When the Fed announced on August 9th 2011 to stay out of politics in this upcoming election by effectively locking interest rates at historic lows until mid 2013, they officially revealed their hand and told the richest 1% of our nations Billionaires that the manufactured recession will finally be over. Woo hoo!! The other central banks around the globe have seemed to be acting in kind and locking their interest rates as well without officially stating it as their in-action is telling. Employment data seems to be on the mend, troops are finally coming home from Iraq at year end and tyrants and terrorists seem to be dropping like flies as well. These are the big picture positives as I see them to date.
As I was writing this I even witnessed more confirmation that the recession is over as the European Central Bank just promised $100B more to our founding fathers of it all, Greece. Nothing like making the majority squirm until the last minute before offering what was needed in the first place. Sounds like a re-run of our debt ceiling drama in August. It helps the receivers of the aid to say a nicer thank-you I guess. Maybe some kissing of their toes is what they really wanted.
Pheeeew!!, so the top 1% is in better shape again; might even be a glimmer of hope as the NBA is doing a mini-series spin-off of the same play our Senators and Bank CEO’s just filmed. Copy cats! Probably just a diversion to keep our minds off the real issues. However, this all doesn’t say much for the remaining 99% of the country as government focus and media attention seems to still suggest head-butting with bank CEO’s for global dominance. Behind closed doors however the Fed’s statement back in August in my opinion reveals that the narcissistic duel between our Senate leaders and bank CEO’s finally might have found some common ground and made nice with each other. I don’t’ have to tell you what happens when the big dogs fight…stuff runs down hill, right?
Bank CEO’s and our nations Senators settled it seems for more of the same, which is a divided and conquered globe with a peace treaty between them by mid-2013. I am officially dubbing 2008-2011 as the “Wealthy Wars”. Cant you feel the love? So no need to worry, confused Wall Street occupiers; more promised rescue help with the likes of great sounding manufactured events like “Operation Twist” and more QE packages if needed will be unveiled at the most desperate hours over the next 18 months. The finish line is in sight; just another year and a half of the choke hold and another $100K added to the $100K of student loan debt you already may have piled up. Again, no need to worry, you will have a nice job waiting for you to work for the banks so you can pay off the generous gift loans from our government who in-turn get the lobby money from the banks that lock in who gets to run for office next term. Win – win for all!! Take a deep breath and suck in the circle of life. Taste like crude oil in my drinking water; oh no, I forgot that’s what the $7 bottles of the filtered good stuff are made out of as well, so keep it pumping and get used to the taste!
On a personal note; I just want to give a shout-out to our politicians; can you cool it a bit on the choke hold of our college students these days? They are going to be the ones supporting the markets and my 401K in my retirement years. I don’t have a secure bank roll of lobby money in my savings account and the promise of a lifetime secure retirement benefit like you.
Oh yeah; the markets…whats that say for the US dollar (USD)? More inflation, a weaker USD and higher food and gas bills on the horizon and it means that even Schwarzenegger is getting back to making movies again. Isn’t it nice when things are normal?
Here is a snapshot on how the USD got slammed again on Thursday October 27, 2011 (AUD, EUR, GBP soaring vs USD and USD dropping dramatically vs CHF and CAD).
Trade Strong!! Trade Smart!!and Always Have Enough to Trade Tomorrow!!