Posted on 06/26/2013 3:52:22 PM PDT by Kartographer
The markets continue their dead cat bounce while the economic data worsens.
(Excerpt) Read more at zerohedge.com ...
I enjoy reading Zero Hedge, and visit the site almost every day.
But I am VERY leery of the author of the posted article, Phoenix Capital Research. I am also VERY leery of anything written by PCR's editor, Graham Summers.
PCR, and Summers, specialize in scare articles. At the end of each article, you'll find a link to a newsletter. Follow that link and you'll eventually get to sales pitch.
So it seems to me that their primary motivation is to scare you into subscribing to their newsletter.
We are spending Confederate money right now. Nothing stands behind the dollar but the Governments word, and that is not worth anything.
I decided to not hold my breath. Better get used to the way it is. As long as the communists hold the cards, it will be damn hard to crash for many months now. Might even be years.
That's not true, of course. The GDP equation was designed by Keynesians who insist that consumer spending drives the economy. They intentionally left out business-to-business spending which is usually larger than consumer spending.
Consumer spending is really about 30% of overall spending and business-to-business spending runs about 40% of GDP. If that were broken out, we'd get a much better picture of how recessions start. Consumers spend pretty consistently, businesses not so much.
I’m inclined to agree. The bed has been made. We’ll all burn in it.
At least we finally have man on man marriage.
In short, while there are a lot of danger signs and a lot of stuff I surely don't like, the notion that this is the equivalent of "Confederate money" is silly. And by the way, one reason "Confederate money" was so useless was that the Confed government wouldn't take it in payment for taxes.
I agree, and despite what people seem to think, overall US consumer debt is down a little.
“There is no dark side of the moon really. Matter of fact, it’s all dark.” - Pink Floyd"
(SNIP)
It looks like 96,300 of the 175,000 new nonfarm jobs created last month were in very low wage industries (retail, 27,000), temporary, (25,600), leisure and hospitality (43,000). The industries with the two lowest hourly wages are leisure and hospitality ($11.76) and retail ($13.92). It isn’t clear how the world’s largest economy gets back on its feet with so many receiving such low incomes.
In the Dark Side wages don't matter, everything here is free – it's not that dark! The single greatest hurdle for the recognized U.S. economy however, is flat-to-declining wages. To some this may sound a tad like a broken record but the only thing that matters to the economic recovery is incomes.
Real disposable personal incomes – the amount that consumers have to spend once adjusted for inflation and taxes – increased 0.1 percent in April, a mere 1.0 percent higher than year ago levels. Similarly, the amount of spending that Americans facilitated with that lowly income inched up 0.1 percent, or 2.1 percent from April 2012. Real disposable personal incomes had a history of advancing at 3.75 percent, which would boost spending by a similarly robust pace. As long as income growth is staid as it is, the economy will continue to spin its wheels in a sideways movement, and subsequently keep a lid on job creation.
(SNIP)
Recovery? You kip usin’ dat word. I dunt dink it means what you dink it means.
Yea, consumer debt is down a little,,, for now.
Obamster is going to fix that when the EPA attacks our cheapest source of energy, and energy rates “...necessarily skyrocket”.
A collapse is possible, existential in nature for our country. The Zombies just may win this time.
The people that believe CO2 going up 0.01% of the atmosphere over 100 years will lead to the destruction of civilization are the very same people that believe a sudden 2% payroll tax hike won’t hurt a bit.
The Bonds we are buying with QE2 money are as useless as the money we are buying them from/ We used to borrow from the Chinese , then someone said why borrow, Just print.
I hope you are right, but I don’t believe it.
Treasury yields will pull back in a few days and it will become apparent (again) that assets (US stock and real estate) offer the only returns that have a change of beating inflation.
The comments on ZH articles are absolutely mind blowing.
easy to say Freepers should know better Kart, especially when you ain’t walking in their shoes.
Clearly you haven’t been paying attention. There are plenty that tell you they aren’t prepping, do not believe in prepping and hate people who do prep. Some so hate preppers and especial me and my post about being prepared that there has been some big time ugliness that even dragged in Jim Rob.
Don’t believe me? Ask any of the regular prepping folks.
Also this there lots of ways for people to prep on a budget and bag of beans a can of spam some matches, good used camping gear can be brought for a song are yard sells every weekend.
Are you going to be prepared for Mad Max, hell no, but a week without power/water that isn’t an impossible goal for anyone. Once there you build on that. Another part of prepping is knowledge first aide classes, teaching yourself gardening and so on cost nothing or next to nothing and once you have knowledge it yours to trade and use.
Your options are only limited by how willing you are to do something.
Most people right now have far less than 99% of our ancestors had when they struck out to tame a continent! I ask you have we fallen so far that we can’t match their deeds?
Mark
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