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cdulan (94.37)

If this is a recovery...

Recs

5

October 27, 2009 – Comments (2) | RELATED TICKERS: XLF , SDS , FXE

If this is a "recovery", then I need to take high school english again. Recovery from an injury means regaining health and mobility. I see little health in the following stats considering the massive stimulus it took us to get there.



First of all, how do job loss trends like this...[see blog for picture]




...translate into increasing home prices?...[see blog for picture]






It must be all of this stimulus......[see blog for picture] ... is that supposed to give us confidence that there is a "recovery"

 


...For example, I don't see a rebound in Buffet's favorit metric, rail traffic... ...[see blog for picture]



...or here in US daily oil consumption (even though the reported numbers are only until July)... ...[see blog for picture]

Bottom line. All I see is a little prop up, not recovery. Remember, my previous blog mentioned that we are now at the peak effect of the stimulus. At least the headlines have toned down from the cheery "That was easy!" messages of two months ago.

What do you think they will say in March when the Fed stops buying agency debt? Anyone?

2 Comments – Post Your Own

#1) On October 27, 2009 at 8:50 PM, alstry (99.63) wrote:

Just click your ruby slippers....it is only a dream.

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#2) On October 28, 2009 at 1:56 PM, Turfscape (32.51) wrote:

Meh...recovery is always like this. People want to see major change immediately, but that just ain't how it works. That's why Bush 41 lost his job, even though he made prudent moves to improve the economy. That's why Bush 43s administration spent so much time pointing out that the recession that started his first term ended in November 2001 (they spent about a year and a half rattling off that line).

Think of it more like being in recovery immediately following surgery...that's when you actually feel your worst, your weakest and most disoriented. But it'll only get better from there (until the next time, of course).

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