What I’m Watching This Week – 19 February 2013

Sequester = Correction

The economic data continues to be generally positive across most sectors except manufacturing and industrial production, where it remains weak but improving.  To the Doom and Gloom crowd that’s confirmation that the sky is falling.  Apologies to those in Russia, where the sky actually did kind of fall unexpectedly when that little meteor slipped under the radar (brilliant YouTube videos are there for those who missed it).  The U.S. markets added a seventh consecutive week of gains overall, although the Dow Jones and NASDAQ dipped slightly from uninspiring trading situations.  Initial jobless claims continue to record lower than forecast, and January retail sales were slightly positive. Housing inventory is down 16% year over year and also showing higher prices in many states across the Nation.  I won’t call it as continued bouncing along the bottom, but optimism right now increases the plausibility that we are on the verge of a nice uptick. The Global markets ended the week mixed, with Germany showing some continuing weakness, which humbled the other European countries ability to perform.  The markets are looking a bit exhausted but the pullback I had expected hasn’t arrived yet, which is a remarkable circumstance.  I do expect it to arrive and I have a feeling that our sincere politicians are about to lend a hand towards more than just a 3% pullback.

I was mad the other evening when my friend’s dog passed gas in my living room and stunk up the whole house.  My buddy admitted that his dog is actually a U.S. politician. Like them, he’s expert at fouling up the place.  The sad reality is that we get the government we deserve.   The Sequester is coming.  The elected mongrels voted to go into recess until February 25th; the Sequestration is to begin on the 1st of March.  If you’re expecting another eleventh hour reprieve from self-destruction, might as well stop now.  For all the positive attributes we have experienced this year, I’m convinced that these clowns are so entranced in their sophomoric visions, that they could largely care less what happens to the economy as a whole.  It’s about appealing to the narrowest, most ignorant, myopic electoral base they can, as proof that, they too have manure for brains and that no acknowledgement of responsibility needs to be taken to avoid our ruin.  The only people who can clean this house are those that want to clean house and the only way to do that is to vote out the idiots and destroy their good old boy network of organized crime.  It does no good to replace one piece of excrement with another.

I am optimistic in the market’s ability to recover from the utter absurdity of our elected morons.  Optimistic that the real acumen is held not in Washington D.C. but with the voting electorate.; they go to work day in and day out, striving for a better life for themselves and their families.  There’s no need for them to appease the Neanderthal Collective that piles lobbying cash and favors on the desks of our elected miscreants.  What Washington needs is an old-fashioned, medieval walloping.  A pox on all of their houses, I don’t discriminate, I’m an equal opportunity hater right now.  I believe in the American public, that’s what continues my optimism.