The White House today foolishly and ineptly tried to portray CNBC analyst Rick Santelli as uninformed over the Obama home foreclosure plan.
But the administration came off looking stupid and disconnected from the people who will have to do the investing and spending to turn the economy around.
President Obama, however, believes it is government spending that will turn things around. He is sadly mistaken and his administration has caused more economic pain and confusion in his first month in office.
Santelli has been on the job -- when it comes to informing investors and the public -- long before the president ever started campaigning for office. And his advice and information has been most sound, helping lead me to get out of the stock market at 13,000 on the Dow.
Obama has no record. And the outright bumbling of his administration in its first month has created a confidence gap in this nation. Those of us with a lot of cash on the sidelines are not going to return to the financial markets with his administration throwing out mixed signals and plans with no details.
Bank nationalization still remains a frontburner issue, with the administration today denying such a move with Bank of America and Citigroup. Meanwhile, Senate Banking Chris Dodd was saying nationalization is not a bad idea. Do these politicians of the same party ever talk? Is this any kind of change in leadership from Washington that Obama promised?
The people of this nation are not stupid. They notice these contradictions. The White House can only hope one day to have Santelli's credibility.
It's time for the Tea Party!
Friday, February 20, 2009
Don't join the Gold rush just yet
I was ready to invest in gold yesterday when a trip to the hospital sidelined me.
Afterward, I heard Rick Santelli say on CNBC not to join the gold rush. There are conflicting signals coming from the global economies and currency trading.
The dollar is up, which is contrary to gold advancing much beyond the $1,000 psychological barrier. Gold hit that ceiling briefly today then fell back $6 per ounce. Still, some gold analysts are saying the metal could advance to $1,200 to $1,500 per ounce over the long-term.
Inflation also is another factor that encourages people to get into gold. But the CPI did not advance from year to year in January. Still, some credible people see a surge in inflation as governments across the world print more money from stimulus packages.
I still have a problem with investing in something as volatile as gold. Santelli's direction is gold to me. And so I will be patient for more traditional investment instruments when credit markets ease.
I hate to rush in with everyone else. Most of the profit may be out of the current vein feeding the surge. And I never could think of gold as a secure place to put money for very long. It is a haven for fear, which will ultimately ease.
Afterward, I heard Rick Santelli say on CNBC not to join the gold rush. There are conflicting signals coming from the global economies and currency trading.
The dollar is up, which is contrary to gold advancing much beyond the $1,000 psychological barrier. Gold hit that ceiling briefly today then fell back $6 per ounce. Still, some gold analysts are saying the metal could advance to $1,200 to $1,500 per ounce over the long-term.
Inflation also is another factor that encourages people to get into gold. But the CPI did not advance from year to year in January. Still, some credible people see a surge in inflation as governments across the world print more money from stimulus packages.
I still have a problem with investing in something as volatile as gold. Santelli's direction is gold to me. And so I will be patient for more traditional investment instruments when credit markets ease.
I hate to rush in with everyone else. Most of the profit may be out of the current vein feeding the surge. And I never could think of gold as a secure place to put money for very long. It is a haven for fear, which will ultimately ease.
Obama comes out against Fairness Doctrine but Dems in Congress still want to push this wrong
Re-instating the Fairness Doctrine does not have the support of President Obama -- the White House announced this week -- but some Congressional Democrats still are intent on pushing the requirement of equal time for political radio programs.
Capitalism and consumers should determine what programs radio offers, political or not. Conservatives have found an audience. Liberals with Air America did not. It failed quickly.
Re-introducing the Fairness Doctrine would be another interference in the free markets by Democrats -- the kind that has already produced disastrous results.
Leave radio alone, along with the rest of the economy. Do not interfere with freedom of speech by re-introducing the Fairness Doctrine. Let the consumers decide.
Capitalism and consumers should determine what programs radio offers, political or not. Conservatives have found an audience. Liberals with Air America did not. It failed quickly.
Re-introducing the Fairness Doctrine would be another interference in the free markets by Democrats -- the kind that has already produced disastrous results.
Leave radio alone, along with the rest of the economy. Do not interfere with freedom of speech by re-introducing the Fairness Doctrine. Let the consumers decide.
Drudge's top story: Uncle Sam proposing to tax you by the miles driven instead of gas you buy
To raise more money, the federal government is exploring plans to tax you by the miles you drive instead of the gas you buy at the pump.
Several states are already pushing such a plan.
What do you think?
Better speak up now. Tyranny is always present in the ability to tax and take from the people what they earn. I used to believe government knew better for the common good, at least on the federal level. The Obama administration has destroyed that faith I once had.
AP reports:
WASHINGTON (AP) — Transportation Secretary Ray LaHood says he wants to consider taxing motorists based on how many miles they drive rather than how much gasoline they burn — an idea that has angered drivers in some states where it has been proposed.
Gasoline taxes that for nearly half a century have paid for the federal share of highway and bridge construction can no longer be counted on to raise enough money to keep the nation's transportation system moving, LaHood said in an interview with The Associated Press.
"We should look at the vehicular miles program where people are actually clocked on the number of miles that they traveled," the former Illinois Republican lawmaker said.
Most transportation experts see a vehicle miles traveled tax as a long-term solution, but Congress is being urged to move in that direction now by funding pilot projects.
The idea also is gaining ground in several states. Governors in Idaho and Rhode Island are talking about such programs, and a North Carolina panel suggested in December the state start charging motorists a quarter-cent for every mile as a substitute for the gas tax.
A tentative plan in Massachusetts to use GPS chips in vehicles to charge motorists by the mile has drawn complaints from drivers who say it's an Orwellian intrusion by government into the lives of citizens. Other motorists say it eliminates an incentive to drive more fuel-efficient cars since gas guzzlers will be taxed at the same rate as fuel sippers.
Several states are already pushing such a plan.
What do you think?
Better speak up now. Tyranny is always present in the ability to tax and take from the people what they earn. I used to believe government knew better for the common good, at least on the federal level. The Obama administration has destroyed that faith I once had.
AP reports:
WASHINGTON (AP) — Transportation Secretary Ray LaHood says he wants to consider taxing motorists based on how many miles they drive rather than how much gasoline they burn — an idea that has angered drivers in some states where it has been proposed.
Gasoline taxes that for nearly half a century have paid for the federal share of highway and bridge construction can no longer be counted on to raise enough money to keep the nation's transportation system moving, LaHood said in an interview with The Associated Press.
"We should look at the vehicular miles program where people are actually clocked on the number of miles that they traveled," the former Illinois Republican lawmaker said.
Most transportation experts see a vehicle miles traveled tax as a long-term solution, but Congress is being urged to move in that direction now by funding pilot projects.
The idea also is gaining ground in several states. Governors in Idaho and Rhode Island are talking about such programs, and a North Carolina panel suggested in December the state start charging motorists a quarter-cent for every mile as a substitute for the gas tax.
A tentative plan in Massachusetts to use GPS chips in vehicles to charge motorists by the mile has drawn complaints from drivers who say it's an Orwellian intrusion by government into the lives of citizens. Other motorists say it eliminates an incentive to drive more fuel-efficient cars since gas guzzlers will be taxed at the same rate as fuel sippers.
The Santelli Factor may well push Obama to avoid bailout of auto industry, Spring Hill, TN., plant
Call it The Santelli Factor, an already emerging anger among the American people for the Obama administration making things worse than better in encouraging hope among investors.
And investors are people such as you and me on Main Street, not Wall Street, trying to do the right things in running our households and providing for our retirement.
More Americans see Obama pushing the country toward socialism, and the nationalization of banks and possibly now the auto industry. That means more government spending on things other than people doing the right but difficult thing.
CNBC's Rick Santelli unleashed his passion over these factors yesterday, and now his rant is being referred to as "the shot heard around the world". He has a daily, world platform to compete with Obama.
Santelli's rationale is the stuff of revolution, our nation's revolution more than 200 years ago. And I believe Obama will be politically shy at bailing out General Motors and Chrysler for bad decisions and greed with more than $30 billion in taxpayer money.
In trying to read the political tea leaves, FOXNEWS reported yesterday that the president referred to the auto industry as needing "significant restructuring". To analysts, they believe that is a reference to the automakers needing to enter bankruptcy reorganization.
GM says it will not be able to pay employees by the end of next month.
If bankruptcy reorganization happens, GM's future could probably be be one of dissembly, with individual plants sold off to buyers at the direction of creditors. And buyers will either operate the plants with fewer workers and less wages or just take out all the machinery and remove some of the production capacity from the market.
To keep plants open, state and local governments will have to step forward to offer more tax giveaways when they can least afford it.
These are unprecedented economic times, even beyond the Great Depression because of the extent of wealth in this nation.
Expect the unexpected, particularly with GM and its Spring Hill, TN., plant.
And investors are people such as you and me on Main Street, not Wall Street, trying to do the right things in running our households and providing for our retirement.
More Americans see Obama pushing the country toward socialism, and the nationalization of banks and possibly now the auto industry. That means more government spending on things other than people doing the right but difficult thing.
CNBC's Rick Santelli unleashed his passion over these factors yesterday, and now his rant is being referred to as "the shot heard around the world". He has a daily, world platform to compete with Obama.
Santelli's rationale is the stuff of revolution, our nation's revolution more than 200 years ago. And I believe Obama will be politically shy at bailing out General Motors and Chrysler for bad decisions and greed with more than $30 billion in taxpayer money.
In trying to read the political tea leaves, FOXNEWS reported yesterday that the president referred to the auto industry as needing "significant restructuring". To analysts, they believe that is a reference to the automakers needing to enter bankruptcy reorganization.
GM says it will not be able to pay employees by the end of next month.
If bankruptcy reorganization happens, GM's future could probably be be one of dissembly, with individual plants sold off to buyers at the direction of creditors. And buyers will either operate the plants with fewer workers and less wages or just take out all the machinery and remove some of the production capacity from the market.
To keep plants open, state and local governments will have to step forward to offer more tax giveaways when they can least afford it.
These are unprecedented economic times, even beyond the Great Depression because of the extent of wealth in this nation.
Expect the unexpected, particularly with GM and its Spring Hill, TN., plant.
Santelli gaining more believers as he adds reason to his rant; the guy is a most honest analyst
CNBC's Rick Santelli has added reason to his rant yesterday and is making me and millions of other Americans believers in what he is saying about where federal aid should be going.
More Americans see a rush to socialism and away from capitalism that made this country great. And with socialism will come even more arduous taxation.
They see reward in the Obama foreclosure plan for not doing right, no encouragement of good spending and earning behavior and discipline.
They see the Obama administration pushing toward the nationalization of the country's largest banks, a responsibility taxpayers should not assume.
They question why the administration is not fully supporting the 92 percent of Americans who are paying their home mortgages on time. We need that block of people to survive and revive the economy with their spending, not more spending from government.
Santelli has shown himself in repeated interviews to be most rationale. He has thought this out. And he was one of the people that was telling people to get out of the markets last summer. I listened and did so above 13,000.
Investors from Main Street such as myself have no faith in what Obama is doing. But from listening to him for several years and now the past two days, we believe what Santelli is saying.
President Obama should listen, if he means to do what is best for this nation and not his political party and ideology.
More Americans see a rush to socialism and away from capitalism that made this country great. And with socialism will come even more arduous taxation.
They see reward in the Obama foreclosure plan for not doing right, no encouragement of good spending and earning behavior and discipline.
They see the Obama administration pushing toward the nationalization of the country's largest banks, a responsibility taxpayers should not assume.
They question why the administration is not fully supporting the 92 percent of Americans who are paying their home mortgages on time. We need that block of people to survive and revive the economy with their spending, not more spending from government.
Santelli has shown himself in repeated interviews to be most rationale. He has thought this out. And he was one of the people that was telling people to get out of the markets last summer. I listened and did so above 13,000.
Investors from Main Street such as myself have no faith in what Obama is doing. But from listening to him for several years and now the past two days, we believe what Santelli is saying.
President Obama should listen, if he means to do what is best for this nation and not his political party and ideology.
Markets preparing for large losses again; if you're still in mutal funds, it's your own fault and greed
Futures on the financial markets show large losses today for investors, as the Dow drops even closer to 7,000.
That's remarkable, considering the Dow was double that number and value a year ago. People who have stayed in the market have now lost 50 percent of the value of their holdings.
The flight to Gold resumed today, as the per ounce value of the metal approached the psychological ceiling of $1,000. It will probably crash through it for the time being.
For those people still in mutual funds, your chance to get out and save money has probably passed. I've tried to warn you repeatedly to get out and put your money in cash. But so many people, including very educated people, have declined to protect their assets.
They believe the markets are going to bounce back fast. They won't. Their financial advisers have convinced them to stay in because their profitability is geared to their assets. Greed still rules too much.
The continuing fall of the markets is going to create even more victims. This time, however, it will be their fault. Plenty of us have been warning them to get out.
That's remarkable, considering the Dow was double that number and value a year ago. People who have stayed in the market have now lost 50 percent of the value of their holdings.
The flight to Gold resumed today, as the per ounce value of the metal approached the psychological ceiling of $1,000. It will probably crash through it for the time being.
For those people still in mutual funds, your chance to get out and save money has probably passed. I've tried to warn you repeatedly to get out and put your money in cash. But so many people, including very educated people, have declined to protect their assets.
They believe the markets are going to bounce back fast. They won't. Their financial advisers have convinced them to stay in because their profitability is geared to their assets. Greed still rules too much.
The continuing fall of the markets is going to create even more victims. This time, however, it will be their fault. Plenty of us have been warning them to get out.
Thursday, February 19, 2009
For the love of Hunter: Sumner County youngster now enters last stage of serious chemo in hopes of normal life that all lovable, rascally boys deserve
Hunter doesn't like his weekly trips to Vanderbilt for chemo treatment of his leukemia.
Neither did I. Because of God, my trips are once a month now, except when circumstances demand more.
But the griping of this 6-year-old is a good sign. He is well enough to complain. His body has recovered enough for him to play outside. But he is not out of the woods ... yet.
For the past several weeks, his white cell count has not been high enough to enter his last stage of extra-ordinary chemo treatment. And mom and dad have fretted. Then, last week, after a sample of bone marrow was taken to make sure he was still in remission, his blood count quadrupled.
So yesterday morning, he was ready to enter the last, three-week stage of extensive chemo. And I was glad to be there with a few toys to cheer on this very brave youngster.
The goal, after the three weeks, is for Hunter to be on regular maintenance chemo. That will allow him to go back to school at Bethpage Elementary and pursue boyhood fully on the family farm.
Hunter hates spinal taps that get chemo to the brain, but children are put under for this treatment. Not adults.
But Hunter loves grilled shrimp, which he consumed with adult-like bites following the spinal tap yesterday.
For the next few weeks, Hunter will spending more of his time during the day on the couch, weakened from the chemo. But he knows it is an investment in feeling better for good.
And that would be a dream for his mom and dad. They've waited a long time to reach these three weeks of hope for the future.
So keep Hunter in your hopes and prayers during his last steps toward a return to full boyhood and the joys it brings.
Rick Santelli starts national movement over Obama foreclosure housing plan with heated rant
The person I follow for the best financial advice on CNBC unleashed a passionate rant this morning against the Obama housing plan to prevent foreclosures. And it has elicited a massive "amen" from the viewing public.
I got this remark from a reader:
I just started a Facebook group based on Rick's recent rant about the mortgage problem. I am very adamant about this topic.
You have to be logged in to get to the group:
http://www.facebook.com/group.php?gid=63519654812
This morning, Santelli turned to the traders at the Chicago board and yelled the question if they liked people who weren't paying their mortgages on homes they knew they couldn't afford receiving their tax money -- while they keep paying their home loans on time.
The answer was a resounding "no", and it was captured on television.
Santelli then said: "President Obama, are you listening?!
Then his rant became a movement, even with a button of "Rick Santelli for Senate". NBC News reported tonight that 92 percent of Americans pay their mortgages on time.
What do you think? I don't know if I fully agree with Santelli's rant. But if he finds some problem with the rescue plan and principles behind it of rewarding bad behavior, then something must be wrong.
The guy is that honest.
I got this remark from a reader:
I just started a Facebook group based on Rick's recent rant about the mortgage problem. I am very adamant about this topic.
You have to be logged in to get to the group:
http://www.facebook.com/group.php?gid=63519654812
This morning, Santelli turned to the traders at the Chicago board and yelled the question if they liked people who weren't paying their mortgages on homes they knew they couldn't afford receiving their tax money -- while they keep paying their home loans on time.
The answer was a resounding "no", and it was captured on television.
Santelli then said: "President Obama, are you listening?!
Then his rant became a movement, even with a button of "Rick Santelli for Senate". NBC News reported tonight that 92 percent of Americans pay their mortgages on time.
What do you think? I don't know if I fully agree with Santelli's rant. But if he finds some problem with the rescue plan and principles behind it of rewarding bad behavior, then something must be wrong.
The guy is that honest.
Stock market crashes through 7,500 floor on the way to much lower levels for the long term
The Dow Jones Industrial Average fell to its lowest point since 2002 and through the critical floor of 7,500 on its way to a correction toward or below the 6,000-point mark.
The mood on Wall Street and among investors across the country is nasty and fearful. And there is no confidence in the Obama administration, which one analyst on CNBC -- who predicted the markets' great fall -- said was implementing a piecemeal approach instead of addressing the entire picture.
Banks do not know which of their holdings will be held as bad assets by the federal government.
Retailers with declining consumer spending are no longer a safe haven for investors.
The price of oil rebounded by almost $5 a barrel today, which will mean higher prices at the pump.
A correction of another 15 percent in investor holdings in the stock market is now generally agreed upon by analysts.
This rapid fall in America's wealth continues to astound, along with the lack of leadership to address it.
The mood on Wall Street and among investors across the country is nasty and fearful. And there is no confidence in the Obama administration, which one analyst on CNBC -- who predicted the markets' great fall -- said was implementing a piecemeal approach instead of addressing the entire picture.
Banks do not know which of their holdings will be held as bad assets by the federal government.
Retailers with declining consumer spending are no longer a safe haven for investors.
The price of oil rebounded by almost $5 a barrel today, which will mean higher prices at the pump.
A correction of another 15 percent in investor holdings in the stock market is now generally agreed upon by analysts.
This rapid fall in America's wealth continues to astound, along with the lack of leadership to address it.
Bredesen appears the loser in HHS secretary bid
Way to go, Tony Garr!
The New York Times reports that the governor of Kansas, Kathleen Sebelius, is now the probable choice to head the U.S. Department of Health and Human Services.
Her choice would officially end the political career of Gov. Phil Bredesen, who was depending on the Cabinet job to give him a political future. Now in a strongly leaning GOP state, he will be nowhere soon after leaving the statehouse in early 2011Bredesen also will not be able to avoid destructive budget cuts that will reduce his popularity the next two years.
Give credit to Tony Garr of the Tennessee Health Care Campaign for sounding the alarm and building national opposition to Bredesen's appointment. Garr simply pointed out the truth -- Bredesen's TennCare cuts with an ax resulted in the deaths of Tennesseans.
I know. I covered these cases. Thank goodness President Obama listened.
And the governor of Kansas, an early supporter of him, will be much easier for the president to stomach since Bredesen told then then candidate Obama not to come to Tennessee to campaign and to stand in Walmart to meet real people.
The New York Times reports that the governor of Kansas, Kathleen Sebelius, is now the probable choice to head the U.S. Department of Health and Human Services.
Her choice would officially end the political career of Gov. Phil Bredesen, who was depending on the Cabinet job to give him a political future. Now in a strongly leaning GOP state, he will be nowhere soon after leaving the statehouse in early 2011Bredesen also will not be able to avoid destructive budget cuts that will reduce his popularity the next two years.
Give credit to Tony Garr of the Tennessee Health Care Campaign for sounding the alarm and building national opposition to Bredesen's appointment. Garr simply pointed out the truth -- Bredesen's TennCare cuts with an ax resulted in the deaths of Tennesseans.
I know. I covered these cases. Thank goodness President Obama listened.
And the governor of Kansas, an early supporter of him, will be much easier for the president to stomach since Bredesen told then then candidate Obama not to come to Tennessee to campaign and to stand in Walmart to meet real people.
Obama's housing plan meets skeptical investors
The Obama plan to begin to rescue hurting homeowners seemed sound, but he has used up all confidence from investors across the country as they refused to put their money back into the financial markets yesterday.
The administration has wasted two critical opportunities to bring hope to investors, who are desperately needed to return hopes and wealth to this nation. But the economic stimulus and Secretary Geithner's fumbling performance on bank rescue have destroyed administration credibility among investors -- including me.
The flight to gold is indicative of that.
The Obama plan will provide about $1,600 per family to help keep them from losing their homes. That's a good step. But that help will be impacted when local counties are forced to raise property taxes due to state budget cuts.
People aren't buying. So sales tax collections have plummeted.
As the Federal Reserve minutes of their last meeting show, they believe the economy will continue to worsen until the end of 2009. Then the governors expect a slow recovery. Unfortunately, that is just one opinion. No one really knows how low things will go with things before recovery, and how quickly.
That's why investors see any Obama plan as shooting in the dark ... and one they are unwiling to put their money behind.
The administration has wasted two critical opportunities to bring hope to investors, who are desperately needed to return hopes and wealth to this nation. But the economic stimulus and Secretary Geithner's fumbling performance on bank rescue have destroyed administration credibility among investors -- including me.
The flight to gold is indicative of that.
The Obama plan will provide about $1,600 per family to help keep them from losing their homes. That's a good step. But that help will be impacted when local counties are forced to raise property taxes due to state budget cuts.
People aren't buying. So sales tax collections have plummeted.
As the Federal Reserve minutes of their last meeting show, they believe the economy will continue to worsen until the end of 2009. Then the governors expect a slow recovery. Unfortunately, that is just one opinion. No one really knows how low things will go with things before recovery, and how quickly.
That's why investors see any Obama plan as shooting in the dark ... and one they are unwiling to put their money behind.
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