Replies to post #6592 on CHARTS_CCI_SYSTEM

[snootmagruder]

GDL, I think you're missing Foots first sentence, he said new home prices are topped out, they're at 2005-6 levels already- fully blown back up. For the rest of what you said, we'll see if there were any smoke and mirrors being used to make everything look rosey soon enough. The banks good earnings recently are totally from QE as the Fed bought up all the junk.

[snootmagruder]

gdl, I have to add more comments here. We're running a yearly deficit of like 650 billion or more that is unsustainable and with the debt ceiling again coming up the repubs will be looking for more cuts. That's on top of a trillion from the feds with QE that's unsustainable also. With the 1.65 trillion in borrowed money going into the economy now and it's just barely moving and looks like in fact it's starting to pull back. The corporate profits have been pumped up thru the financial sector with the trillions in QE, without it the S & P would probably be 20% or more lower. We're at 90% of GDP in debt that is pushing the limit already. On top of all this, China, Japan and the Eurozone are all bugs looking for a windshield that any one of them would drag the rest down.

[Footquarters]

You said "Today there is nothing on the economic front to suggest a major slow down is happening."


Uh, Barclay, Goldman Sacs and Bank of America have downgraded the Quarter 2 GDP to .8% cutting the growth projection in half. So you need to take a look at something other than left wing propaganda blogs. Employment at 1979 levels. Ever wonder why BO is coming out this week with his economic speeches? That's because things are so good? LOL - nope, he is going about before the GDP number comes out to tell the media how to propagandize this issue.