part 2

2. Official inflation at 3.6 – with the real one closer t0 7% and 2 year treasuries paying  zero interest the savers get ripped off so bankers can make some free money and pay themselves insane and utterly undeserved bonuses ,n hundreds of billions around the world. Luxury industry loves it more Lambo and Porsche in the pipeline although the weakest close to 200k bankers will be fired soon or are but that hits mostly again the ones who might deserve it the least. More important is though the devaluation of buying power of the real economy as regular workers can afford less and less of merchandises they need.

Obama is a failure together with the whole DC entourage as they will have no bullets left to cure the situation with the lies and cover-up of reality. Actually the government is the biggest destroyer of employment right now as they are on a firing spree. The depression which they tried to cover up just was delayed and the cancer even spread deeper hence the remedies will be tougher and the chance to succeed is far lower going forward. The experiment will be quite a disaster with the first black president but that was the aim right from the beginning. As I wrote even before he was elected that he is a perfect decoy to deal with all the unsolvable problems since he has the sympathy of the untainted newcomer – well that he is an unconnected rookie was a problem but none of the other choices would have done a much different job anyway as the machinery behind the curtain is always the same more or less.

The only thing one can blame Obama with is that he never really tried to stand up as Mr. Smith going to DC would have done. That was and is what not only America needs but it seems to be naive to expect such an event as the firewalls to let the ‘right’ candidates for the hidden rulers is very effective for them.

Even people like Ron Paul are ignored by mass media as he is to uncomfortable for their puppet masters, which makes this whole matrix system very obvious where news are controlled to the degree that the people are fed with news serving the purpose to control them and remotely direct their thinking and actions.

So far we are repeating last summers price action it seems only that this time the drop into a second recession is due confirming the unofficial depression rather.

 

 

excerpt 1

More Jobless Stagflation: CPI +0.5% On Expectations Of 0.2%, Jobless Claims Back Comfortably In +400K Territory

Submitted by Tyler Durden on 08/18/2011 – 08:41

Following yesterday’s upside surprise in the PPI, it was only logical that CPI would come higher than expected. However, printing at a 0.7% swing M/M, or the highest in years, was not expected. Broad CPI came at 0.5% in July after dropping -0.2% in June, or 3.6% Y/Y. This was far more than consensus which expected 0.2%. Core CPI however was in line with expectations at 0.2%. The reason for the surge? Gas, food and clothes. “The gasoline index rebounded from previous declines and rose sharply in July, accounting for about half of the seasonally adjusted increase in the all items index. The food at home index accelerated in July and also contributed to the increase, as dairy and fruit indexes posted notable increases and five of the six major grocery store food groups rose…The apparel index continued to rise sharply, increasing 1.2 percent in July; it has increased 3.9 percent over the past three months….The index for nonalcoholic beverages increased 0.9 percent in July as the coffee index continued to rise sharply.” Elsewhere confirming that as expected the unemployment situation is deterorating, with 408K initial claims printing, on expectations of 400K, and making sure we dont have a revised 19 out of19 week of consecutive 400K+ prints was last week’s revised 395K claims to, hold on to your seats, 399K.  That’s right: a 1K in jobs breaks the trend, huzzah! Just as importantly, those on EUCs and Extended benefits continued to plunge, dropping by 43K in the last week. And most frightening, the one year change in Americans receiving Emergency Compensation (EUC) has plunged from 4.7 Million to 3.1 Million.That’s 1.6 million Americans who no longer even collect any benefits from the government.

excerpt 2

 

Morgan Stanley: “We Have Been Arguing For A Stronger 2H US Economy.. And We Are Capitulating”

Submitted by Tyler Durden on 08/18/2011 – 07:24

And so the last true blue, and much ridiculed economics team, that of Morgan Stanley’s David Greenlaw’s and his merry Buryini-ruler clad automatons, has waved the white flag. Specifically, in an email sent out yestrday by the firms’ overabundant and soon redundant salespeople, both institutional and retail, we read: “WE HAVE BEEN ARGUING FOR A STRONGER 2H US ECONOMY..AND WE ARE CAPITULATING…” The all caps comes from them lest someone accuses us of being overly dramatic.

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~ by behindthematrix on August 18, 2011.

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