One of the things one learns when the market turns nasty as it has people start jumping on the we-knew-it bandwagon. Here's a quote from one site.
Monday was the third straight day of losses for the major stock indexes, and the second time in three days that the Dow fell more than 200 points while the S&P 500 just had its worst three-day plunge since November 2011.
Those for sure are facts, but the implied message is look out below. Now we're not suggesting "look out below" is incorrect. It might be spot on. But our sense is a rally is coming that will sooth some nerves, especially those of the Fed, because a weak stock market coupled with a disappointing housing market can't be good news for those folks.
After all, they've put so much into creating this paper asset charade what would such a double whammy do to their already questionable reputation? Despite all the MSM Fed worshipers, a declining set of believers is not what they seek. And you can bet with an upcoming election there are some nervous politicos also out there.
A declining equities market raising fears of another recession isn't what incumbents running for re-election want to see on the November menu. It would also deal a huge blow to all the Keynesian worshipers who love to publish chats like this one from Business Insiders, a leftist outfit masquerading as a pro-business publication.
http://www.businessinsider.com/brookings-fiscal-impact-on-the-economy-2014-10?
The implication here and the reference to the Yellen speeches is that more government spending is necessary to bring back the past good times and make them more permanent. But here's another look that puts the lie to this Keynesian myth most economists spread around today.
http://theeconomiccollapseblog.com/archives/12-charts-that-show-the-permanent-damage-that-has-been-done-to-the-u-s-economy
A brief disclaimer. Because we singled out Business Insider for what it is doesn't mean we think their opposition is any better when it comes to the truth.
A declining equities market raising fears of another recession isn't what incumbents running for re-election want to see on the November menu. It would also deal a huge blow to all the Keynesian worshipers who love to publish chats like this one from Business Insiders, a leftist outfit masquerading as a pro-business publication.
http://www.businessinsider.com/brookings-fiscal-impact-on-the-economy-2014-10?
The implication here and the reference to the Yellen speeches is that more government spending is necessary to bring back the past good times and make them more permanent. But here's another look that puts the lie to this Keynesian myth most economists spread around today.
http://theeconomiccollapseblog.com/archives/12-charts-that-show-the-permanent-damage-that-has-been-done-to-the-u-s-economy
A brief disclaimer. Because we singled out Business Insider for what it is doesn't mean we think their opposition is any better when it comes to the truth.
No comments:
Post a Comment