My prediction was the Dow up 400 points and gold down $100. Futures are up almost 200 points and gold is down $18 so far. Let’s all rejoice. Obama and the noble Congress critters have saved America at the last possible moment. I think I may have predicted this very scenario two weeks ago. We’ll be getting $2.4 trillion theoretical cuts with a whole $20 billion, or 1% of the total, in 2012. I just know this commission is going to work. Now go back to not having a job and paying more for food and energy. Congress needs their vacation time.
U.S. stock futures extend gains after debt deal
By Sarah Turner
SYDNEY (MarketWatch) — U.S. stock futures extended early gains in Asian trading hours on Monday after U.S. President Barack Obama announced a deal on raising the country’s debt ceiling. Dow Jones Industrial Average futures /quotes/zigman/1785993 DJ1U +0.70% rose 173 points to 12,261, S&P 500 futures climbed 17.70 points to 1,306.30, while Nasdaq 100 futures /quotes/zigman/876546 ND1U +1.39% rose 28.75 points to 2,388.00. At the same time, gold futures extended losses, trading down $18 at $1,613.20 an ounce, while oil futures climbed $1.24 to $96.95 a barrel. The dollar index /quotes/zigman/1652083 DXY +0.17% traded at 73.927, from 73.846 in late trading Friday.
Tom Coburn has the only serious plan in Washington DC. The first link shows the savings by category that add up to $9 trillion. The second link details what he would do by category. Have you seen anything at this level of detail from Obama? Have you seen any plan from Obama? This is called substance. Not the joke that passes for an agreement that will be reached in the next day or so.
This is a video put out by FEMA and HSA to instruct you on how to take note of your fellow citizens doing strange and odd things.
The oddest thing about the video is that almost without exception, the “terrorists” are all white males in their thirties or so. Along with the “spy with us” propaganda is a subtle message that the most likely terrorists are white middle class citizens, hence really hard to spot!
So be vigilant and try not to puke on your computer screens as this very valuable taxpayer paid for citizen training film is obviously meant for us to study and take to heart.
I saw a guy in my neighborhood yesterday, if fact, stopping and suspiciously looking around before he carefully leaned over – to insure what he was doing could not be observed – and picked up his dogs’ poop in a plastic bag that might have been used to smother little babies with. If it hadn’t found a better use..
Senator Coburn (R-OK) somehow, yesterday, got up front on the floor of the Senate and told the straight unvarnished truth and followed that up with solutions to the problems he outlined.
The link below will take you to the c-span segment of Mr. Coburn’s presentation. Feel free to skim past where John Kerry interrupted and made a dumb ass out of himself.
The whole presentation (Mr. Coburn’s, that is) is well worth listening to as it shows there are a few Senators that have the potential to be statesmen instead of just politicians. My hat is off to Senator Coburn and a razz-matazz to Senator Kerry.
“There is no means of avoiding a final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion or later as a final and total catastrophe of the currency system involved.” – Ludwig von Mises
The final collapse of our credit expansion boom approaches. We have a choice over the next week. We could voluntarily abandon further credit expansion by voting for a Balanced Budget Amendment to the Constitution or we can raise the debt ceiling, pretend to cut spending far in the future, and allow our currency system to experience a catastrophic final collapse.
We’ll take what’s behind door #2 Johnny. The vested interests in Washington DC and Wall Street only care about power and wealth. They will never abandon credit expansion. It’s their drug. They must have it. They are addicted to it. They will keep injecting it into our system until they overdose America.
The mainstream media acts as if not raising the debt ceiling by next Tuesday will result in America defaulting. This is a crock. America chose to proceed on a path to default decades ago. We are just finally reaching our destination. Below are the choices we made as a people and a country to default on our obligations and eventually destroy our country:
The enactment of the 16th Amendment to the Constitution in 1913 allowing the government to impose a tax on your income, thereby opening Pandora’s Box to a 60,000 page tax code and allowing politicians to sell their votes to the highest bidder.
The signing into law of the Federal Reserve Act by Woodrow Wilson in 1913, transferring control of our currency system to Wall Street banks. The man made inflation created by the Federal Reserve has reduced the purchasing power of the USD by 97% since 1913 and has allowed politicians to promise $100 trillion of benefits to Americans, that can never be delivered.
The Social Security Act signed into law by Franklin Delano Roosevelt in 1935, supposedly to help widows and orphans, morphed into a giant ponzi scheme used by politicians to make Americans think it was a retirement plan and the money was in a lockbox. The scam continues, but ponzi schemes always collapse.
Fannie Mae was created in 1938 as a government agency and Freddie Mac was created in 1970 as a quasi-government agency. By promoting home ownership and subsidizing loans to people who should have never gotten loans these agencies caused hundreds of billions in mal-investment. As tools of politicians, they were used to push social agendas. The result will be in excess of $300 billion in losses to the American taxpayer.
The Korean War set a precedent where the President did not need to seek Congress to declare war as required under the Constitution. This has allowed the President the freedom to fight undeclared wars around the world for decades, while spending trillions, with no approval from Congress.
LBJ’s Great Society programs such as Medicare and Medicaid were sold to Americans as cost saving programs that would improve healthcare for all Americans. We now spend 17% of our GDP on healthcare and these two programs have an unfunded liability of almost $100 trillion.
Nixon closing the gold window in 1971 removed all restraint on the Federal Reserve, banks and politicians. With a fiat currency backed by nothing but promises, it was only a matter of time before the greed and corruption of bankers and politicians overcame any self imposed fiscal responsibility. The result has been the National Debt going from $400 billion in 1971 to $14.4 trillion today, a 3,600% increase in 40 years. Meanwhile, GDP only increased 1,350% over this same time frame.
The embrace of consumer debt by the Baby Boom generation beginning in 1980 created an atmosphere of living for today and not worrying about the future. This attitude has left 50% of all the households in the country with a net worth of $70,000 or below.
The repeal of the Glass Steagall Act in 1999 unleashed the hounds of hell upon America, as the soulless blood sucking vampires on Wall Street proceeded to rape and pillage the American economy with their financial derivatives of mass destruction and marketing of debt to the clueless masses. The housing bust and impoverishment of the middle class can be laid at the feet of these evil greedy bastards.
Bush’s unpaid for wars of choice, his reckless tax cuts, and his foolish expansion of a bankrupt Medicare program in the midst of two wars turbo charged the country on its path to default.
By bailing out Wall Street on the backs of the middle class in 2008/2009, the politicians in this country showed their hand. They will protect their fellow power brokers and contributors and throw the American people under the bus. Wall Street controls Congress.
The Keynesian schemes rolled out by Obama and his minions have just added trillions of debt while depressing the economic system and doing nothing to help the average person. The Fed created inflation has inflamed revolution through out the world and further impoverished the middle class who need to eat and fill up their cars.
In the midst of a Depression Obama chose to create a brand new healthcare bureaucracy, add 30 million people into the government controlled system, and commit the US taxpayer to trillions of future healthcare costs.
As you can see, next Tuesday means nothing. The debt ceiling means nothing. We chose to default as a nation many years ago. The destination was certain, only the timing was in question. Time to step on the gas.
“Credit expansion is not a nostrum to make people happy. The boom it engenders must inevitably lead to a debacle and unhappiness.” – Ludwig von Mises
My fellow neighborhood blogger with some useful tips about saving for college.
College Costs Have Gone Parabolic – What You Can Do Now
I’ve been reading about state after state slashing spending budgets because the money simply isn’t there. Over the past few years, as part of the government bailout of states, banks, automakers, homeowners struggling with mortgages and pretty much anyone else that WASN”T responsible (at the expense of those who were), part of the stimulus spending bill included Billions of dollars in aid to states. Well, rather than get their ducks in a row, most states immediately blew it, leaving huge year over year gaps in their budgets, forcing huge cuts to spending this year when those federal dollars dried up. As a result, many state colleges, once known as bargain educational opportunities for in-state students, are now fast approaching the same tuition as private schools.
Here’s just a snapshot of some state school tuition increases this year, compliments of CNN, but I’ve spared you the ridiculous slideshow:
Arizona nearly doubling from $5,037 to $10,035.
California state schools seeing an increase 40% since 2008.
Florida has increased tuition 15% for 3 years in a row now.