STOCK MARKET WATCH, Thursday, January 13, 2011

[Demeter]

Source: DU


STOCK MARKET WATCH, Thursday, January 13, 2011

AT THE CLOSING BELL ON January 12, 2011

Dow 11,755.44 +83.56 (+0.72%)
Nasdaq 2,737.33 20.50 0.75%
S&P 500 1,285.96 11.48 0.90%
10-Yr Bond... 3.3550%




Market Conditions During Trading Hours


Euro, Yen, Loonie, Silver and Gold

Handy Links - Market Data and News:
Economic Calendar Marketwatch Data Bloomberg Economic News Yahoo! Finance Google Finance Bank Tracker
Credit Union Tracker Daily Job Cuts

Handy Links - Economic Blogs:

The Big Picture Financial Sense Calculated Risk Naked Capitalism Credit Writedowns
Brad DeLong Bonddad Atrios goldmansachs666 The Stand-Up Economist

Handy Links - Government Issues:

LegitGov Open Government Earmark Database USA spending.gov

Handy Links - Videos:

The Coming Collapse of the Middle Class Charlie Rose talks with Roubini Charlie Rose talks with Krugman
William Black: This Economic Disaster Bill Moyers with Kevin Drum and David Corn

Bush Administration Officials Convicted = 2
Names: David Safavian, James Fondren
Dishonorable Mention: former House majority leader, Tom DeLay

Bush Administration Officials Charged = 1
Name(s): Richard Lopez Razo

Financial Sector Officials Convicted since 1/20/09 = 11







This thread contains opinions and observations. Individuals may post their experiences, inferences and opinions on this thread. However, it should not be construed as advice. It is unethical (and probably illegal) for financial recommendations to be given here.

Read more: du

No link yet.

---

(Don't know what happened, but the show must go on!--Demeter)

[xchrom]

1. thanks demeter! i've been itching for this to start today. recommend. nt

[DemReadingDU]

11. ditto!

[xchrom]

2. unemployment

http://www.dol.gov/opa/media/press/eta/ui/eta20110023.htm

UNEMPLOYMENT INSURANCE WEEKLY CLAIMS REPORT

SEASONALLY ADJUSTED DATA

In the week ending Jan. 8, the advance figure for seasonally adjusted initial claims was 445,000, an increase of 35,000 from the previous week's revised figure of 410,000. The 4-week moving average was 416,500, an increase of 5,500 from the previous week's revised average of 411,000.

The advance seasonally adjusted insured unemployment rate was 3.1 percent for the week ending Jan. 1, a decrease of 0.2 percentage point from the prior week's unrevised rate of 3.3 percent.

The advance number for seasonally adjusted insured unemployment during the week ending Jan. 1 was 3,879,000, a decrease of 248,000 from the preceding week's revised level of 4,127,000. The 4-week moving average was 4,056,500, a decrease of 72,000 from the preceding week's revised average of 4,128,500.

[DemReadingDU]

16. Karl Denninger's analysis

edit to add this paragraph from the DOL report

The advance number of actual initial claims under state programs, unadjusted, totaled 770,413 in the week ending Jan. 8, an increase of 191,686 from the previous week. There were 815,593 initial claims in the comparable week in 2010.
http://www.dol.gov/opa/media/press/eta/ui/current.htm

1/13/11 Karl Denninger...

770,000?! Holy crap.

Now here's reality folks - I said last week that I didn't believe the "3 handle" folks nor that the problem was over, and that seasonal distortions and idiocy in the labor department was responsible. Of course "idiocy" implies unknowing distortion, which is a damn hard argument to make when the "errors" are all in one direction - and they both are and have been.

How about intentional lies instead?

In any event this ought to take some hot air out of people's BS-running lungs.

The other not-good thing is that the ranks of those going back into the extended programs was up for the week of the 25th too - by 195,000.

This is unambiguously bad - extended benefits AND initial benefits both up materially, and note that this was a week during which people said that the claims numbers were generally "good".

Nope.

Wake up folks - the supposed "economic expansion" is complete crap and is all government blowing money they don't have.

The end of that rope is approaching.

Fast.

And the floor of the canyon we're rappelling down is 500' below us.
http://market-ticker.org/akcs-www?post=177208

[xchrom]

[DemReadingDU]

32. U.S. jobless claims jumped unexpectedly last week to their highest level since October

Unexpectedly

Uh oh.

1/13/11 WASHINGTON (Reuters) - U.S. jobless claims jumped unexpectedly last week to their highest level since October, suggesting the labor market is still in a rut despite signs of improvement in the economy.

The number of Americans filing for first-time unemployment benefits rose to 445,000 from an upwardly revised reading of 410,000 in the prior week, the Labor Department said on Thursday. It was the biggest one-week jump in about six months, confounding analyst forecasts for a small drop to 405,000.

A Labor Department official noted the rebound occurred following the holidays, which may have hindered reporting of new claims and created a backlog.

more...
http://finance.yahoo.com/news/New-jobless-claims-post-rb-2898881094.html?x=0&sec=topStories&pos=main&asset=&ccode=

[xchrom]

35. all those 'Surprised' motherfuckers showing up again?

why haven't they been fired yet?

everytime some expert shows up 'surprised' -- they should join the unemployment line.

[Demeter]

36. Ostriches Aren't Known for their gift of prophecy

[DemReadingDU]

28. Similar analysis from ZeroHedge

1/13/11 Initial Claims Surge To 445K, On Expectations Of 410K, Not Adjusted Claims Surge By 191,686 To 770,413 In One Week

So much for that amazing beat in the last 2010 number in initial claims, which is now proven to have been purely a figment of the BLS' imagination and a whole load of guesstimations. Today's initial claims number throws cold water to all those who expected the trend in claims to be improving. At 445K, this was a huge miss to expectations of 410K, and a major deterioration from last week's (upwardly revised of course) 410K (was 409K before). Elsewhere, continuing claims came at 3,879K on expectations of 4,088K (with the previous naturally revised higher as well from 4,103K to 4,127K).

And the kicker: in NSA terms initial claims were a mammoth 770,413, a 191,686 increase in just one week, and the highest NSA number in one year!

The result: the spread between SA (3.1%) and NSA (3.8%) unemployment rate jumps to year highs. Of course, the BLS blames the huge disappointment on "paperwork delays", yet blamed nobody for the amazing beats in the end of 2010 which brought the market to a complete frenzy.

http://www.zerohedge.com/article/initial-claims-surge-445k-expectations-410k-not-adjusted-claims-surge-191686-770413-one-week

[Demeter]

31. I Expect the Markets Will Soar on This

as usual.

[DemReadingDU]

34. Hm, the Futures seem to be down, at the moment

http://www.bloomberg.com/markets/stocks/futures/

[Demeter]

42. Job Openings in U.S. Fall by 80,000 to 3.25 Million, Labor Department Says ( OTHER SIDE OF THE COIN)

http://www.bloomberg.com/news/2011-01-11/job-openings-in-u-s-fall-by-80-000-to-3-25-million-labor-department-says.html

Job openings in the U.S. fell in November from the highest level in two years, signaling a sustained labor market recovery will take time to develop.

The number of positions waiting to be filled decreased by 80,000 to 3.25 million, the Labor Department said today in Washington. The number of people hired dropped from the prior month and separations climbed.

Employers added a fewer-than-forecast 103,000 jobs in December, for a total of 1.1 million in all of 2010, the Labor Department reported last week. Faster job growth is needed to bring down the unemployment rate on a sustained basis and spur consumer spending.

“Labor demand still remains at very weak levels,” said Henry Mo, an economist at Credit Suisse in New York. Mo said the good news was that the level of firings remained near pre- recession lows, indicating “any increase in hiring will largely translate into higher headline payroll numbers.”

Job openings decreased 2.4 percent in November from a revised 3.33 million in the prior month that were the most since October 2008, the Labor Department report showed...

[Demeter]

3. Todays Calendar

Initial Claims 01/08 445K 415K 415K 410K 409K
Continuing Claims 01/01 3879K 4000K 4080K 4127K 4103K
PPI Dec 1.1% 0.8% 0.8% 0.8%
Core PPI Dec 0.2% 0.1% 0.2% 0.3%
Trade Balance Nov -$38.3B -$39.5B -$41.0B -$38.4B -$38.7B

Read more: http://www.briefing.com/Investor/Public/Calendars/EconomicCalendar.htm#ixzz1AvHIx7T3

pardon the formatting or lack thereof

[Demeter]

4. Shell fears year-long delay over Alaska

The Anglo-Dutch oil group fears difficulties in gaining an air quality permit from US federal authorities will delay its Alaska drilling programme by another year

Read more >>
http://link.ft.com/r/OZMCDD/QFW4MD/PNGIU/3ONAOJ/8ANFVO/GX/t?a1=2011&a2=1&a3=13

[Demeter]

5. Germany enjoys stellar growth

Germany in 2010 saw one of its fastest growth spurts since the country’s reunification in 1990, powered by a rebound in investment, exports and a pick-up in consumer spending

Read more >>
http://link.ft.com/r/S4XZQQ/0GJJZK/XBAN6/6VU78L/KEOONZ/LE/t?a1=2011&a2=1&a3=13

[Demeter]

6. Haiti PM urges more speed from donors

Jean-Max Bellerive complains of the slow progress in meeting pledges for the quake-stricken nation, with only a fifth of the $5.6bn aid promised for 2010-11 disbursed so far

Read more >>
http://link.ft.com/r/S4XZQQ/0GJJZK/XBAN6/6VU78L/6VRRWA/LE/t?a1=2011&a2=1&a3=13

Haiti, red-readed stepchild of the world...

[Demeter]

7. World moves closer to food price shock

The world has moved a step closer to a food price shock after the US cut stock forecasts for key crops, sending corn and soyabean prices to the highest level in 30 months

Read more >>
http://link.ft.com/r/S4XZQQ/0GJJZK/XBAN6/6VU78L/26QQ7O/LE/t?a1=2011&a2=1&a3=13

[Demeter]

8. Belgian PM backed over cuts

The country’s caretaker government says it has secured a deal with the main political parties to reduce public debt and avoid being harmed by ‘irrational’ bond markets

Read more >>
http://link.ft.com/r/S4XZQQ/0GJJZK/XBAN6/6VU78L/GKBBJI/LE/t?a1=2011&a2=1&a3=13

BELGIUM IS THE NEXT DOMINO IN THE SPECULATORS' GAME TO TRY TO TOPPLE...EITHER BEFORE OR AFTER PORTUGAL AND ITALY..

[Demeter]

20. Merkel treads cautiously in shifting bond market

All eyes are on Germany, linchpin of the euro, to find an answer that will prevent contagion, yet Berlin has offered a stubborn restatement of the rules of the game

Read more >>
http://link.ft.com/r/NA70KK/0GJI69/XBAN6/18RO99/18EW7W/36/t?a1=2011&a2=1&a3=12

[Demeter]

22. Euro looks set to win the race to the bottom

Currency movements are notoriously difficult to explain much less predict. Even so, 2010 was an exceptionally tough year. Foreign exchange participants were forced to divine idiosyncratic and conflicting policymaker preferences, to interpret rare events such as Europe’s sovereign debt woes, and to understand obscure policy instruments such as quantitative easing, writes Ken Rogoff.

Read more >>
http://link.ft.com/r/EB8122/TPDW4M/204L2/BMBXW0/C51UNN/SN/t?a1=2011&a2=1&a3=12

[Demeter]

41. Martin Wolf: China, Germany Commiting World to Deflation

http://www.nakedcapitalism.com/2010/03/martin-wolf-china-germany-commiting-world-to-deflation.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+NakedCapitalism+%28naked+capitalism%29


FROM LAST MARCH--AND NOT FROM AN OSTRICH!

The Financial Times’ Martin Wolf gives a cogent and sober assessment of what he deems to be a destructive refusal to adjust policies on behalf of the world’s two biggest exporters, China and Germany. The problem is that both simultaneously want to have their cake and eat it too.

As we stressed in a recent post, large foreign exchange surpluses, beyond what is useful to defend a currency, is NOT a sign of strength. They cannot be spent without causing the currency to appreciate, something that surplus-dependent countries are unwilling to do. Thus these holdings, which were incurred by acting as de facto export subsidies, cannot be utilized without serving as import subsidies. As Wolf elaborates:

China and Germany are, of course, very different from each other. Yet, for all their differences, these countries share some characteristics: they are the largest exporters of manufactures, with China now ahead of Germany; they have massive surpluses of saving over investment; and they have huge trade surpluses.

Both also believe that their customers should keep buying, but stop irresponsible borrowing. Since their surpluses entail others’ deficits, this position is incoherent. Surplus countries have to finance those in deficit. If the stock of debt becomes too big, the debtors will default. If so, the vaunted “savings” of surplus countries will prove to have been illusory: vendor finance becomes, after the fact, open export subsidies.

Wolf stresses that this posture is a threat to open trade and the eurozone...

[Pale Blue Dot]

9. Thank you Demeter!

I was digging out and getting to work this morning. Thanks for getting it started without me.

[Demeter]

12. He's alive!

Whew! So, how deep is it?

[Pale Blue Dot]

14. Almost 2 feet where I am.

I'll be doing more shoveling when I get home. :-)

[Demeter]

15. Wow! Haven't seen that much snow in several years

Don't strain anything!

I'm just gonna do my usual now...

[DemReadingDU]

25. 2 feet!

That's taller than my two dogs!

[alterfurz]

like this?

[Demeter]

33. Proving again you can find just about anything on line

except a good husband candidate....I don't mean someone else's "good husband"!

[DemReadingDU]

37. LOL

:rofl:

[Demeter]

10. Buy-out groups return to the fray

Private equity firms have returned in force to dealmaking even though the credit crisis is forcing them to use an unusually low level of debt to finance their deals

Read more >>
http://link.ft.com/r/OZMCDD/QFW4MD/PNGIU/3ONAOJ/9Z3N2H/GX/t?a1=2011&a2=1&a3=13

[Pale Blue Dot]

13. Oil hovers below $92, near 2-year high

Oil prices hovered below $92 a barrel Thursday after signs of improving U.S. demand and rising interest from financial investors pushed crude to a two-year high.

By early afternoon in Europe, benchmark oil for February delivery was down 12 cents to $91.74 a barrel in electronic trading on the New York Mercantile Exchange. Crude gained 75 cents to settle at $91.86 on Wednesday, the highest settlement price since October 2008.

The Energy Department said U.S. commercial crude supplies fell by 2.2 million barrels to 333.1 million barrels last week while analysts surveyed by Platts, the energy information arm of McGraw-Hill Cos., expected a decline of only 300,000 barrels.

Crude inventories have fallen six straight weeks, suggesting U.S. consumption is strengthening.

http://news.yahoo.com/s/ap/oil_prices

[Demeter]

18. Growth hopes push oil within reach of $100

Oil has risen to within reach of $100 a barrel for the first time since the 2008 price spike amid mounting optimism that global economic growth will boost demand

Read more >>
http://link.ft.com/r/OZMCDD/QFW4MD/PNGIU/3ONAOJ/YHDKLJ/GX/t?a1=2011&a2=1&a3=13

[Demeter]

19. BP spill inquiry calls for safety overhaul

The US commission on the BP oil spill concludes that the offshore oil industry needs to transform regulation, a finding criticised by the main industry group

Read more >>
http://link.ft.com/r/NA70KK/0GJI69/XBAN6/18RO99/ZBY5AQ/36/t?a1=2011&a2=1&a3=12

[Roland99]

62. Oil should only be traded by people directly involved in the line of distribution.

hmmm...maybe not that wise on second thought. :)


at least prevent hedge funds and mutual funds from being "investors"

[Demeter]

68. I can't see a downside to that

wring out the speculators!

[Roland99]

75. What have we here?!?!

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x4695505

[tclambert]

78. The local news this morning made a big deal about one gasolineum charging ONLY $2.97 per gallon.

They considered that a big consumer tip, "a price to drive for," they call it.

[Demeter]

79. Saw that in South Lyon

Unfortunately, didn't need gas...

[Pale Blue Dot]

17. U.S. Stock-Index Futures Fall After Jobless Claims Top Economist Forecasts

U.S. stock-index futures fell, signaling the Standard & Poor’s 500 Index may retreat from the highest level since September 2008, after first-time jobless claims climbed more than economists estimated.

Futures on the S&P 500 expiring in March slipped 0.1 percent to 1,281.7 at 8:33 a.m. in New York. Dow Jones Industrial Average futures decreased 10 points, or 0.1 percent, to 11,698.

Initial jobless claims rose by 35,000 to 445,000, according to Labor Department data released today. The median estimate in a Bloomberg News survey called for 410,000 filings. The average number of applications over the past four weeks, a less-volatile gauge, increased to 416,500.

U.S. stocks climbed yesterday, sending benchmark indexes to their highest levels since August 2008, as Wells Fargo & Co. upgraded banks and investors speculated that Europe will step up measures to control its sovereign-debt crisis.

http://www.bloomberg.com/news/2011-01-13/u-s-stock-index-futures-fall-after-jobless-claims-top-economist-forecasts.html

[Demeter]

21. Big banks seek plan for failures

The Institute of International Finance is lobbying to put the issue of creating a resolution mechanism on the agenda when leaders of the G20 gather next year

Read more >>
http://link.ft.com/r/NA70KK/0GJI69/XBAN6/18RO99/LQ0HUC/36/t?a1=2011&a2=1&a3=12

PLANNING FOR FAILURE--THAT'S THE TICKET!

[Demeter]

23. US Senate report to criticise Goldman

Goldman Sachs will come in for harsh criticism from an influential US Senate report into the financial crisis that will highlight alleged conflicts of interests in the bank’s dealings with clients, according to people familiar with the matter

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/D4LFTX/E4/t?a1=2011&a2=1&a3=12

[Demeter]

24. Tsingtao hopes to ditch foreign auditors

China’s biggest beer company is seeking shareholder approval to dismiss its foreign auditors and rely solely on mainland Chinese auditors and accounting standards

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/ZBY5YW/E4/t?a1=2011&a2=1&a3=12

[Demeter]

26. Airbus seals India deal for 180 jets

European jet maker has won what it describes as a record deal to sell 180 aircraft to the Indian budget airline IndiGo


Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/3O9KSO/E4/t?a1=2011&a2=1&a3=12


WHAT AN ADORABLE NAME FOR AN AIRLINE!

[Demeter]

27. Hands appeals against EMI ruling

Guy Hands, the private equity boss, has launched an appeal against a US court ruling that acquitted Citigroup of all charges over his ill-fated takeover of the music group

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/9Z39PY/E4/t?a1=2011&a2=1&a3=12

[Demeter]

29. China denies link to Renault scandal

China hit back at claims it could have been the destination for stolen information after three senior executives at the carmaker were accused of industrial espionage

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/XTK7D6/E4/t?a1=2011&a2=1&a3=12

[Demeter]

30. Diamond says time for remorse is over

Barclays’ chief Bob Diamond said the time for ‘remorse and apology’ by banks over their role in the financial crisis should end, during rancorous exchanges with MPs

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/S3MC5D/E4/t?a1=2011&a2=1&a3=12

I DON'T THINK THE OFFENDERS GET TO CHOOSE THE TIMING ON FORGIVENESS...

[Demeter]

38. Bloggers spread word on Detroit

General Motors and Ford are mining a rich new source of marketing buzz for their vehicles at this year’s Detroit car show... blogging

Read more >>
http://link.ft.com/r/G8OTZZ/ZBSY61/K91WR/GK0YV0/JI6LOF/E4/t?a1=2011&a2=1&a3=12

I'M ASHAMED TO ADMIT, AS A NATIVE DAUGHTER OF THE MOTOR CITY, I HAVE NEVER BEEN TO THE AUTO SHOW....MAYBE IF IT WASN'T IN JANUARY....

[Mira]

39. Thank you Demeter. n/t

[Demeter]

43. NO PROBLEM

[DemReadingDU]

40. Bill Daley’s Appointment Proves "The Bankers Have Won Completely," Simon Johnson

1/13/11 Bill Daley’s Appointment Proves "The Bankers Have Won Completely," Simon Johnson Says

President Obama's new chief of staff, Bill Daley has been greeted with cheers and jeers - from both sides of the aisle - for his strong business and banking ties.

To some, like Sen. Mitch McConnell, it's a positive sign the President has taken more pro-business stance. To Simon Johnson, author of 13 Bankers and the former IMF chief economist, it's a sign "the bankers have won completely."

The fact that President Obama's top aide is the former Midwest chairman of JPMorgan Chase proves "the White House fails to understand that, at the heart of our economy, we have a huge time-bomb," according to Johnson. (See: Obama Shows His True Colors ... and They're PRO-Business (Still)

Why is Daley's appointment so troubling to Johnson?

"These banks again have unfettered access to the very top of the political decision making in the United States and, reflects the fact their status is completely undiminished, despite all the mistake they made and all the damage they did to the rest of the economy," he tells Henry in this clip.

That time-bomb he was referring to is another credit and banking crisis. Without more reform and a break-up of the 'too big to fail' banks, which is even less likely with Daley as chief of staff, Johnson is convinced banks are destined to repeat the same mistakes. "They have every incentive" to "blow themselves up," he laments, predicting another credit crisis will occur in the next three-to-seven years.

http://finance.yahoo.com/tech-ticker/bill-daley%E2%80%99s-appointment-proves-%22the-bankers-have-won-completely%22-simon-johnson-says-535807.html?tickers=jpm,gs,xlf,skf,^dji,BAC,C&sec=topStories&pos=9&asset=&ccode=

[Demeter]

44. Could the U.S. central bank go broke?

WHAT DOES HE MEAN, "COULD"?

http://www.reuters.com/article/idUSTRE7096FE20110111

The U.S. Federal Reserve's journey to the outer limits of monetary policy is raising concerns about how hard it will be to withdraw trillions of dollars in stimulus from the banking system when the time is right...While that day seems distant now, some economists and market analysts have even begun pondering the unthinkable: could the vaunted Fed, the world's most powerful central bank, become insolvent?

Almost by definition, the answer is no.

As the monetary authority, the central bank is the master of the printing press. It can literally conjure up money at will, and arguably did exactly that when it bought about $2 trillion of mortgage-backed securities and U.S. Treasuries to push down borrowing costs and boost the economy.

The Fed's unorthodox steps helped it generate record profits in 2010, allowing it to send $78.4 billion to the U.S. Treasury Department. But its swollen balance sheet leaves the central bank unusually exposed to possible credit losses that could create a major headache at a time of increasing political encroachment on the Fed's independence.

Asked about the issue of potential losses during congressional testimony on Friday, Fed Chairman Ben Bernanke suggested the risks were minimal. If liabilities on the Fed's balance sheet were to exceed its assets, it would only be so because of rising interest rates in the context of a thriving economy, he suggested...

WELL, IF UNCLE BEN THINKS EVERYTHING IS ALL RIGHT---RUN FOR YOUR LIFE!

[xchrom]

46. then why even say anything -- if it can't? nt

[Demeter]

50. Whistling Past the Graveyard--OR--

Music to shear sheep by...

http://www.youtube.com/watch?v=zlG7Zrr-WQA

[xchrom]

52. Mr Spock!

:spray:

[Demeter]

54. I OWN an original album!

[xchrom]

55. i'm jealous.

have you checked on ebay -- i bet you could make money.

[Demeter]

70. My Heirs Can Sell It--I NEVER Will!

[Demeter]

45. A European Strategy for the Left (IMPORTANT IDEA PAPER!)

http://www.informationclearinghouse.info/article27244.htm

...But the European working class is also being asked to pay for the collapse of the ruling class project for Europe. The ruling class thought that it had found a good system with the single currency, the budgetary stability pact (“Stability and Growth Pact”), and the total deregulation of finance and the movement of capital . By creating a competition between social models and wage earners squeezing wages became the only means of regulating inter-capitalist competition and intensifying the inequalities that benefitted only a very narrow stratum of people in society.

However this model put the cart before the horse and wasn't viable. It presupposed that the European economies were more homogeneous than they actually are. Differences between countries increased due to their place in the global market and their sensitivity to the euro exchange rate. Inflation rates didn't converge and interest rates favoured property bubbles and so on. All the contradictions of a curtailed programme of European integration which the Euro liberals are discovering today existed before the crisis. But these are blowing apart under speculative attacks against the sovereign debts of the most exposed countries.

Underneath the abstract concept of “financial markets” there are mainly European financial institutions which speculate using capital which states lend to them at very low interest rates. This speculation is only possible due to the states’ policy of non-intervention and we should understand it as a pressure applied to consenting governments to stabilise budgets on the back of the people of Europe and to defend the banks' interests....

[Ghost Dog]

64. Yes.

[Demeter]

47. America Has ‘Reached The Point Of No Return,’ Reagan Budget Director Warns

http://www.informationclearinghouse.info/article27237.htm

The Obama administration's $78 billion cut to US defense spending is a mere "pin-prick" to a behemoth military-industrial complex that must drastically shrink for the good of the republic, a former Reagan administration budget director recently told Raw Story.

"It amounts to a failed opportunity to recognize that we are now at a historical inflection point at which the time has arrived for a classic post-war demobilization of the entire military establishment," David Stockman said in an exclusive interview.

"The Cold War is long over," he continued. "The wars of occupation are almost over and were complete failures -- Afghanistan and Iraq. The American empire is done. There are no real seriously armed enemies left in the world that can possibly justify an $800 billion national defense and security establishment, including Homeland Security."

Short of that, he suggested, the United States has "reached the point of no return" with its artificial creation of wealth, and will eventually face a sharp economic decline....

[Demeter]

48. Geithner Says U.S. Insolvent By Michael S. Rozeff

http://www.informationclearinghouse.info/article27238.htm

The U.S. government is insolvent. Who says so? Timothy F. Geithner, the U.S. Secretary of the Treasury.

Geithner sent a letter to Congress on Jan. 6, 2011 asking for the debt limit to be raised. If it is not raised, he warned, the U.S. will default on its debt. In his words:

Never in our history has Congress failed to increase the debt limit when necessary. Failure to raise the limit would precipitate a default by the United States."

He didn’t say that the government will be inconvenienced. He didn’t say that the government would be forced to muddle through by delaying payments, raising taxes, and cutting non-obligatory programs and services. He said the government will default. This means that the government doesn’t have enough cash to pay its obligations to the many and sundry persons to whom it owes cash unless Congress authorizes an issue of even more debt.

After the government issues the new debt, its overall debt will be even higher than before. Unless its obligations that require cash payments are reduced, or unless it finds new sources of revenue, or unless the interest rates that it pays decline, the same situation will surely occur again and occur even faster because its overall debt will have risen. It will run short of cash to pay its obligations....

[Demeter]

49. Wage Drop Has Been Worst In Decades By William Alden

http://www.informationclearinghouse.info/article27241.htm

Wages for American workers have fallen dramatically since the financial crisis, in what will likely turn out to be the worst such plunge since the Great Depression, the Wall Street Journal reports.

When hard times hit, employers typically are reluctant to reduce wages. But this downturn has been different: More than half the workers who found new work by early 2010 after losing jobs between 2007 and 2009 said their pay had dropped, according to Labor Department data cited in the WSJ. A full 36 percent said the new job paid 20 percent less than their former one.

While headlines have focused on the national unemployment rate of 9.4 percent, the pain extends far beyond those 14.5 million who are deemed officially unemployed by government statistics. The only other instance of such severe wage reductions since the Depression was during the recession of the early 1980s, but the current slump is on track to be far worse, the WSJ notes.

Among people who are lucky enough to have work, living standards have been significantly downgraded. Almost a third of America's working families are now considered low-income, earning less than twice the official poverty threshold, according to a recent report. The recession reversed a period of improvement...

[xchrom]

51. sigh. nt

[Demeter]

53. Somebody Catch!

I'm off to get the Kid a crown on her tooth, work, and then a co-op meeting on the proposed settlement of our lawsuit...and if that isn't enough, choir practice!

[xchrom]

56. have fun -- and thanks again! nt

[Festivito]

57. Debt: 01/11/2011 14,019,559,567,587.86 (UP 5,214,558,569.23) (Tue, UP a little.)

(Good job Demeter. Good midday.)
Oh, the switch is tiring.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,383,473,336,671.16 + 4,636,086,230,916.70
UP 490,152,520.38 + UP 4,724,406,048.85

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 311-Million person America.
If every American, man, woman and child puts in $3.21 THAT'S 1B$, and $3,214.19 makes 1T$.
A family of three: Mom, Dad, Child: $9.64, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 311,120,192 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $45,061.55.
A family of three owes $135,184.66. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 23 reports in the last 30 to 32 days.
The average for the last 23 reports is 7,516,252,891.77.
The average for the last 30 days would be 5,762,460,550.36.
The average for the last 32 days would be 5,402,306,765.96.
There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 71 reports in 103 days of FY2011 averaging 6.45B$ per report, 4.45B$/day.
Above line should be okay

PROJECTION:
There are 740 days remaining in this Obama 1st term.
By that time the debt could be between 15.0 and 18.0T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
01/11/2011 14,019,559,567,587.86 BHO (UP 3,392,682,518,674.78 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,457,936,536,696.10 ------------* * * * * * * * * * * BHO
Endof11 +1,622,784,814,505.60 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
12/22/2010 +000,569,620,034.56 ------------********
12/23/2010 +001,962,709,844.10 ------------*********
12/24/2010 -000,001,321,466.66 -----
12/27/2010 -000,059,144,170.26 ---- Mon
12/28/2010 +001,124,227,282.97 ------------*********
12/29/2010 +000,165,778,043.38 ------------********
12/30/2010 +000,091,969,590.77 ------------*******
12/31/2010 +062,732,309,679.32 ------------**********
01/03/2011 -005,396,108,430.64 -- Mon
01/04/2011 -000,085,302,113.98 ----
01/05/2011 -000,029,576,179.10 ----
01/06/2011 -001,749,774,139.62 --
01/07/2011 +000,022,074,863.06 ------------*******
01/10/2011 -000,254,217,892.29 --- Mon
01/11/2011 +000,490,152,520.38 ------------********

59,583,397,465.99 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4693578&mesg_id=4693636

[Festivito]

76. Debt: 01/12/2011 14,010,389,488,111.56 (DOWN 9,170,079,476.30) (Wed, DOWN a little.)

(Good day.)
Backlash from changing.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,383,200,281,716.37 + 4,627,189,206,395.19
DOWN 273,054,954.79 + DOWN 8,897,024,521.51

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 311-Million person America.
If every American, man, woman and child puts in $3.21 THAT'S 1B$, and $3,214.12 makes 1T$.
A family of three: Mom, Dad, Child: $9.64, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 311,127,392 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $45,031.04.
A family of three owes $135,093.11. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 24 reports in the last 30 to 33 days.
The average for the last 24 reports is 6,820,989,043.10.
The average for the last 30 days would be 5,456,791,234.48.
The average for the last 33 days would be 4,960,719,304.07.
There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 72 reports in 104 days of FY2011 averaging 6.23B$ per report, 4.32B$/day.
Above line should be okay

PROJECTION:
There are 739 days remaining in this Obama 1st term.
By that time the debt could be between 15.0 and 17.8T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
01/12/2011 14,010,389,488,111.56 BHO (UP 3,383,512,439,198.48 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,448,766,457,219.80 ------------* * * * * * * * * * * BHO
Endof11 +1,574,997,662,357.95 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
12/23/2010 +001,962,709,844.10 ------------*********
12/24/2010 -000,001,321,466.66 -----
12/27/2010 -000,059,144,170.26 ---- Mon
12/28/2010 +001,124,227,282.97 ------------*********
12/29/2010 +000,165,778,043.38 ------------********
12/30/2010 +000,091,969,590.77 ------------*******
12/31/2010 +062,732,309,679.32 ------------**********
01/03/2011 -005,396,108,430.64 -- Mon
01/04/2011 -000,085,302,113.98 ----
01/05/2011 -000,029,576,179.10 ----
01/06/2011 -001,749,774,139.62 --
01/07/2011 +000,022,074,863.06 ------------*******
01/10/2011 -000,254,217,892.29 --- Mon
01/11/2011 +000,490,152,520.38 ------------********
01/12/2011 -000,273,054,954.79 ---

58,740,722,476.64 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4695124&mesg_id=4695278

[Festivito]

80. Debt: 01/13/2011 14,007,216,975,377.59 (DOWN 3,172,512,733.97) (Thu, DOWN some.)

(Good day.)
Is it morning this afternoon.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,377,204,236,563.68 + 4,630,012,738,813.91
DOWN 5,996,045,152.69 + UP 2,823,532,418.72

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 311-Million person America.
If every American, man, woman and child puts in $3.21 THAT'S 1B$, and $3,214.04 makes 1T$.
A family of three: Mom, Dad, Child: $9.64, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 311,134,592 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $45,019.8.
A family of three owes $135,059.4. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 24 reports in the last 30 to 31 days.
The average for the last 24 reports is 6,633,325,776.19.
The average for the last 30 days would be 5,306,660,620.95.
The average for the last 31 days would be 5,135,478,020.27.
There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 73 reports in 105 days of FY2011 averaging 6.10B$ per report, 4.24B$/day.
Above line should be okay

PROJECTION:
There are 738 days remaining in this Obama 1st term.
By that time the debt could be between 15.0 and 17.8T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
01/13/2011 14,007,216,975,377.59 BHO (UP 3,380,339,926,464.51 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,445,593,944,485.80 ------------* * * * * * * * * * * BHO
Endof11 +1,548,969,426,069.69 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
12/24/2010 -000,001,321,466.66 -----
12/27/2010 -000,059,144,170.26 ---- Mon
12/28/2010 +001,124,227,282.97 ------------*********
12/29/2010 +000,165,778,043.38 ------------********
12/30/2010 +000,091,969,590.77 ------------*******
12/31/2010 +062,732,309,679.32 ------------**********
01/03/2011 -005,396,108,430.64 -- Mon
01/04/2011 -000,085,302,113.98 ----
01/05/2011 -000,029,576,179.10 ----
01/06/2011 -001,749,774,139.62 --
01/07/2011 +000,022,074,863.06 ------------*******
01/10/2011 -000,254,217,892.29 --- Mon
01/11/2011 +000,490,152,520.38 ------------********
01/12/2011 -000,273,054,954.79 ---
01/13/2011 -005,996,045,152.69 --

50,781,967,479.85 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4695124&mesg_id=4695682

[Pale Blue Dot]

58. Banks repossessed 1 million homes last year — and 2011 will be worse

NEW YORK — The bleakest year in foreclosure crisis has only just begun.

Lenders are poised to take back more homes this year than any other since the U.S. housing meltdown began in 2006. About 5 million borrowers are at least two months behind on their mortgages and more will miss payments as they struggle with job losses and loans worth more than their home's value, industry analysts forecast.

"2011 is going to be the peak," said Rick Sharga, a senior vice president at foreclosure tracker RealtyTrac Inc.

The outlook comes after banks repossessed more than 1 million homes in 2010, RealtyTrac said Thursday. That marked the highest annual tally of properties lost to foreclosure on records dating back to 2005.

http://www.msnbc.msn.com/id/41051419/ns/business-real_estate/

The article claims that 2011 will be the peak, but as usual, at no point does it explain why 2011 will be the peak.

[Demeter]

71. Maybe It's Wishful Thinking?

I sure don't see any reason to believe next year will be better.

[jtuck004]

59. Democrats that believe in market-driven economics are in charge.

Which is perhaps good news if your wealth comes from a home, stocks, bonds, or a paycheck above $500,000 a year. You may even get significant tax breaks.

Not so good if you aren't working, hungry, no medical care, losing your home. Not sure who your advocate is, because the Democratic Neoliberals (should that be an oxymoron?) are in charge. Approach is from the other side, the debt is loaded on you and the near-you. Trickle-down economics. Death by attrition. Be patient...

Ignores and doesn't change the fact that growth comes from the bottom up. We need a jobs program, $30K year for 15 million people, adult ed training "How to survive in a globalized world". Won't hold my breath.

So what do 30 million people do for work while these people play their games with our money? Co-ops? Hot dog stands? 30 million hot dog stands?

They are propping us up with ideas that don't work for 98% of the people, but baby, that 2% is kicking your butt. Especially salaries in the financial sector.

Understanding the Strategy of the Democratic Power Class
By Matt Stoller, the former Senior Policy Advisor for Rep. Alan Grayson. His Twitter feed is @matthewstoller

Since the 1970s, Democratic elites have focused on breaking public sector unions and financializing the economy. Carter, not Reagan, started the defense build-up. Carter, not Reagan, lifted usury caps. Carter, not Reagan, first cut capital gains taxes. Clinton, not Bush, passed NAFTA. It isn’t the base of the Democratic party that did this, but then, voters in America have never had a lot of power because they are too disorganized. And there wasn’t a substantial grassroots movement to challenge this, either.

Obama continues this trend. It isn’t that he’s not fighting, he fights like hell for what he wants...when Bernie Sanders did the filiBernie, Obama flirted with Bernie’s potential 2012 GOP challenger.Obama just wants policies that cement the status of a aristocratic class, with crumbs for everyone else (Republican elites disagree in that they hate anyone but elites getting crumbs). And he will fight for them.

There is simply no basis for arguing that Democratic elites are pursuing poor strategy anymore. They are achieving an enormous amount of leverage within the party.
...

This makes the GOP seem more committed, more professional and more change-oriented. This isn’t poor strategy or coordination from Democratic elites. The lack of willingness to fight on behalf of the public isn’t the same of an unwillingness to fight. It’s just their unwillingness to fight anyone but you.

Posting here...

[Pale Blue Dot]

60. Matt Stoller: Understanding the Strategy of the Democratic Power Class

Since the 1970s, Democratic elites have focused on breaking public sector unions and financializing the economy. Carter, not Reagan, started the defense build-up. Carter, not Reagan, lifted usury caps. Carter, not Reagan, first cut capital gains taxes. Clinton, not Bush, passed NAFTA. It isn’t the base of the Democratic party that did this, but then, voters in America have never had a lot of power because they are too disorganized. And there wasn’t a substantial grassroots movement to challenge this, either.

Obama continues this trend. It isn’t that he’s not fighting, he fights like hell for what he wants. He whipped incredibly aggressively for TARP, he has passed emergency war funding (breaking a campaign promise) several times, and nearly broke the arms of feckless liberals in the process. I mean, when Bernie Sanders did the filiBernie, Obama flirted with Bernie’s potential 2012 GOP challenger. Obama just wants policies that cement the status of a aristocratic class, with crumbs for everyone else (Republican elites disagree in that they hate anyone but elites getting crumbs). And he will fight for them.

There is simply no basis for arguing that Democratic elites are pursuing poor strategy anymore. They are achieving an enormous amount of leverage within the party. Consider the following. Despite Obama violating every core tenet of what might have been considered the Democratic Party platform, from supporting foreclosures to destroying civil liberties to torturing political dissidents to wrecking unions, Obama has no viable primary challenger. Moreover, no Senate Democratic incumbent lost a primary challenge in 2010, despite a horrible governing posture. Now THAT is a successful strategy, it minimized the losses of the Democratic elite and kept them firmly in control of the party. Thus, the political debate remains confined to what neoliberals want to talk about. It’s a good strategy, it’s just you are the one the strategy is being played on.

A lot of people think that Obama is a bad poker player, but they miss the point. He’s not playing with his money, he’s playing with YOUR money. You are the weak hand at the table, he’s colluding with the other players.

http://www.nakedcapitalism.com/2011/01/matt-stoller-understanding-the-strategy-of-the-democratic-power-class.html

[Pale Blue Dot]

61. MUST READ: DC Puts Its Bankster-Friendly Solution for Foreclosure Fraud on the Table

We’ll analyze a proposal to fix the foreclosure mess put out by a DC think tank known as Third Way. Normally this blog steers clear of delving into random policy documents. In this case, though, it is likely that Third Way is speaking for the administration.

Third Way is an influential think tank whose board is composed of a special Wall Street-type – the Rubin Democrat. These people sit at the nexus of politics and finance, and are conduits for big bank friendly information flow into the administration and Congress. The President of the think tank, Jonathan Cowan, was the Chief of Staff for Andrew Cuomo at HUD in the 1990s, and Third Way is well known in policy circles for delivering ‘politically safe’ and well-packaged conventional wisdom. Oh, and one more thing – the new White House Chief of Staff Bill Daley, who just left the most senior operating committee of JP Morgan, was on their Board of Directors.

...

The memo completely ignores the harm to investors from the bank mistakes and lacks any provisions for damage to investors to be remedied. Moreover, denying borrower rights removes their leverage to obtain deep principal mortgage modifications, which for viable borrowers produces lower losses than costly foreclosures and sales of distressed property. Thus this shredding of contractual protections in mortgages not only hurts borrowers but also harms investors.

So to save the banks from their own, colossal abuses of contracts that they devised, the Third Way document advocates Congressional intervention into well established, well functioning state law. This is a case where these matters can and should be left to the courts and ultimately state AGs to coordinate the template of a more broadbased solution.

But this proposal is this memo is a direct result of the banks losing in court and the fear that they will continue to lose. The Massachusetts Supreme Judicial Court Ibanez decision is clearly the trigger for the release of this plan. The SJC said its decision was merely articulating well established law. Consistent application of these principles will mean more losses for the banks. This memo is clearly an attempt to stop this as soon as possible. The real message of this document is clear: we can’t permit justice to prevail if it will hurt bank profits and balance sheets.

http://www.nakedcapitalism.com/2011/01/dc-puts-its-bankster-friendly-solution-for-foreclosure-fraud-on-the-table.html

Yves Smith covers this in great, great detail at the link. I urge everyone to read it so that we'll know what we're dealing with.

[mbperrin]

63. This type of do-over to protect the stupid and slothful entrepreneur

is so common, yet it is impossible for a hard-working and normally intelligent consumer to catch a break.


This is what I teach my economics students as the "can't fix stupid, but you can steal from the worker" syndrome.

[DemReadingDU]

65. Charles Hugh Smith: Market Dislocation: Dow 11,908?

1/13/11 Market Dislocation: Dow 11,908?

I've got a bad feeling that the Great Intervention Rally of 2009 - 2011 is about to hit an iceberg.

January 2011 is eerily reminiscent of January 2000. Ignoring warning signs of being overheated and overloved, the stock market rose month after month, defying doubters.

With 12,000 within one good day's run, the Dow reached 11,908 in the week of January 10, 2000, and then rolled over. The next week it sprinted again for 12,000, hitting 11,834, but alas, the mighty advance was over. The S&P 500 topped out a few months later and then started down a relentless three-year slide.

I sense a dislocation coming in global markets. For goodness sakes, don't put any money on it (please read the HUGE GIANT BIG FAT DISCLAIMER below), as the timing of the dislocation is unknown.

Technically, we're in the zone where the Dow rolled over in 2000. Depending on whether you track weekly closes or intraday highs, that zone extends from about 11,725 to 11,908. As I type, the Dow is at 11,745.

That could be important, because that spike in 2000 looks like the left shoulder in a multi-decade head and shoulders pattern. The current Central Bank-goosed advance could be the right shoulder. If so, the coming dislocation could be deep and prolonged.

more...
http://www.oftwominds.com/blogjan11/dislocation01-11.html

HUGE GIANT BIG FAT DISCLAIMER: Nothing on this site should be construed as investment advice or guidance. It is not intended as investment advice or guidance, nor is it offered as such. It is solely the opinion of the writer, who is NOT an investment counselor/professional. All the content of this website is solely an expression of his personal interests and is posted as free-of-charge opinion and commentary. If you seek investment advice, consult a registered, qualified investment counselor (As with any other professional service, confirm their track record and referrals).

[Demeter]

72. The Sooner It Starts, the Sooner It Ends

the sooner these clowns get the hook...and the parasites get purged.

[Ghost Dog]

66. Euro soars on debt auctions, Wall St dips on data

NEW YORK Jan 13 (Reuters) - The euro surged on Thursday, taking on renewed vigor after better-than-forecast debt auctions by Spain and Italy, but Wall St dipped after weak U.S. jobless claims data.

Energy and precious metals prices could not capitalize on a weaker greenback, but investors pushed prices higher for grains in Chicago on food price inflation and supply concerns.

Tokyo shares closed at an eight-month high and Shanghai stocks rose, but European bourses weakened in late trade while U.S shares were mostly lower. In contrast, MSCI's All-Country World index .MIWD00000PUS, reached a fresh 28-month high before paring some gains.

The euro got an extra boost after European Central Bank President Jean-Claude Trichet said the euro-zone economy faces short-term inflationary pressures. The ECB had earlier left interest rates unchanged at 1 percent.

Spanish banks provided a pocket of strength in European stocks following the solid sovereign bond auctions in Spain and Italy on Thursday. These followed a relatively easy sale of Portuguese debt on Wednesday.

/... http://www.reuters.com/article/idUSN1312099320110113?rpc=401

[Pale Blue Dot]

67. World moves closer to food price shock

Please respect FT.com's ts&cs and copyright policy which allow you to: share links; copy content for personal use; & redistribute limited extracts. Email [e-mail] to buy additional rights or use this link to reference the article - http://www.ft.com/cms/s/0/a2aa510a-1e89-11e0-87d2-00144feab49a.html#ixzz1AwKESmQZ

The world has moved a step closer to a food price shock after the US government surprised traders by cutting stock forecasts for key crops, sending corn and soyabean prices to their highest level in 30 months.

The price jump comes after the UN’s Food and Agriculture Organisation warned last week that the world could see repetition of the 2008 food crisis if prices rose further. The trend is becoming a major concern in developing countries.

While officials are drawing comfort from stable rice prices, key for feeding Asia, they warn that a sustained period of high prices, especially in grains such as wheat, would hit poorer countries. Food price hikes have already led to riots in Algeria and Mozambique.

“Stocks of corn and soyabean are at incredibly tight levels ... and the markets are surging to incredibly strong prices,” Chad Hart, agricultural economist at Iowa State University, said.

http://www.ft.com/cms/s/0/a2aa510a-1e89-11e0-87d2-00144feab49a.html#axzz1AwK24xto

[Roland99]

69. Target expanding into Canada; to "actively pursue" selling its credit-card receivables.

http://www.marketwatch.com/story/target-to-open-first-stores-in-canada-2011-01-13

The Minneapolis-based company said it’s acquiring leasehold interest in up to 220 sites from Canadian discounter Zellers Inc., a unit of Hudson’s Bay Co., and it expects to open the first 100 to 150 Target stores throughout Canada in 2013 and 2014.

...

The retailer also said it plans to “actively pursue” the sale of its credit-card receivables, which totaled $6.7 billion as of Oct. 30. It’s hired First Annapolis to help advise it in the process.

In 2008, the company sold about 47% of its credit-card receivables to J. P. Morgan Chase & Co. at the urging of activist investor Bill Ackman of Pershing Square Capital Management.

...

In mid-October, the company rolled out the REDcard program in which it offers a 5% discount on purchases made with its branded credit or debit cards.

They sold off their Target Visa accounts and only had the store card accounts left. Wonder what this means for my Target card...love the 5% discount on any purchase at any time.

[Demeter]

73. U.S criticized over Chrysler Financial settlement

http://news.yahoo.com/s/nm/20110113/bs_nm/us_autos_chryslerfinancial

COMPLICATED BEYOND BELIEF DETAILS--CONCLUSION:

The panel found that Treasury officials apparently conducted "limited valuation due diligence, focusing on the merits of the offer from Cerberus," the report said.

Treasury, the panel said, expected that Chrysler Financial would be wound down, which would limit its value, and noted at the time of settlement the price paid by Cerberus was fair...Chrysler Financial, however, continued to make investments in its business before finding a strategic partner in TD Bank.

Treasury disputed the conclusion it may not have fully vetted the Chrysler Financial settlement, saying it conducted several months of due diligence and hired an independent financial adviser to assist in valuation and check for other potential buyers.

The panel was appointed by Congress to review bailouts under the Troubled Asset Relief Program. General Motors Co (GM.N) and Chrysler, now under management control of Italy's Fiat Spa (FIA.MI), received bailout and bankruptcy assistance from the Treasury in 2009...Chrysler's resurgence especially, "has surprised just about everyone."

[Demeter]

74. Illinois House Passes Big Income-Tax Increase

http://online.wsj.com/article/SB10001424052748703791904576076242930445466.html?mod=WSJ_myyahoo_module

The Illinois House passed a massive income-tax increase Tuesday to help the state dig out of a $13 billion deficit, despite opposition from Republicans and business groups.

The measure passed by a vote of 60-57. The state Senate approved the measure early Wednesday morning. A new legislature, with narrower Democratic majorities in both houses, will be sworn in at noon Wednesday.

Among the increases in the bill, the individual income-tax rate would jump to 5% from 3%. That would cost a family of three making $60,000 about $1,080 more each year in income taxes, according to figures from the Illinois Policy Institute, a nonpartisan free-market think tank. The corporate tax would rise to 7% from 4.8%.

Gov. Pat Quinn came to the House floor to shake hands and congratulate lawmakers after the vote. He is expected to sign the bill Wednesday....

SHADES OF TUCSON! WEAR KEVLAR, GOVERNOR QUINN!

[Roland99]

77. Bernanke: QE2 has helped improve the stock market

http://www.marketwatch.com/story/bernanke-qe2-has-helded-improve-the-stock-market-2011-01-13?dist=afterbell

Federal Reserve Board Chairman Ben Bernanke said Thursday that a controversial $600 billion bond buying plan has contributed to a stronger stock market. "Our policies have contributed to a stronger stock market just as they did in March 2009 when we did the first iteration of this program," Bernanke said at a Federal Deposit Insurance Corp. forum on small businesses. "A stronger economy helps small businesses more than larger businesses. Interest rates are higher but that's mostly because the news is better. It has responded to a stronger economy and better expectations." The $600 billion bond buying plan follows a completed effort to buy $1.75 trillion in government bonds and Fannie Mae and Freddie Mac-backed mortgage securities

Great for Wall St! I know they've been hurting lately. What with cash on-hand languishing in the $2 Trillion area and bonuses only in the 6-7 digits instead of 8-9.

Whew!

That was a close one!