From Tuesday evening with Larry Kudlow:
"Grow the economy" and "avoid the debt bomb" eh?
Listen to Gingrich. And listen to Kudlow: "growth, a strong stock market and budget surpluses."
During Gingrich's time, was there growth or was it all faked through more and more debt?
What do the facts tell you?
There was no actual growth. That "growth" was scammed via more and more borrowing. All through the 1980s and 1990s, and then through the 2000s.
There was no "economic boom" under Reagan. It was a lie and a scam. We hit the wall in 2007 but the fact of the matter is that 2007 wasn't where it started, it was simply when we ran out of suckers.
Gingrich is a damned liar and if these are our options it's time to head for the bunker and close the door, because we're headed for Zombieland, and this is coming from a guy who gave Gingrich quite a bit of money and once had one of his "Speaker's Gavels" on his credenza (since burned as an act of protest and effigy aimed at Gingrich and the fraud he represents.)
This morning we're seeing a nice ramp job in the futures; do not be deceived. Only a small part of it is earnings - most of it is right here:
That's a 1% decline in the dollar (approximately), which is echoing right back into the markets, fueling (among other things) a parabolic blow-off in silver.
The problem is that the move upward in the dollar now looks like a bounce off the bottom from 2008. If you recall what set off my crash alarms originally in 2007 and early 08 was the ridiculous decline in the dollar and the impact of that in the economy (especially in energy prices.) Now we're doing it again; we've blown the 2009 lows and headed for the 2008 all time lows, and below that point there is no floor.
To add to the mess there are persistent rumors that Bernanke is selling PUTs on Greek debt! I can't attach credibility to this sort of claim but there are people in the market that believe it. That's an act that, if true, is so beyond the boundary of lawful activity under The Federal Reserve Act that I wouldn't believe it for a second had we not learned that they did exactly that on Treasuries over Y2k. The problem with such games is not just the obvious liability being taken by The Fed but belonging to Treasury and thus the taxpayer, but rather the utter destruction of credibility that The Fed has suffered if people are simply contemplating that they are or would do such a thing.
Will the monetary clowncar pull system liquidity and prevent a monetary "accident" and the destruction of our nation, political and currency system? I'm beginning to doubt it, and at the point that I believe they're not going to do it is the point where I set Tickercon 1.
Here's Cavuto's view - he's spot-on. If there's any hope at all for this nation, it's when the media starts talking sense. Mr. Cavuto is the first person I've heard do so.
Where We Are, Where We're Heading (2013) - The annual 2013 Ticker
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