Current Market Conditions..
Althouth we are starting to hear cries this recession may be dissapating, nothing could be further from the truth. Industrial output is declining at an accelerating pace. GDP was hogwash due to the fact gov't spending is included in GDP (all of which was printed of course). The trade deficit narrowed once again indicating a decreased of imports. Meanwhile Unemployment is hovering around 20% if measured as it was in 1980.
* China has had talks with Brazil and Argentina on the topic of the USD and agreed to use the remimbi and/or Real in some trades. (Some is used to prevent US criticism). This means dollars will begin to flow back into the U.S (most is held outside the U.S).
* Self compiled M3, which had been disc'td by the government increased 7.6% year over, which illustrates the expansion of the money supply is accelerating once again after taking a month off.
* Unemployement - Continues to increase, most notably if measured as it was in 1990. Those forced to take part time job are have a partial contribution.
* The innodinate treasury auctions taking place. Interest payment alone in 2010 will be 500+ billion year.
The 10 year bond yields have doubled since the FED annouced they will be debt - 2.9% and now 4.8%, signaling we are drawing closer to the bursting of the bond bubble. Russian and a few other countries announced recently they will sell some of their U.S debt (treasuries)
Healthcare (SS, medicare, medicaid) + Interest on federal debt = 1.4-1.5 trillion in 2010!
Sure Tarp funds were paid back - but they are merely a drop in a bucket at this point. Bank Reserves are above 900 billion! In fractional reserve banking this will create 8.1 trillion by depositing 900billion back with the fed this is likely to cover loan losses/defaults. But come on, the banking system will undoubtly pyramid these reserves creating even more money.
Obama and his cronies is like bush and his cronies on steroids! how is he even qualified to be president? He has never held a real job, he has a bs degree in addition to having no real accomplishments. WE REALLY ARE HEADING DOWN THE ROAD TO SERFDOM.