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A Day in the Life of the Market~ Significant Implications for All
This steroid stock market recently broke a major uptrend line in force since the March 2009 bottom.
Big news today: News perhaps only to be reported by government monopoly media in passing. As this is written, earnest Senate Debate on confirming a widely expected Ben Bernanke Federal Reserve Board of Governors Chair reappointment around 3:20 ET before market closing has begun.
Watching the debate puts to rest the headline myth there is unanimity in Congress about the destruction of the American economy. Even Chuckie Schumer admitted the Fed Chair made mistakes. Other Senators, presumably our wisest deliberative body (after the market itself), admitted BB contributed to the bubble crisis with systematic strategic mistakes with mortgages that did not fix Medicare and Social Security promises. Another BB, Barbara Boxer, facing Fall Elections against the former woman CEO of Hewlett Packard, Carly Fiorina, came out strongly against the other BB not supporting Main Street after leading US to the Bush Crisis.
http://www.c-span.org/Watch/C-SPAN2.aspx
Today before the Bernanke vote, our elected Senate voted to increase the Debt Ceiling to $14.3 Trillion. They were in a hurry before newly elected MA Senator Scott Brown was seated and could break their 60-vote supermajority.
What may be significant about this is our American economy now owes as much as it produces, maybe more. Our GDP contracted -13% over the last five quarters, another significant fact not widely reported by the GMO media.
http://www.bea.gov/newsreleases/national/gdp/2009/pdf/gdp3q09_3rd.pdf
We are not alone, as the IMF prepares to bail out Greece, which the Euros cannot or will not do. Greece has the second highest debt to GDP economy ratio in the EU. (Recall Switzerland, whose currency the Big4 are short, has the highest in Europe.)
