“Imagine Bush as a drunken sailor in port for the first time in a year. He goes into a casino in Atlantic City, sits down at a thousand-dollar-a-hand blackjack table, and promptly loses a million dollars. Obama comes in as Bush’s replacement, and the casino seats him in Bush’s old chair. While bemoaning the situation, Obama tells us we must end this failed policy by moving up to the ten-thousand-a-hand table and doubling down. Of course, this makes no sense whatsoever, and the sane person would quickly back away. But sanity appears not to be present anywhere in Washington these days.” – Paul A. Cleveland
by Ron Paul
“Removing governmental power to manipulate money, removes the temptation for government to spend, print and cheat. Sound money ensures that our government’s spending priorities would be brought into sharp focus and reduced to only what we can afford.” more…
by John Stossel
“In a free market, prices do more than tell us what we have to pay for things. They are messages emitted by an intricate communications system that inform us of the relative scarcity of resources, labor and consumer goods, and the relative intensity of consumer demand. Thanks to prices, we can tell producers how we rank our preferences, and they in turn can arrange production according to our priorities. Without prices, economic coordination is impossible, which is why attempts at state planning produce, in Ludwig von Mises’ words, ‘planned chaos.'” more…
by Steve Huntley
“Its budget meltdown has California taking a look at legalizing marijuana as a means to revive its depleted treasury. But common sense, not economic need, should persuade Americans it’s past time for a sober look at our mad ‘reefer madness’ laws.” more…
by Ron Paul
“Imagine for a moment that somewhere in the middle of Texas there was a large foreign military base, say Chinese or Russian. Imagine that thousands of armed foreign troops were constantly patrolling American streets in military vehicles. Imagine they were here under the auspices of ‘keeping us safe’ or ‘promoting democracy’ or ‘protecting their strategic interests.'” more…
In the news…
- The Bank of England is going to being “quantitative easing”. That’s code for printing money to buy government or private debt. In this case they are buying both government and corporate bonds. I found this last Friday, but it’s too big a deal to let pass.
- Las Vegas is hurting…
- New Mexico has a 10th Amendment resolution.
- Congress has passed and Obama has signed into law $410 billion spending bill.
- It’s a couple weeks old, but here’s a nice article about some of the mathematics behind the “credit crisis”.
- John Stossel will be doing a special on 20/20 tonight called “Bailouts and Bull”. It starts at 10 PM Eastern. If you miss it the second link will take you to video. Thanks for the tip Lee.
- Well put together description of what triggered this economic mess. IMHO the underlying causes go far beyond this, however.
And now the numbers…
DOW Jones Industrials – 7,223.98 (+597.04/9.01%)
Wilshire 5000 – 7,675.94 (+740.56/10.68%)
CSI 300 (China) – 2,205.42 (-81.16/-3.55%)
BSE 500 (India) – 3,161.33 (+123.49/4.07%)
MICEX (Russia) – 749.29 (+60.42/8.77%)
BOVESPA (Brazil) – 39,015.37 (+1,910.28/5.15%)
Gold/oz – 930.10 (-11.90/-1.26%)
Silver/oz – 13.21 (-0.125/-0.94%)
Copper/lb – 1.66 (-0.029/-1.72%)
Oil/bbl (Brent) – 44.93 (+0.08/0.18%)
Wheat/bu (CBT) – 5.1825 (-0.0875/-1.66%)
Corn/bu – 3.885 (+0.27/7.47%)
Dollar/Euro – 1.2927 (+0.0275/2.17%)
Yuan/Dollar – 6.8333 (-0.0067/-0.10%)
Yen/Dollar – 97.97 (-0.30/-0.31%)
Dollar/Real – 0.4348 (+0.0158/3.77%)
3 Month Treasury – 0.19 (-0.01/-5.00%)
2 Year Treasury – 0.96 (+0.01/1.05%)
10 Year Treasury – 2.89 (+0.02/0.70%)
30 Year Treasury – 3.67 (+0.12/3.38%)
Fed Target Rate – 0.25 (UNCHG)
U.S. Public Debt – 10,983,549,928,728.69 (+30,515,517,208.50/0.28%)
Baltic Dry Index (BDIY:IND) – 2122.00 (-103.00/-4.63%)
Have you noticed the increasing use of the word tsar, tzar, or czar? A tsar is an emperor. Emperors are dictators. Do we really want tsars in the United States? Do we really want to bow down to an Imperial Federal Government? Words have meanings. Let’s not lose them.
The national debt should top $11 trillion next week. Most likely anyway…
And that’s it for this week. Short and sweet! Have a great weekend!