Outlook: We were promised “Change”. We got change. The outlook (hard to believe) is getting progressively worse. If the Plans are supposed to enrich the Banks, Wall Street, Politicians, Unions, Lobbyists and other “insiders”, they are working. If the Plans are supposed to help the American People and our Economy, they are a disaster.
The Insane Asylum is being run by the inmates.
The Foxes are guarding the Chicken Coop.
The recently signed Stimulus” plan is estimated to cost at least 2-3 times the stated $787 billion. Obama, Geithner, etc, announced that this is just phase 1 with a lot more to come.
So … The Banks, Lobbyists, Wall Street, etc. write the “Stimulus” plans. They and the politicians are getting rich beyond belief. The Banks, Financial Institutions and other recipients announced further job cuts and closings. Next in line are auto makers, manufacturers (Industrial), Health Care and Retailers.
Mortgage Plan: According to Obama, the cost for Phase I is $75 billion. Simple math shows the continuing costs will be in excess of $240 billion.
(Also thrown in is an additional $2 billion per year for “community” organization fees. That is in addition to $4 billion already granted in TARP I. Who or what are these “community organizations” and “community organizers”?)
Homeowners who are current and make in mortgage payments on time, get no benefit.
Homeowners benefit if they stop making mortgage payments or default. ????
This is an invitation to stop making mortgage payments.
Obama’s Mortgage Plan will also provide subsidies and payments for people who don’t meet “guidelines” to qualify for mortgage loans. ??? Isn’t this what helped start this mess?
Bottom line: The “Stimulus” plans and government actions do not help. They suck money from the economy and make things worse. The Mortgage Plan will generate huge fees for the banks and mortgage companies, briefly inflate prices and eventually cause additional foreclosures.
Interest rates: The only way the geniuses in Washington can make rates lower than zero is by paying the banks and people to borrow money. Expect rates to stay low for the near future. (3-6+ months.) When the realization hits that the U.S. has no possibility of ever repaying or keeping current with the amounts we are borrowing, rates will go up.
Jim Grant (The Interest Rate Observer) predicts that current fiscal policy has made the US dollar worthless. He comments that the US Government is using the same cure as Zimbabwe and we can expect a monetary collapse. His advice is get out of the US Dollar and buy hard assets. The flood of money into Swiss banks won’t stop.
Wednesday, February 18, 2009: Bernanke announced the Fed decided to set “inflation targets”. The reasoning is that if the US dollar begins to fall sharply, people will stop saving and rush to spend all their dollars while there is still some value. Geithner concurred.
Does this make any sense?
Sites:
Watch where your money goes. http://www.recovery.gov/
From the population people: http://www.census.gov/population
National debt: http://www.brillig.com/
Ideas:
Soros and Grant and others believe the US dollar is becoming worthless and they don’t trust the US markets.
They are buying hard assets outside the US. PBR, SLV, GLD, RIO, BHP, etc.
Utilities: Seemed like a good idea. Get a good dividend with upside/growth potential.
Changed outlook: GXP and CEG just cut their dividends. ED, TE and a lot of others report dramatic increase in late and no payments.
Utilities require CAUTION and review for dividend cut.
Things do not look good. Will they get better or worse?
From: http://briefing.com/Investor/Index.htm
It's Not All Bad News
Last Update: 19-Feb-09 08:50 ET
From what we can tell, there aren't any plans to announce any new stimulus plans today. Incidentally (or should we say coincidentally?), the futures market is pointing to a modestly higher open for the market.
According to S&P (Capital IQ) the Market Cap of GM on February 19, 2009 was $1.26 billion.
We, the American Taxpayers, Mr. Bernanke, Geithner, Obama and the dear folk in Congress is going to give GM $25 billion. That is 20 times what the entire company is selling for on the NYSE.
A good idea is not very useful in a collapsing market.
........ HELP! (We need Hari Seldon) ........
The Insane Asylum is being run by the inmates.
The Foxes are guarding the Chicken Coop.
The recently signed Stimulus” plan is estimated to cost at least 2-3 times the stated $787 billion. Obama, Geithner, etc, announced that this is just phase 1 with a lot more to come.
So … The Banks, Lobbyists, Wall Street, etc. write the “Stimulus” plans. They and the politicians are getting rich beyond belief. The Banks, Financial Institutions and other recipients announced further job cuts and closings. Next in line are auto makers, manufacturers (Industrial), Health Care and Retailers.
Mortgage Plan: According to Obama, the cost for Phase I is $75 billion. Simple math shows the continuing costs will be in excess of $240 billion.
(Also thrown in is an additional $2 billion per year for “community” organization fees. That is in addition to $4 billion already granted in TARP I. Who or what are these “community organizations” and “community organizers”?)
Homeowners who are current and make in mortgage payments on time, get no benefit.
Homeowners benefit if they stop making mortgage payments or default. ????
This is an invitation to stop making mortgage payments.
Obama’s Mortgage Plan will also provide subsidies and payments for people who don’t meet “guidelines” to qualify for mortgage loans. ??? Isn’t this what helped start this mess?
Bottom line: The “Stimulus” plans and government actions do not help. They suck money from the economy and make things worse. The Mortgage Plan will generate huge fees for the banks and mortgage companies, briefly inflate prices and eventually cause additional foreclosures.
Interest rates: The only way the geniuses in Washington can make rates lower than zero is by paying the banks and people to borrow money. Expect rates to stay low for the near future. (3-6+ months.) When the realization hits that the U.S. has no possibility of ever repaying or keeping current with the amounts we are borrowing, rates will go up.
Jim Grant (The Interest Rate Observer) predicts that current fiscal policy has made the US dollar worthless. He comments that the US Government is using the same cure as Zimbabwe and we can expect a monetary collapse. His advice is get out of the US Dollar and buy hard assets. The flood of money into Swiss banks won’t stop.
Wednesday, February 18, 2009: Bernanke announced the Fed decided to set “inflation targets”. The reasoning is that if the US dollar begins to fall sharply, people will stop saving and rush to spend all their dollars while there is still some value. Geithner concurred.
Does this make any sense?
Sites:
Watch where your money goes. http://www.recovery.gov/
From the population people: http://www.census.gov/population
National debt: http://www.brillig.com/
Ideas:
Soros and Grant and others believe the US dollar is becoming worthless and they don’t trust the US markets.
They are buying hard assets outside the US. PBR, SLV, GLD, RIO, BHP, etc.
Utilities: Seemed like a good idea. Get a good dividend with upside/growth potential.
Changed outlook: GXP and CEG just cut their dividends. ED, TE and a lot of others report dramatic increase in late and no payments.
Utilities require CAUTION and review for dividend cut.
Things do not look good. Will they get better or worse?
From: http://briefing.com/Investor/Index.htm
It's Not All Bad News
Last Update: 19-Feb-09 08:50 ET
From what we can tell, there aren't any plans to announce any new stimulus plans today. Incidentally (or should we say coincidentally?), the futures market is pointing to a modestly higher open for the market.
According to S&P (Capital IQ) the Market Cap of GM on February 19, 2009 was $1.26 billion.
We, the American Taxpayers, Mr. Bernanke, Geithner, Obama and the dear folk in Congress is going to give GM $25 billion. That is 20 times what the entire company is selling for on the NYSE.
A good idea is not very useful in a collapsing market.
........ HELP! (We need Hari Seldon) ........
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