premier last night since they are the NUMBER 1 buyer of Treasuries?

a. Hugabutt

b. Lewinsky

c. Sent Michelle in

d. Sang “The East is Red” wearing a sarong and high heels to entertain them.

e. All of the above

What a schmuck…..

15

11/09

A Big Thank You To Our Military

16:56 by Administrator. Filed under: Whatever

2009jgflaFTjefferson

Remember our friends, our neighbors, our Troops as Thanksgiving approaches. Do what you can to help a military family or add to a care package locally.

Thank you to all in uniform.

10

11/09

YOU Are a Lagging Indicator

22:31 by Administrator. Filed under: Whatever

by John Galt

November 10, 2009

According to the Mainstream Media and “Conventional” thinking, YOU might be a lagging indicator if……

You live in Cape Coral, FL and are not in some level of mortgage delinquency or foreclosure.

You are one of the 10.2% unemployed which is actually 17.5% when measured using table U-6 or even worse when using the measures of unemployment in the Jimmy Carter administration like Shadow Government Statistics does:

sgs-emp

You bought 1000 shares of Citigroup on November 10, 1999 at the closing price of $36.81 and still believe your broker when he or she tells you that the November 10, 2009 closing price of $4.18 is just a blip and you’ll recover all your losses.

Your credit card A.P.R. is still below 21.9%.

You wonder why your $3.75 11.5 oz. box of cereal costs 75 cents more than it did two years ago when it was 16 oz.

You object to  paying higher taxes while your neighbor who works on a General Motors assembly line gets four weeks of paid vacation in December plus medical benefits thanks to the taxpayer funded TARP bailout and illegal bankruptcy action.

You haven’t seen or own every Michael Moore movie ever made.

You actually watch network news.

You still eat meat after all of those damned commercials from Algore’s folks with that stupid Coca-Cola polar bear on an ice floe thanks yours and the cow’s contributions to global warming, er, climate change.

You are not on a payment installment plan with the IRS, state, and/or local government tax authorities.

You still actually pay for and read the local newspaper or New York Times.

You think going into debt for 4 years to buy a new car through cash for clunkers was a good idea to gain 10 mpg at a taxpayer cost of $24,000 per vehicle and spending $3 billion to generate $375 million in fuel expenditure savings.

You are one of the viewers causing CNBC’s Squawk Box ratings to fall behind Fox Business thanks to the antics of an ex-alcoholic alleged basketball racist.

You are one of the “uninformed unwashed masses” the elitists despise that caused Obama to have a net -10 with a 40% strong disapproval rating today.

You were one of those fools who bought that worthless relic gold on November 10, 1999 at $295.75 per ounce and held it today where it closed at $1101.50 per ounce.

You don’t have ten times the amount of debt to your income level.

You don’t use your debit card and happily pay the $1.25 fee to purchase a $5.95 Vende Coffee at your local Starbucks every morning.

You still think that in 2009 it is a Radical Muslim’s fault when a Radical Muslim commits a terrorist act.

You still make your mortgage and credit card payments on time.

You still think that Jesus Christ is the Messiah when everyone else knows he lives at 1600 Pennsylvania Avenue in Washington, D.C.

08

11/09

A Little Noticed Report: Monthly Wholesale Trade-Sales & Inventories

21:52 by Administrator. Filed under: Whatever

by John Galt

November 8, 2009

From TradingMarkets.com report on the markets and economy, Friday November 6, 2009:

Separately, the Commerce Department released its report on wholesale inventories in the month of September, showing that inventories fell by a little less than economists had been anticipating. The report also showed a continued increase in wholesale sales.

Let’s parse this news and add some graphs.

WHSLETRADESALES

Despite the seasonal bump, which is just wholesalers attempting to clear their inventories for Christmas, the levels we are at are still below the September 2007 levels, considered the last pre-recession Christmas retail season with any hint of normalcy. The lack of wholesale sales is further emphasized by the continuing decline in durable goods which are at abysmal levels, no matter how you cut it.

DURABLEvNONDURABLEsep09

The sesaonal uptick will soon end if the pattern of the past two years validates and by the end of this year, we should be below 2007 levels across the board.  Unless we see a dramatic turnaround in the next two months, the level of CRE failures due to a retail and manufacturing implosion will horrify more people than give them hope and change.

The decline in wholesale inventories, despite the positive spin, is not a positive as we are in the teeth of the Christmas season and the two year plus chart reflects that fact:

WHSLETRADEINVENTORIESGRAPH

The fact that the Bubblemedia spins this as a positive, reality is that retailers see no great visit from St. Nick and thus are terrified to get trapped like they did last year. The raw numbers tell the tale and until you see the wholesale inventories start to increase, small and large businesses are voting with their brains by indicating they do not trust the administration nor future actions of the banksters. There is no inventory build because no one can find cheap capital to start a new business, expand an existing one, or gamble that a large inventory order will be a profitable proposition for the future. That should give everyone a clue as to our future and I will follow up this series with another one on December 10th or 11th when the new data is released.

For those that care, by the way, one little important fact:

These are NON-SEASONALLY ADJUSTED numbers or the raw real deal. No fantasyland or politically influenced figures for the purposes of measuring where we really are at.

07

11/09

BLS Employment Report for October 2009: Suspending Belief and Reality Again

02:58 by Administrator. Filed under: Whatever

by John Galt

November 7, 2009

1. BLS  Table A-12 Section U-6 “The Real” Unemployment Number

This month the number deteriorated to a level of 17.5% which since the proverbial beginning of the crisis in roughly February 2007 indicates that we have seen an over eight standard deviation from the unemployment/underemployment levels at that time. That is unprecedented and has not been seen since the Great Depression if my calculations are correct.

A12U6OCT09

2. Birth Death Model Adjustments

Never discussed in polite circles nor the mainstream media, the computer continues to crank out numbers that requires any sane person to suspend belief and accept that the recovery is not a dwarf driving a Shriner’s car and sprinkling magic fairy dust to make the general population as stoned as an Occidental College freshman.

BDMODELADJUSTMENTSO09

The 86,000 jobs created would be amusing except for the fact that the claims are so outrageous as assuming 14,000 jobs created in the Financial Services arena and 5,000 in Construction.

3. Speaking of Birth/Death Construction jobs:

BDCONSTRUCTIONTRACKINGO09

Maybe they were all assigned to building a man-made lake to store all the bullcrap Washington D.C. is generating to prevent the fumes from creating a massive surge in Global Warming and temperature increases.

4. Birth/Death Comparison and the Headline Number Minus the Computer Fantasy

ACTUALVBDTOTALREVOCT09

So if you minus the Birth/Death fantasy we lost 276,000 jobs on the headline number.  Good luck to all of you employees who had jobs created for you by the BLS computers.

5. The Revisions Continue but Does the Differential Really Matter?

REVISIONDIFFERENTIALOCT09

No matter what one thinks of the quality of the BLS statistical models, you have to give them credit as a swing from revisions of -244,000 to positive 44,000 is impressive. If only we could balance our check books and file our taxes using their calculators…….

6. Maybe, just Maybe We can get a Job with the BLS

REVISIONSOCT2009

Because the key number to look at here is that the graph with revisions demonstrates that since December of 2007, we have not had any net job growth in this economy. It is not getting any better and in fact the reality is that the lack of credit access to small businesses will only amplify the problem and continue to aggravate an already tenuous employment situation into the next election.

Got Farmland?

Ya better or you may starve…..

06

11/09

FDIC Pre-Game Friday Preview 11.06.09

21:54 by Administrator. Filed under: Whatever

by John Galt

November 6, 2009

Greetings sports fans one and all! It’s time for the Sheila Bowl this week and flushing and swirling financial institutions getting ready to take the final plunge and the ignorant who kept deposits over $250,000 in the banks getting ready to take that death defying dive into the blue (hopefully not yellow) swirling water at the bottom of the bowl as they went above the FDIC deposit insurance guarantees….

Here’s your pregame show, starting with an update of the DIF funding since the failures of August 21st with the balance left from the DIF fund based on the data on June 30th:

TRACKING10_30

Ouch. Almost $8 billion in the hole so Sheila had best collect those fees from the banks before they fail and get that into the bank asap. Maybe, just maybe, should should quadruple the fees on banks without branches, you know, like Goldman Sachs ya know? Well, let’s tune in for tonight’s action because one thing about our neck of the woods in Florida:

She could shut half of them down and still have a boatload of insolvent institutions….

06

11/09

A Self-Inflicted Gunshot Wound

02:02 by Administrator. Filed under: Whatever

by John Galt

November 6, 2009

Malik….meaning “Master” or “King”‘

Nadal….rough translation to “Noble” from “Nadil”

Hasan….meaning “good” or “handsome”

Major Malik Nadal Hasan is a martyr.

A man and a name which will now live in infamy in the history of the United States, our beloved military and now a hero of the Islamofacist movement. While the American people will be spoon fed excuses about the mental condition of the killer, how this was not terrorism, and of course how the religion of peace had nothing to do with this, the reality that should slap anyone with two ounces of common sense should begin to understand that America has been at war for almost two decades now. Yet so few, except for the families of the dead, wounded  or those engaged in the battle, wish to acknowledge this fact.

America’s war was not one that we sought out for profit, for glory, or for spoils. The war was brought to our shores not because of geopolitical conflict, nor an enemy wishing to conquer our nation’s vast resources. This war was started, engaged in, and amplified on September 11, 2001 because we are the infidels, the evil children of Satan that prevent the world from falling under the veil of a religion based on a child molester’s drunken visions. Sadly, as long as our fellow citizens are pacified by ignorance or bribed with baubles, the citizenry will never understand the enemy that kills our friends, neighbors, and protectors, nor will they act to acknowledge that this war even exists.

We make excuses for our enemies and excuses for ourselves as they kill, without mercy, without apology and without regard. And this time, as it was in 2003, the new politically correct military suffers another self-inflicted wound. You see, the killing is not without a historical basis, nor is the idiocy of a politicized military new. It has happened before. Within our military. And with dire results.

On March 23, 2003 (ET) Sergeant Asan Akbar rolled two fragmentation grenades and two incendiary grenades into three tents where officers were sleeping at Camp Pennsylvania in Kuwait. Not long after this attack, Sadam’s Iraqi military launched a Scud missile at our troops in Kuwait which was destroyed by a Patriot missile.  As the bloodied troops stumbled out of their tents, Akbar opened fire with a M4 shooting two of the soldiers.  Captain Christopher Scot Seifert, age 27, died from his wounds and fifteen other soldiers were wounded also before he was subdued.

Quoting the article from the London Times on March 25, 2003:

As Akbar was being led away after the incident, fellow soldiers heard him shout: “You guys are coming into our countries and you’re going to rape our women and kill our children.”

Fast forward six years to tonight,  and numerous incidents around the world and inside the U.S., within the military and in civilian society. The United States military was the target of a planned attack by some Islamic illegal aliens who walked across the Mexican-American border and planned to evolve from their day jobs as pizza delivery men into terrorists to attack our soldiers at Fort Dix, NJ. More rings of suspected terrorists arrested from Colorado, New York, etc.

Yet our politically correct  Obama administration, just as Bush acted,  continue to assure the public that this is not a war with Islam but against the problem children of the “Religion of Peace” and the advocates of violence against all civilized society. Sadly, our political leadership and their cohorts within the mainstream media and educational elitists continue to deny the words of our enemies and dismiss their actions as irrelevant to the world stage. Within this deliberate act of ignorance and malfeasance, the assumption that “all Muslims” who serve within our military are always loyal to the nation first, their religion and its adherents second. Even though this may be true in some cases, the words of the Quran and the leaders within their sect demand the loyalty of the followers to the word of their prophet first, and nations or political leaders secondarily.

The long bloody river of denial continues to flow through our society as the bodies of our soldiers are returned from Iraq, Afghanistan and other nations embroiled in the war against Islam and its radical adherents. But the denial has created a situation within our military that I find disgusting and untenable; we challenge the Muslims in the services  not as to their loyalty to our nation but accept without question their commitments. The failure to understand the over twelve hundred years a of systemic murderous activity in the name of Allah is our Achilles Heel and the enemies of freedom know this. Thus begging the question as to why any member of the Islamic faith is allowed to serve on bases where or near units to be deployed are located, much less within our services as a whole. Why we would deploy “Muslim” Americans to theaters of war where they might be asked to kill one of the zealots defending their same faith, a violation of the word of Allah when done so at the behest of the “infidels” and its leaders?

The answers are simple, sad and tragically for the victims of politics, not war, a statement to the decline and fall of an empire.

America must allow the “diversity” of its forces to insure that it is reflective of society as a whole. That is the twisted Hegelian logic of Marx and Sociologists in the pacified world of academia and influencing the civilian bureaucrats within the Pentagon. The advisers who proclaim this nonsense never will serve within the military and view our soldiers with disdain and demand this policy as a necessity to prevent a racist elite service from evolving. When you take the perverted views of our elitists into account as part of this policy then one must review the economic and geopolitical concerns which influence our weak-kneed cowardly politically correct rulers, then you begin to understand why our military is ordered to adhere to policies inherently dangerous to the survival of our troops within and out of the conflict zones. America’s unwillingness to confront and deny the wishes of our Saudi masters by protecting our troops and securing all avenues of attack invites disasters such as what happened at Fort Hood today. The refusal to engage the Wahhabi sect and other various terrorist organizations funded by the same families that demand American loyalty and protection for their regime illustrates the fallacy of our proverbial “War on Terror” which will never end during my life time or yours.

By that same token, God forbid an American citizen elect to support a third party, vote for a pro-gun law or candidate, or speak freely about the Founding Fathers though, as that is a terrorist act in the eyes of the current regime in Washington and the prior administration. Thus why we shall continue to suffer attacks such as those on November 5, 2009 and March 23, 2003; infiltration is easy when Sociologists and cowards set policy and attempt to force the greatest military in history to act as a social experiment instead of just letting them do their job as Constitutionally mandated.

America has suffered another self-inflicted gunshot wound thanks to political correctness and submission to internationalism.

Must we bleed to death before we stop reloading the weapon of our own destruction?

04

11/09

If you Fall into a 100 ft. Deep Well and Climb up 5 ft. are you Saved?

04:07 by Administrator. Filed under: Whatever

By John Galt

November 4, 2009

Today the media celebrated more grandiose economic news.  First, they proclaimed the great news that Government Motor’s sales increased 4.7% month over month. Since year over year numbers are not important now because they do not look so hot and you can not compare a “private” GM to a “Government owned” GM now, let’s ask the question:

If you fall down a 100 foot deep well, climb up 4.7 feet to try to save yourself, does this mean you are saved?

Uh, no, you still have another 95 feet to climb and guess what? Japan, the EU, South Korea and the Obamanation just happen to be pouring slippery doses of competition and tax oil down the sides to insure you fall back to the bottom. When you hear the economic data, let us keep it all in perspective, please.

What do I mean by that? The Manufacturers’ Shipments, Inventories and Orders report from the Department of Commerce (Links to PDF of report) for September was widely reported as a 0.9% increase. For the seasonally adjusted numbers month over month that is true. But in reality, the first table for Manufacturers’ shipments year over year was down from last year’s deep in the recession abysmal number without seasonal adjustments by 14.5%. Thus once again, when you start to dig into the numbers and look at the big picture, it is not as good as you think. If you think that headline number is bad, there is worse news: Machine orders, down; Iron and Steel manufacturing, down; Material Handling equipment, down;  Computers, down;  Semiconductors, down; Automobiles and Light Trucks, down; Non durable goods, down hard. You see where I am going?

Despite the popular Bubblemedia take on the reports, once you dig down, what matters, what moves America forward, what manufacturing we need to restart our economy is declining still. Thus why I think Friday’s unemployment report could put a nail in this bear market rally’s coffin once and for all. If you look at the charts below of the Wilshire 5000 and IWM (Russel 2000 ETF) you will see why I’m now bearish and think the divergence of dollar weakness with equity weakness could become the new theme in the weeks ahead. For comparison’s sake, first my dollar theory as the UUP tanked after a brief rally going against all technical indicators and compared with gold via the GLD ETF:

11_03GLDvUUPjgfla1yr

The two huge volume spikes confirm Gold’s move and despite the need for a respite, geopolitical events and gold’s India party have overtaken the inactivity of the Fed and ECB to prevent such a move. Next the consequences of smart money not believing in this “Obama Economic Miracle” being reflected in the non-internationalized small business indexes of the Wilshire 5000 and Russell 2000:

wilshire3rJGLFA

I think by Monday of next week, the 50 DMA flattens out and rolls over moving south for a while. Just like the IWM:

IWM3YRjjgfla

Although the volume on the IWM seems to be increasing as the selling does, we have not seen any final capitulation despite the intensity of recent selling. I figure we roll over on the unemployment data and could see a rather dramatic sell off in mid and small cap equities by week end.

So keep climbing up the well walls and if you’re lucky, or starving, or thirsty, maybe one of those Indian gold buyers will toss you a smoke.

04

11/09

India Enjoys A Post Sex Cigarette

03:23 by Administrator. Filed under: Whatever

By John Galt

November 4, 2009

monkey and elmo

Well, I think China is the one who might want a smoke now.

You see, India, today, enjoyed the ultimate in the equivalent of geopolitical sex. How good is it to be India today? Let’s check out the headline from the Wall Street Journal tonight:

India Buys 200 Tons of IMF’s Gold Allotment

Move Seen as Effort to Diversify Reserves Away From the Dollar

Whoops. That wasn’t supposed to happen. And how China could not have possibly seen this coming and liquidated their positions in the futures as soon as the news leaked out mid-day indicates that they did not expect it, were shocked by it and now have to decide to either commit to the remainder of the IMF gold sale (about 50% is left) or to allow other BRIC nations to fill the void. Just a sec, India is taking another draw on that stick…..exhale, ahhhhhhh…..

So how bad did India screw China today? Let’s check out the charts….

11_03gold1YRjgfla

China which is normally an aggressive investor paused thinking as I did that dollar strength would return on a technical basis and that gold would weaken. Well, so did a lot of other folks but apparently the geopolitical world is shifting overnight.  In one day with this announcement, India was able to screw over all of its historical enemies, the Arabs and radical Muslims of the OPEC infested Gulf and China. Take another draw on that coal New Delhi, you’ve earned it.

1974-Marlboro-Cigarette-Come-to-Marlboro-Country-ad

In one day, the Indian central bank and government put a FLOOR under the price of gold all but insuring that the 50 DMA is intact now for the short and intermediate term and the 22.6% rally in gold could well explode into a 35% plus annual move if not more considering the instability with the Iranian situation and the serious instability located in the D.C.-New York/Wall Street corridor. They blew up every dollar long that wanted to make a serious move to squash the commodity rally, revived Dr. Copper to validate its recent moves and now forced a potential panic in the coming days and weeks forcing a dollar liquidation and panic to buy gold as rapidly as possible to lock in the price above the new floor (I project that at $1016 to $1030 as the lower end of the range now for at least five months barring a shocking development). “Cough”, watch out for that second hand smoke. How did that taste ChiComs?

Understand also that the FOMC of the Federal Reserve reveals their wisdom tomorrow but this move indicates that the emerging world voted today:

We don’t want your stinkin’  dollars.

So be patient if you’re Dell barfs, your delivery is late or your computer gives you a blue screen because that coughing sound is your customer service rep in Mumbai exhaling one of those evil over-taxed American cigarettes Americans used to enjoy after sex back in the old days. The nation of India got everything it could ever dream of and more; like a stable base of insurance to assure their nation’s survival as the Fed and our corrupt financial and political system elects to destroy our currency to avoid the hard choices.

Hell boys and girls down there, light up one for me. It’s not politically correct to celebrate being smarter than the rest of the world or enjoy oneself in America any more.

02

11/09

Older Posts »