The Economy, Stupid!

The markets have had wild swings for about a year now….but with that the profits roll on for the corporations…..the president’s lack of economic knowledge and the wild lies of something good is just making things worse.

And this past week it has come to a head (as they say)…..it happened in the bond markets……

An economic alarm bell has sounded in the US, sending warnings of a possible recession ahead—and sending the Dow plunging 800 points by the end of the day. Yields on 2-year and 10-year Treasury notes inverted early Wednesday, a market phenomenon that shows investors want more in return for short-term government bonds than for long-term bonds. It’s an indication that investors have lost faith in the soundness of the US economy, the AP reports. What appeared to be a slight thaw in trade relations between the US and China that had sent markets sharply higher Tuesday was quickly forgotten, with the Dow opening down 400 points. By 12:30pm ET it was down nearly 650 points; a half-hour later it had plunged 737 points, or 2.6%, reports CNBC. By end of day it was down 800, the S&P 500 was down 86, and the Nasdaq was down 242, per Marketwatch.

CNBC notes that bank stocks like Bank of America and Citigroup have been the big losers today, down 5% and 5.2% respectively, as “it gets tougher for [them] to make a profit lending money in such an environment.” The yield on the benchmark 10-year Treasury note hit 1.622%, falling below the yield of a 2-year, which was 1.634%. The last inversion of this part of the yield curve was in December 2005, two years before a recession brought on by the financial crisis hit. An inversion like the one taking place Wednesday has preceded the last nine recessions dating back to 1955. When a recession might hit, if it does, is a little hazier. Months or even years have passed after an inversion takes place, and before economists can connect the two. Marketwatch notes Wednesday was the Dow’s worst day this year.

Here comes the “R” word…. a “recession”…..some are running worried….

Then there are the multiple lies about China and tariffs….remember when he said China would pay for the tariffs not the American people?  That was the same lie as Mexico would pay for that damn silly border wall.  Don’t forget the lie about all the billions flowing into the coffers of the nation…that was a lie as well…..

If China was gonna to pay and the pain would all be on someone else then why did Trump decide to postpone tariffs until mid-December?

U.S. President Donald Trump on Tuesday backed off his Sept. 1 deadline for 10% tariffs on remaining Chinese imports, delaying duties on cellphones, laptops and other consumer goods, in the hopes of blunting their impact on U.S. holiday sales.

https://uk.reuters.com/article/uk-usa-trade-china-tariff/trump-backs-off-china-tariff-plan-with-delays-for-cellphones-laptops-idUKKCN1V31CR

Would “impact US holiday sales”…..that should tell you everything you need to know about these pseudo-economic solutions….even if you are not a genius like our Supreme Leader Trump.

Be Smart!

Learn Stuff!

“Lego Ergo Scribo”

 

Just How Cozy Is Hillary Clinton With Wall Street? – BillMoyers.com

You recall recently Bernie made a statement that Clinton was part of the “establishment” and the media world went batcrap crazy looking for what he really meant to say……

A manufactured issue….the rest of the country knew what he meant when he uttered the word……in case you are dense…..he meant that she was in the pocket of the special interests (you may define that in any manner you prefer)……..she is a member of that “establishment” just like hubby Bubba….I mean look at the favor he did for agri-business with NAFTA and Wall Street when he helped repel Glass-Steagall…….fast forward to today….how much does his Clinton Global thingy rake in annually….mostly from wealthy people…..who do you think that favors?

But do not take my word for it……there is much that explains her connection to the “establishment”…..

This post first appeared at Mother Jones. Hillary Clinton has received a lot of campaign money from the financial industry over the years, and after she left the State Department she gave several lucrative speeches to Goldman Sachs and other big banks. As Michael Hirsh puts it, this has given her a reputation for being “more than a little cozy” with Wall Street. But is she? Continue reading

Source: Just How Cozy Is Hillary Clinton With Wall Street? – BillMoyers.com

Vote from knowledge not from slogans and applause……this country has enough super wealthy people….what we need is someone that see to the Middle Class and our seniors…..”the poor get poorer and the rich get richer” should NO longer be a mantra to describe America.

Sen. Bernie Sanders: Man Of The People

There are not many in Washington that I would give the time of day……my two faves are Eliz.. Warren and Bernie Sanders……I have been a fan of Sanders since his days in state politics in Vermont……he has consistently been a person of the people…..there have been others that I respected their time in DC but not many…..

Sanders has always been a proponent of the poor and the middle class……he has been vocal and demanding….few in DC would listen and even fewer would have his back when it came to the nut cutting……

He and Warren are making a dynamite one two punch…….the Left is very fortunate to have these two people as their spokesperson…….Sen. Warren let the Congress have it over the latest government funding bill…..she withheld NO punches.

Remember 2008….I know it is a sore subject that few want to revisit……but to solve the problem from ever happening again there was a call to break up the big banks and eliminate the “too big too fail” syndrome where the taxpayer had to cover them for their bad business practices…….Sanders is trying again to do the right thing for the country with his 12 point plan………

Sanders detailed a 12-point economic program to,

– Invest in our crumbling infrastructure with a major program to create jobs by rebuilding roads, bridges, water systems, waste water plants, airports, railroads and schools.

– Transform energy systems away from fossil fuels to create jobs while beginning to reverse global warming and make the planet habitable for future generations.

– Develop new economic models to support workers in the United States instead of giving tax breaks to corporations which ship jobs to low-wage countries overseas.

– Make it easier for workers to join unions and bargain for higher wages and benefits.

– Raise the federal minimum wage from $7.25 an hour so no one who works 40 hours a week will live in poverty.

– Provide equal pay for women workers who now make 78 percent of what male counterparts make.

– Reform trade policies that have shuttered more than 60,000 factories and cost more than 4.9 million decent-paying manufacturing jobs.

– Make college affordable and provide affordable child care to restore America’s competitive edge compared to other nations.

– Break up big banks. The six largest banks now have assets equivalent to 61 percent of our gross domestic product, over $9.8 trillion. They underwrite more than half the mortgages in the country and issue more than two-thirds of all credit cards.

– Join the rest of the industrialized world with a Medicare-for-all health care system that provides better care at less cost.

– Expand Social Security, Medicare, Medicaid and nutrition programs.

– Reform the tax code based on wage earners’ ability to pay and eliminate loopholes that let profitable corporations stash profits overseas and pay no U.S. federal income taxes.

I have NO problem with his plan…..which is unusual for I seldom find a plan coming out of the Senate that I agree with…….Americans need to get informed and back Sanders plan…….another 2008 is only a tick away from happening again…….

Because of the collective ignorance of the American people will ensure that we will face another economic crash…..and this one may not be as easy to repair as the last…….

Keep your head in the sand and you will make it possible for more suffering of the American people……I know most could care less about their fellow Americans and that is why we are doomed to keep making the same mistake time and time again……..

McKinsey Article Lays Out How to Rethink Capitalism – US News

American capitalism is killing the American Dream…..it is crapping all over those who actually have to work…..call me anything you like….communist, socialist, anarchist….I do not much care as long as you pull your head out of your butt and take a good look at the damage capitalism is doing to the average American family.

Capitalism can work but it needs re-doing……..a task few are unwilling to sow the guts to even consider much less attempt……

 

McKinsey Article Lays Out How to Rethink Capitalism – US News.

While We Were Asleep

The other day while most of America was sleeping from another of trying to earn a living….the police departments in several cities were attacking the Occupy movement to evict the people that were protesting…..we all, at least those of us that were interested, have seen all the vids and photos of what happened on that early morning raids……but while we were asleep and police were doing the dirty work of the government…..another issue was playing out under the radar thanks to the raids…..

Have I peaked your curiosity?

Congress is the culprit I speak of and here is what they are attempting to do……

We Love Bailouts Bill: HR 1838 (Stivers) would repeal a section of the Dodd-Frank Act that prohibits the Federal Government from bailing out big Wall Street derivatives dealers. What are they thinking? With Merrill Lynch right now attempting to transfer a total of $75 trillion in derivatives bets from its investment arm into Bank of America, its FDIC-insured parent company, why is the GOP eager to facilitate the next giant taxpayer bailout?

Dark Markets are Good for You Bill: HR 2586 (Garrett) would allow big Wall Street derivatives dealers to continue opaque bilateral trading and allow them to avoid price transparency required by the Dodd-Frank bill. Off-book gambling in the derivatives market was a key cause of the 2008 financial crisis, and Dodd-Frank made huge steps forward, requiring the vast majority of derivatives to be traded in open forums where everyone could see what is going on in this $600 trillion dollar market. Similarly, HR 2779 (Stivers) would exempt all transactions between related affiliates from derivatives regulations, creating less, not more, transparency.

Swap Till You Drop Bill for Pension Funds: HR 3045 (Canseco) would permit swaps dealers to get a blanket exemption from any duty to respect the best interests of pension funds when giving any advice on a swaps deal. Just last week, we saw the largest municipal bankruptcy in United States history, in Jefferson County, Alabama, which was caused when JP Morgan Chase bribed local officials into entering a swaps deal to refinance a sewage district.

Go Back to Sleep SEC Bill: HR 2308 (Garrett) would create a series of new hurdles for the Securities Exchange Commission (SEC) to jump before the institution can pass a new rule or regulation. SEC is not my favorite regulator and their fines on the big Wall Street banks have not been commensurate with the crimes, but compared to the U.S. Justice Department, SEC regulators have been veritable energizer bunnies, extracting billions in concessions.

AS promised, the Repubs are trying to gut the Frank-Dodd Financial Reform Act…….and as usual they are doing the dirty work for those they really work for….Wall Street and the Banks…….

People!  The time has come for us to demand more from our government…….and these moves are no where in the best interests of the average American……speaks volumes on who really runs this government and YOU allowed it to happen…..