Hardly any point is getting out of bed this morning. The Fed decision Wednesday will likely keep markets moving in a flattish way, and other than the usual morning’s worth of bombings in the Middle East, there’s just not too much to get worked up about. At least nothing which has moved my blood pressure above 124/70 pulse 56.
There is some high drama being played out in Chicago, I suppose. That’s where Obama sidekick Rahm Emanuel is dealing with a teachers walk-out. They’re looking for billions for retirement and pay raises totaling 16% over four years, which is a reasonable guess as to what inflation will click out to.
The counterpoint which Universe laughingly taunts us with it seeing how union-loving works out with checkbook responsibility. The only hint I can offer as to what’s really going on is to look at the Chicago CAFR report…because that’s the annual actual financials versus the dreamt-up BUDGET.
Say, with Chicago Schools out, how about we come up with a homework assignment for the high school kids?
The National Review Online is out with a story this morning headlined “The Democrats’ GM Fiction” which some interesting numbers in it, while a Reuters’ story claims the country loses $49,000 on every Chevy Volt sold.
The calculus problem? Figure out who is telling the truth and which is a bigger number: the $49,000 loss per car, or the cost of government comp and total costs for not only not making Volts, but also the ripple effects back up the supply chain.
Answers due by 6 AM before class tomorrow. Hint: Since “money” is not backed by anything buy a “promise” what was the real cost in terms of ink and paper?
It Used to Make Sense to Us Dept…
…but sometimes we wonder about headline writers. For example, in the NY Times today there’s a headline which reads “Top Iraqi Leader calls His Death Sentence ‘Unjust.’“
Like he was going to come out in favor the other way? What the hell are they saying, here?
Novel In the Making
I mentioned to Peoplenomics.com readers Saturday that the events surrounding that assassination/hit in the French Alps last week would make a dandy basis for a novel of intrigue.
In the latest installment out this morning comes word that a police bomb squad unit was called to the home of the victims…people who had (political incorrectness warning) non-native-British-sounding names.
IF I were writing a book based on the headlines, I would have a government-sanctioned assassination team pulling off the “hit” and then by slowly getting the police work moving, the hit team would have time to clean up the rest of the cell… all fictional, of course, but it would make an interesting book.
Speaking of which I am now halfway through No Easy Day: The Firsthand Account of the Mission That Killed Osama Bin Laden ($16 and change – Amazon). Good read…not terribly revealing so far…
Say, not to be a nag on the Fukushima is killing people, but did you happen to notice the headline in the Japan Times online Saturday? “Global help urged to avert reactor 4 pool fire…“
A Hotel Off China?
You’ve played Monopoly, right? Know how you get max rent when you put a hotel on something? Well, that’s not a bad analogy to what’s going on in those disputed islands that Japan and China are squabbling over. Japan has announced plans to buy three of the uninhabited islands from their (Japanese) owners. Which has pissed China off royally.
If this were Monopoly, it would just be another roll. But it ain’t, so we shall see if China escalates to gunplay. Might take a few years…but it’s a better gambling pool topic than who’s going to win the World Serious this year.
Reader Dan in Ohio dropped this one us:
“I live about a mile from lake Erie in Eastlake Ohio. At 10:45 pm (last night) I noticed a large reddish light through the trees to the north. It was traveling south from over Lake Erie and would have come from one half to one mile west of the power plant in Eastlake Ohio traveling due south. At first I thought it was a red light reflecting on the underbelly of a helicopter but when it cleared the trees it was unlike anything I have seen and made no noise, though I thought I heard a rocket type roar but just barely. Thought I would tell some one that wouldn’t fire me or have me committed. “
Big UFO conference up in Maine this weekend…
Today as an Airplane Ride
“Ladies and gentlemen, seatbacks and tray tables to their upright and locked position and make sure your seatbelt is fastened tightly on your lap.” And with that the Lone Stranger’s horse leaps up and we hear “I own silver!”
But seriously: Fed consumer debt number due out this afternoon…might move markets, but I still favor the sleep in till Wednesday approach. Balance of trade tomorrow, but nothing can’t be papered over with ink.
About Thursday producer prices get interesting…but Friday is the week’s big news: Consumer prices. With the M2 print-rate running at a 6.5% increase annualized, I figure 4% inflation has to be along shortly. When it does, bonds will fall, gold will soar and a mighty “I own Silver!“ will echo again.
More after this…