obama

Obama and Geithner’s Insidious Plan to Hand the Entire Housing Industry Over to the Banks

Filed in Gold, Gold Spot Market, o, obama by on February 20, 2011 0 Comments

‘A most dastardly deed occurred last Friday when the Obama administration issued a 29-page policy statement totally abandoning the federal government’s time-honored role in helping Americans achieve the goal of homeownership. Instead of punishing t…

Continue Reading »

Market Week Wrap-up

– Leading global equity indices continued floating upwards this week while the inflation drumbeat just kept getting louder. In the US, the January y/y CPI figure hit +1.6%, its highest level since last spring, and some analysts were alarmed by higher food prices creeping into CPI data sooner than expected. China’s January CPI report was lower than expected at +4.9% y/y, but markets panned the figures as heavily massaged by basket revisions. In the UK, the BoE said CPI would likely continue growing at a 4-5% clip over the short term. The World Bank released a report indicating that food prices were up 15% since October 2010 and are now only 3% away from record highs hit in 2008. Commodities moves complicated the story somewhat. While silver has pushed out to 30-year highs, there were signs that inflated soft commodity prices were beginning to unwind, with cotton and grain prices both below recent highs. Crude and gold prices have been impacted by reports that Iran is sending warships through the Suez Canal and bloody protests in Bahrain (next door to Saudi Arabia), although WTI futures were well below recent highs seen in early February. The Obama Administration unveiled its $3.73T budget proposal for 2012, including an all-time high deficit of $1.65T, reflecting the tax-cut agreement reached with Republicans in December. For 2012, the administration sees the imbalance declining to $1.1T, giving the country a record four straight years of one trillion-plus deficits. Bond prices held steady after the details were released, and Congress sharpened its knives for a budget fight. The Feb Empire Manufacturing survey hit its highest level since last June, indicating that the US manufacturing expansion seen over the last several months is continuing. On Friday there was plenty of commentary out of the G20 conference, where leaders tried mightily to achieve some concrete steps in reforming the global monetary system. Fed Chairman Bernanke took a swipe at the Chinese in his policy address to the G20, warning that nations which keep currency values low create imbalances, while the PBoC’s Zhou continued to push for a higher profile for the IMF’s Special Drawing Rights (SDRs). For the week, the DJIA rose 1.0%, the Nasdaq gained 0.9% and the S&P500 was up 1.0%. – John Deere crushed earnings and revenue targets in its Q1 report and nearly doubled its guidance for FY11 equipment sales. The firm hiked its sales guidance for its key agriculture and construction units as well, and said its Q2 revenue would blow out consensus estimates. Later in the week Caterpillar released very favorable dealer metrics for the month of January, with North America machinery sales up a whopping 58% y/y in the month. – Iron ore miner Cliffs Natural Resources reported very strong Q4 profits on a big y/y gain in iron ore pricing. The company expects global steel production to continue to grow in 2011, although it warned that spot iron ore prices are unsustainably high. Reliance Steel also blew out earnings estimates, and said pricing would remain strong at least through the first quarter of 2011. – In tech, Dell’s profit was way ahead of the consensus in its Q4 report, thanks to a big improvement in margins. The company said it believes the corporate IT…

Continue Reading »

The 10 Year $1.5 Trillion Tax Hike

Filed in AMAG, BP, dividend, Gold Market, o, obama, revenue, target, ubs, Uncategorized by on February 14, 2011 0 Comments

While our goal with this blog isn’t to bash the government, we do want to point out what’s likely to impact the markets, small businesses, and families across the country. The US government plays a substantial role in what happens on Wall Street… every single day. ————— The new Obama budget basically shoves a 10 year, $1.5 trillion tax hike down our throats. So much for that “No family making less than $250,000 a year will see any form of tax increase” promise . As pointed out by Americans for Tax Reform, here’s what we can look forward to: “President Obama released his budget this morning. Rather than focusing on Washington’s over-spending problem, the budget calls for higher taxes on families and small businesses to pay for even more government spending. Under the Obama budget, tax revenues will grow from 14.4% of GDP in 2011 to 20% of GDP in 2021. By comparison, the historical average is only 18% of GDP. Tax hike lowlights include: Raising the top marginal income tax rate (at which a majority of small business profits face taxation) from 35% to 39.6%. This is a $709 billion/10 year tax hike Raising the capital gains and dividends rate from 15% to 20% Raising the death tax rate from 35% to 45% and lowering the death tax exemption amount from $5 million ($10 million for couples) to $3.5 million. This is a $98 billion/ten year tax hike Capping the value of itemized deductions at the 28% bracket rate. This will effectively cut tax deductions for mortgage interest, charitable contributions, property taxes, state and local income or sales taxes, out-of-pocket medical expenses, and unreimbursed employee business expenses. A new means-tested phaseout of itemized deductions limits them even more. This is a $321 billion/ten year tax hike New bank taxes totaling $33 billion over ten years New international corporate tax hikes totaling $129 billion over ten years New life insurance company taxes totaling $14 billion over ten years Massive new taxes on energy, including LIFO repeal, Superfund, domestic energy manufacturing, and many others totaling $120 billion over ten years Increasing unemployment payroll taxes by $15 billion over ten years Taxing management capital gains in an investment partnership (“carried interest”) as ordinary income. This is a tax hike of $15 billion over ten years A giveaway to the trial lawyers—not letting companies deduct the cost of punitive damages from a lawsuit settlement. This is a tax hike of $300 million over ten years Increasing tax penalties, information reporting, and IRS information sharing. This is a ten-year tax hike of $20 billion. You can read more here. The 10 Year $1.5 Trillion Tax Hike originally appeared in Wealth Daily . Wealth Daily is a free daily newsletter featuring contrarian investment insights and commentary.

Continue Reading »

An Egyptian Firebrand Away from $400 Oil

Investors are remarkably sanguine about the events in Tunisia and Egypt… Oil actually fell yesterday to $88.27. The Dow has been on a hot streak and is up again today — as it has been for months — to 12,149. History suggests events in the Middle East go from bad to worse. According to the Democracy Index put out by The Economist , there are no “established democracies” in the region. Israel is listed as a “flawed democracy.” Lebanon and Turkey were listed as “hybrid regime,” along with Palestinian territories, Pakistan, Armenia, and Iraq (Lebanon is now run by Hezbollah). The rest are categorized as “authoritarian regimes.” The last free vote saw Hamas sweep the Palestinian elections in 2006. Hamas started as an offshoot of the Muslim Brotherhood in Egypt. On gaining power, they started lobbing rockets into Israel. In 2007, the Battle of Gaza was fought between Hamas and the Palestinian security forces. Hamas is listed as a terrorist organization in most G-20 countries. In the aftermath, Israel and a Hosni Mubarak-ruled Egypt imposed an economic blockade on Gaza that is still in effect. Population and scarcity Jack Andrew Goldstone points out in his book, Revolution and Rebellion in the Early Modern World , that all revolutions from the French to the Russian, from China to Japan, occur where there is a rising population and diminishing resources coupled with an inflexible ruling party. (Note: The population in Russian doubled between 1850 and 1913.) Today, the Arab world has the fastest growing population on earth— and the youngest. In Yemen, the average age is 17.9 years with a birth replacement rate of 2.71, which puts it at number 23 in the world. The United Arab Emirates is in fourth place with 3.56, Kuwait is fifth with 3.50, the Gaza strip is six with 3.29. Libya, Chad, Egypt, Oman, Syria, and Iraq all make the top quintile. These young people will be the next rulers of the largest oil-producing region within the next ten years — mostly because all of the current leaders are in their 80s… with the exception of Qaddafi…

Continue Reading »

Weekend: Tomorrow’s News Today

Welcome to the Wealth Daily Weekend Edition— our insights from the week in investing and links to our most-read Wealth Daily and sister publication articles. As the markets continue to feed the bulls with yet another push to the upside, it’s but a sideshow to the world’s entrepreneurs. Deaf to market chatter, they simply go about their work as the talking heads on CNBC like Cramer and Maria take it all into overdrive. And while the markets matter in the grand scheme of things, to the truly creative types, it only provides a faint background noise. Instead, they are busy doing what they have always done: pushing their dreams down the unknown road. As always, the ascent of man reaches for a higher place. That’s why the future is so hard to predict. Innovation alters the world in ways we don’t always expect. So what can we look forward to over the course of the next five years? Advertisement The Biggest Investment of the 21stCentury It’s called the smart grid… and it’s about to revolutionize the way we use our electricity. GE and Google have already committed billions to this technology… But a handful of “super-ups” are poised to dominate this $297 billion/year industry… Get their names and ticker symbols here. According to IBM’s (NYSE: IBM ) latest “Five in Five,” technology will change people’s lives in the following ways… 1. You’ll beam up your friends in 3D. In the next five years, 3D interfaces (like those in the movies) will let you interact with 3D holograms of your friends in real time. Movies and TVs are already moving to 3D, and as 3D and holographic cameras get more sophisticated and miniaturized to fit into cell phones, you will be able to interact with photos, browse the Web, and chat with your friends in entirely new ways. 2. Batteries will breathe air to power our devices. In the next five years, scientific advances in transistors and battery technology will allow your devices to last about 10 times longer than they do today. And better yet, in some cases, …

Continue Reading »

The Great American Snooze Button

The Great American Snooze Button

I’ve been known to hit the snooze button on occasion. My long-suffering editor can attest to that. Just ten more minutes, then I’ll… Imagine if each press of the snooze button made the next BEEP-BEEP-BEEP happen a little bit sooner than the last. Eventually, you wouldn’t be able to sleep at all. Time to either wake up or smash the alarm clock. America has been hitting the fiscal snooze button for the last 30 years. The alarm is getting shriller these days, and it beeps more often than it used to. So, what’s the plan? In essence: smash that stupid alarm clock to bits and worry about consequences later. Social Security, and pensions, and Medicare, oh shit my! In 2011, Social Security will pay out $130 billion more in benefits than it collects in revenue. The program’s deficit this year would have been a paltry $45b, if not for Obama’s one-year deal lowering SS payroll deductions from 6.2% to 4.2%… The CBO admits the system will be completely drained by 2037. But even their own analysts don’t buy that, as reported by the Christian Science Monitor . By the way, did America really enact a tax break that lasts one year ? Yes, we did. The social security payroll tax cut is a 12-month deal— for now. Short-sightedness is at all-time highs in D.C. Now don’t get …

Continue Reading »

How Would You Grade President Obama’s State of the Union Speech?

Filed in gld, Gold Spot Market, o, obama, sov by on January 26, 2011 0 Comments

The president called this time “our generation’s Sputnik moment.” “Half a century ago, when the Soviets beat us into space with the launch of a satellite called Sputnik¸ we had no idea how we’d beat them to the moon…” Obama said. “But after investing in better research and education, we didn’t just surpass the Soviets; we unleashed a wave of innovation that created new industries and millions of new jobs.” Were you inspired?

Continue Reading »

Obama’s TSA pat-downs joke infuriates ACLU

Filed in gld, Gold, Gold Spot Market, o, obama by on January 26, 2011 0 Comments

During his third State of the Union address Tuesday night, President Barack Obama cracked a joke about TSA pat-downs – and earned an immediate rebuke from the ACLU.

Continue Reading »

The Only Biotech Stock to Own for 2011

Filed in BP, Gold, Gold Market, o, obama, target by on January 25, 2011 0 Comments
The Only Biotech Stock to Own for 2011

Take a look at the following chart: Last week, my favorite biotech stock— Anavex (AVXL-OTCBB) — made a two-and-a-half year high, reaching an intra-day high of $4.75. Readers who’ve followed my advice are sitting on at least a 50% gain… in most cases, even more. I’ve been urging (heck, I’ve been begging) readers to get a position in Anavex before it’s too late. Well my friend, that train is starting to leave the station, as Anavex has been on the receiving end of two excellent developments since the start of the year. ~~SIGNUP_WD~~ The first came as Obama signed into law the National Alzheimer’s Project Act (NAPA) . NAPA creates, for the first time, a coordinated national strategy to confront one of America’s most feared and costly diseases— a disease that will only plague more baby boomers as they age. Given the scale of the Alzheimer epidemic and the growing number of Americans directly affected every single day, NAPA will provide an essential framework within the government that recognizes the Alzheimer crisis is no longer emerging… but is here. Alzheimer’s — or the Grey Plague, as we’ve dubbed it — is a disease with no known cure. Robbed of memory, those who contract it die a slow and agonizing death while loved ones watch in horror. Each year the numbers of lives destroyed by it grow. And it’s easy to see why… The United States has a rapidly aging population. An estimated 7,000 boomers will turn 65 each day in 2011. Think about that for a minute… The current costs associated with AD are well into the billions. It’s no big surprise, then, that Alzheimer’s looms large on the radar screens of the major biotech companies. It’s a giant— and growing — market. One which is attracting more and more money in search of a cure. Anavex, just now entering Phase I, is in a unique position to attract the attention of the entire industry. In fact, it’s already started to do just that… You see, the second big development for Anavex came earlier in January when Alzheimer’s Weekly named ANAVEX 2-73 the promising clinical trial for 2011. According to the press release: Hoboken, NJ – January 6, 2011 — Anavex Life Sciences Corp. (“Anavex”, AVXL:OB) announced today that ANAVEX 2-73 has been named 2010’s “most promising trial drug” by the editorial staff at Alzheimer’s Weekly. The publication selected the ANAVEX 2-73 trial from a field of over 100 trials that treat dementias such as Alzheimer’s and following the review of more than 10,000 articles. Staffers and clinical experts of Alzheimer’s Weekly said that Anavex stands out when scrutinized against their key criteria for potential treatments, including small molecule drugs, oral bioavailability, possibility for disease modification, targeting multiple pathways, near-term availability and entering human trials. “It is extremely rewarding for our team to receive such significant and independent third-party recognition for ANAVEX 2-73 and our unique approach in Alzheimer’s disease,…

Continue Reading »

Ventura Strikes Back with Lawsuit Against TSA

Filed in CBS, EPS, gld, Gold, lead, Lear, o, obama, Travelers, ubs, wal-mart by on January 25, 2011 0 Comments
Ventura Strikes Back with Lawsuit Against TSA

The Inside Story from Alex Jones About the Former Governor’s Humiliating Pat-Down Experiences that Included ‘Touching, Gripping & Rubbing of the Genitals’ at the Hands of TSA Alex Jones & Aaron Dykes Infowars.com January 25, 2011 Former Governor Jesse Ventura has taken steps to sue the TSA and the Department of Homeland Security in a lawsuit that will take on invasive airport pat-downs. Former Governor Jesse Ventura has taken steps to sue the TSA and the Department of Homeland Security , naming their chiefs John Pistole and ‘Big Sis’ Janet Napolitano in a lawsuit that will take on invasive airport pat-downs . Ventura first told Alex Jones of his intent to sue the TSA privately back in September while traveling for the making of TruTV’s “Conspiracy Theory,” expressing grave concern about what he viewed as his country’s transformation into East Germany. Jones recalls Ventura’s outrage at the TSA’s harassing old people in wheelchairs with the invasive new pat-down procedures. The former governor himself is routinely sent to secondary screening due to a hip replacement in 2008, and Jones witnessed him undergo repeated humiliating searches during pat-downs at the hands of TSA. Worse, at airports across the country, even those presenting medical cards describing special needs or equipment from a doctor are routinely ignored as TSA agents demand that medical patients remove urostomy bags , prosthetic breasts or that TSA be allowed to grope a pacemaker patients’ breasts . “That’s why I want to leave the United States,” Ventura then told Jones. “This is why I go down to Mexico– this is wrong.” Ventura indicated that he was most concerned about the destruction of the 4th Amendment and passing of the America he once knew. Ventura filed his lawsuit Monday, January 24, 2011 in Minnesota and news reports have named David Olsen as his lawyer. The former governor has indicated that his suit will include violations of the Americans with Disabilities Act and the 4th Amendment , arguing that he and others with disabilities have been discriminated against and …

Continue Reading »

Faceoff! States tell feds to back down

Filed in gld, Gold, Gold Spot Market, o, obama by on January 25, 2011 0 Comments

8 already considering plans simply to ignore Obama’s health-care takeover

Continue Reading »