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Published Monday - Friday about 8 AM Central Time ....some typos are fixed by 8:30 daily

Friday August 27, 2010     07:55  AM CDT    New Here?  Visit our FAQ 
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The Saturday Reminder: 

This being the weekend all the good stuff is for subscribers to www.peoplenomics.com.  Your choices are a) subscribe by clicking here, b) Come back here Monday for more free stuff or c) Both of the above.  I suppose you could have a d) neither of the above, but you're a curious sort so I reckon a, b, or c are more likely...

 

Psychos On The Street

While skimming through Paul Ferrell's post "Wall Street Psycho: 15 signs of moral and ethical pathology, soul-sickness" related to  how the investment world works, I was particularly struck by the observation that "Moral Issues are PR glitches" since a lot of what crosses my desk is PR-related.

 

Take, for example, the Federal Reserve's press release Thursday about "neighborhood stabilization"...

"The Federal Reserve System will sponsor a national summit on September 1 and 2 to discuss methods and resources for encouraging neighborhood stabilization in the aftermath of the U.S. home mortgage foreclosure crisis. The forum will showcase findings from Federal Reserve research and policy efforts, including the release of the publication REO and Vacant Properties: Strategies for Neighborhood Stabilization.

People living in communities with vacant properties face declining property values, loss of public services due to reduced tax revenue, and increased levels of crime. The summit will examine practical and tested strategies that nonprofit organizations, local and regional governments, federal officials, and lenders can use to mitigate the impact of vacant and real estate owned (REO) property--property held on the books of banks, typically after failure to sell at foreclosure auction.

"A foreclosure not only hurts the person who loses their home, it hurts their neighbors and their communities," said Federal Reserve Governor Elizabeth A. Duke. "As delinquencies and foreclosures continue to increase, we must think creatively and focus our research, outreach, and community development efforts on ways to help these communities recover."

I found - while reaching for my extra-large ViceGrips with which to pinch myself - thinking "So rather than fix the problems, they're now passing out strategies on how to live with this new, lower, standard of  living on an on-going basis?"

 

Not that the Second Depression is coming on too quickly; it's just taking its own sweet time about destroying the world.  Japan was up almost one percent overnight, Europe hasn't been falling (for a change), and speaking of 'Ben", the Fed Boss hisself is in speechifying today. 

 

So while we wait on that, the new GDP figures are out:

"Real gross domestic product -- the output of goods and services produced by labor and property located in the United States -- increased at an annual rate of 1.6 percent in the second quarter of 2010, (that is, from the first quarter to the second quarter), according to the "second" estimate released by the Bureau of Economic Analysis. In the first quarter, real GDP increased 3.7 percent.

The GDP estimates released today are based on more complete source data than were available for the "advance" estimate issued last month. In the advance estimate, the increase in real GDP was 2.4 percent (see "Revisions" on page 3).

The increase in real GDP in the second quarter primarily reflected positive contributions from nonresidential fixed investment, personal consumption expenditures, exports, federal government spending, private inventory investment, and residential fixed investment. Imports, which are a subtraction in the calculation of GDP, increased.

The deceleration in real GDP in the second quarter primarily reflected a sharp acceleration in imports and a sharp deceleration in private inventory investment that were partly offset by an upturn in residential fixed investment, an acceleration in nonresidential fixed investment, an upturn in state and local government spending, and an acceleration in federal government spending. "

What really matters is constant dollars and relative performance, so here's the deal in chained 2005 dollars:  YoY we're up 2.978% compared with W2 2009, but tracking still 0.47% where constant dollar GDP was back in 2007.

 

So did we all just work three years for nothing?

---

Did I exit prematurely from my paper short position, you're wondering, since the bounce at the open was quickly followed on the downside Thursday?  Only if we take out the intraday low of Wednesday  (Dow 9,925.34).  Otherwise I'm out with a reason which might become apparent today or Monday/Tuesday.  This is not investment advice, however.

 

Still: Stocks are headed for a slightly higher open today and I'm still optimistic about going short come the middle of next week.  Still, being up 21.9% for the YTD in paper is not nearly as cool as seeing gold creep back toward $1,250 and silver's quietly moved above $19...

 

Super Quake Watch

A couple of readers have asked if I've noticed anything odd out of some of the seismographs up around Yellowstone.  You mean like this one?  Not a big deal...hopefully, and nothing big enough to show up as a worry-point on the USGS monitor map for the area...

 

On the other hand, the continuous (more or less) quaking, like the 3.1 this morning down in the currently below sea level area of the Imperial Valley in California?  Different problem....

 

Gone With the Wind

At the National Hurricane Information Center, where tracking Hurricane Danielle - now up to category 4 has been ongoing - people aren't getting  too excited, since it seems to be destined to turn around to the northeast and blow itself out well out to sea.  Unless you're in Bermuda...

 

NOT Gone With the Wind

Boeing's 787.  Delayed - again - this time till out in the middle of next year.

 

"Traitorware" Dawns

Interesting Apple iPhone/iPad software in the works.  Seems Apple wants to be able to  shut down a user's iWhatever if they access product not sanctioned by Apple.  This kind of applehack is called "jailbreaking" and Apple wants to bust (in two senses of the word) people doing it.  Worse:  The courts say it's OK...

 

Seems to me that in this kind of case, the folks at Apple oughta be more clear:  People who 'buy' iWhatevers more and more are just long-term renting them, since if you own something, what you do with it is no one else's business, eh?  I'm sure that's explained in their EULA, but I gave up reading EULA's in about 1988...  No offense to the townspeople over in Eula, Texas, BTW.

 

Tripping Jimmy

Former President Jimmy Carter's trip to North Korea has paid off with release of an American detained for illegal entry.  North Korea watchers are now off on a new tangent, trying to figure out if Kim Jong Il is planning a China trip, but I've spiked that one as a "Who cares?"

 

Technical Difficulties

Say, you happen to notice the story yesterday about now the Navy had an unmanned drone aircraft lost not too far from the nation's capitol for more than a half-hour before getting it back under control?  All of which gets me to wondering if DHS is tracking memberships in model airplane clubs now...

 

Watching the MSM

USA Today is reported planning to axe about 130-jobs and reorganize their newsroom with more of a focus on mobile users.

 

Stories We Missed

Damn!  Missed covering (or would this be uncovering?) National Topless Day out in Venice Beach, California. 

 

We also seem to have missed the case of a real-life Judge Judy type up in Seattle, who Time Magazine reported recently was handed a five-day suspension for courtroom insults laid on defendants.

 

Worst of all, we haven't mentioned the recently concluded Tiger Woods / Elin Nordegren divorce case.

 

All of which would seem to make UrbanSurvival hopelessly out of touch.  Even being marginally aware of the October 1 release of "The Social Network" which is a kind of chronicle of Facebook's development, won't move us over into the "too hip" column.

 

We'll just have to live with that, I guess.  The real news may be Zeus the Cat's plans to launch a pet food-tracking ETF...

 

 

===== snip and save section =====

 

Friday at the WuJo

Coping:  Elaine & "The Hum"

"You hear it?"

Nope.

"Well, it's kind of like a big engine idling...but I've never been able to figure out where it's coming from...sort of like noise from the oil field down the street, but it's all the time.  Thing is, when I step outside to try and track it5 down, it just ...goes away...and that's it.  But, it's not the refrigerator, the air conditioning, or anything else in the house..."

 

That's how things go around here; Elaine has consistently heard this 'big engine idling' kind of noise for six years or longer, and despite having really good hearing (except when a chore needs doing, of course) I can't hear a darn thing.

 

Same with readers, too, after yesterday's post about the reader up in Wisconsin who was hearing this darn noise, too.  The emails have been coming in like crazy.  A sampling:

George, practically everyone I know is experiencing what they assume is tinnitus - really anxiety-producing to have high-pitched tones emanating from the middle of one's head with no relief in site - puts them on edge. Hmmm... Seems to have become exacerbated the last couple of weeks. Have googled around and found nothing definitive so far. Have you heard anything re: HAARP, etc? Didn't Clif say something about deafness is one of the more recent reports? Am wondering if what Clif was picking up on is related to hearing being affected/ramping up free-floating anxiety on a global scale? Thanks for all that you do, guy!

---

Like Thursday's reader, I was also hearing a low hum / rumble noise.  For me it was a very definite tone, like a distant diesel truck engine running just above idle.  Some days it was quite loud, and I was amazed that no one else could hear it.  Then I noticed that it seemed to be a hypersensitivity to that one pitch.  For example, a truck going through the gears would make the hum louder for a short time in each gear.  This wasn't easy to determine since many things in the house produce a constant low level noise at the right pitch (refrigerator, furnace fan, etc.)  Another interesting item was that the hum stopped when we stayed with family over the holidays.

After months of concern, I discovered my hum was related to a mosquito repellent like this one.  Within hours of removing the repellent from the house the hum level dropped dramatically.  After 2-3 weeks my hearing was back to normal. 

While the Taos Hum may be real, in my case there was a more mundane cause.  As they say: Your mileage may vary.

---

Described symptom(s) are classically those of tinnitus.

 

I've lived with it for several years - earplugs exacerbate the symptoms, low volume ambient white noise masks them.  A tin foil hat isn't the answer...

---

Around ten-fifteen years ago I heard a low hum at night that drove me crazy because I thought the guy down the street had his 18-wheeler truck running all night. I found out that he wasn't home and it couldn't have been his truck. I closed the windows but still heard it. It went on for months and suddenly was gone. I never knew what it was and I hope it never comes back. I live fairly close to Wright Patterson AFB which is in Fairborn, Ohio.

Like a good hubby, I used to get up now and then to see if I could hear it...all with no success.  Maybe it's a blood pressure related thing, or tinnitus, but no, everything seems to be normal on all fronts there.  Must be 'one of those things' in Life that we never get the answer to.  But, one thing's fairly certain:  Elaine hears it, I don't, and she's not alone. Lots of readers are hearing it, too.

 

Drifting Measurements Dept.

Remember our discussion a while back about how people were having trouble with measurements?  The gist of the phenomena was that people would measure some - very carefully, too - and then they'd cut a board (or whatever) and then the part wouldn't fit.  Most would be off by reports by about an inch.

 

Got this really interesting note that it's a well known phenomena shipboard in some parts of the Navy...check this out:

"I sent my navy nuke son on the carrier Abe Lincoln your section about the changing measurements, and cautioned him to be aware working around the reactors.

He told me in a phoncon that this happens all the time on the ship. They take something apart, and they can't get it to fit back together again, WTF. They just call in somebody new, and they put it right back together and say like what was the problem. Just another day for them."

Say, that's an oddity, ain't it?  So, next time one of these 'it don't fit' events happens, or you lose you car keys and they are nowhere near where they should be, just ask someone else to do the looking, since we could be dealing with a mental aberration here...

 

Other Mental Effects

Say, here's an interesting one:

"It is interesting being here in India at an ashram where those in the know here spiritually speaking say that they Hindus have a prediction of the end of 2011 that is similar to the Mayans Prophecy of 2012.  In the Hindu version it is talked about the sun being the cause of the event or shift.......
 

I was reading the Boeing Whistle Blowers Article when my room ate said, "Hey check out on of the top stories on Yahoo India News Today......"

Here they say that this solar activity will affect much more than the electrical grid.  It will effect people's emotional state causing much depression and suicide.  It will cause people's hearts to stop suddenly, something to do with the energy pulses and the pituitary glands, it will effect the weather......hmmmmm  These predictions have been made long back and now they are starting to unfold.

 

You can check out www.onenessuniversity.org as the entire mission of the two founders is to help raise humanity's level of consciousness through a neuro-biological shift in the brain which will make the persons EMF higher than that of the earths which then allows the person to avoid much of these problems.  A nice side effect is that you are in a very awake state and experience a deep connected sense of joy and peace internally no matter what is happening around you ;)

 

The web site is for you to take a look at and not to post on the site as due to the nature of the work, they don't want any media coverage in the west.  It is better the information is spread by those in each community mouth to mouth and experience by experience.  If you feel drawn let me know and I can find some people in Texas that can meet you and can share the Deeksha with you.  Thanks for all you do!

Seriously odd stuff, huh?  Generally, experience says most folks in Texas who are in a very awake states and experiencing unexplainable joy and peace regardless of what's going on around them have been hitting the Jack & Coke, or hold public office....but my research continues....

---

Meantime, the people who are dumb-struck by the changes standing around drooling and such would certainly fill the predictive linguistics from the ALTA reports.  Some as supposed to be so impacted that they will need the care of other humans to assist with bodily functions and so forth because they will be so shocked by events (internal or external) that they'll just go into 'lock-up' mode where they just won't be able to function.

 

All of which fits with the Boeing engineer story from earlier this week  (Chad/SixScent/Sick Scent) asks if you share the link, you use the original page located here). 

 

I'll let you know if I hear more on this...but the operating theory for now goes something like this:

  • World bounces along down a noisy long term economic decline

  • Somewhere in the 2011-2013 range we go through an odd part of the Local Stellar Space which is hugely energetic at some kind of electrical or mixed electrical/dimension level

  • Due to this, some people overload/short-out/become dysfunctional.

  • Clif and George notch another one on the side of a web bot server with a quiet "uh huh..."

Kid Adventures

Been a lot of attention about the number of kids that are taking off on trips 'round the world in sailboats lately, so to balance things off, up popped an email this morning from the Aircraft Owners and Pilots Association online service about a 17-year old who's doing a flight across the country in a Piper Super Cub.

---

Interesting thing is that in all these stories, the principles of lift and airfoils are the same.  Just that in a sailboat, the airfoil is working at maybe 10-knots of airspeed, while in a Super Cub it's happening at about nine times that speed...

---

Also of note in the AOPA notes is the report on Chihuahua, Mexico becoming something of an aerospace center...Cessna's expanding its operations there, along with other companies. 

---

I've shortened my list of planes to consider down to the Texas-made Mooney's, thanks.  made over in Kerrville, TX... Not just because owners are called "Mooniacs" (although frankly, I admire the attitude) but because it's a helluva go-fast plane and a decent used M-20C can be purchased used for around $50K and  they cruise in 150-160 knot range [which works out to 177- 189 MPH range for ground lubbers] and pulls down 18-20 MPG while doing it...some having a range north of 1,000 nm (1,118 statue) which is well beyond kidney operating parameters, without a portable kidney pressure relief device; a/k/a 'the comfort tube (male version) or a 'Jill-Jar' (female version).  Either of which is a fine reason to save up for a used West wind, or something in that size.  Now, if only they were free...

---

One other flying note:  The AOPA has an interesting article on "How much to brake" in their flight training section.  Never thought about it before, since how much brake I apply seems directly related to how quickly I want to get out of the airplane and kiss the ground, having cheated death again...

 

 

More on Monday (hmmm...or, is that 'moron Monday'?) , unless you subscribe to www.peoplenomics.com, in which case more Saturday morning...

 

 

 

Send your comments to george@ure.net

 


Reader Action Department:


Now at Peoplenomics.com

Move Over, Marx

The fundamental tenet of Peoplenomics is that it's well within human brainpower limits to come up with a better economic system than the one we now have.  However, getting it actually implemented is nigh on to impossible because special interests (large corporate flavor and the corporate-government (corpgov) alliance kind) stand squarely in the way.  Nevertheless, with just a little bit of

noodling, we can do better than Marx and redress some of the man vs. machine economic inequities.  This week:  Some radical economic ideas...

 

More for Subscribers          To Subscribe, CLICK HERE

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Dream A Little Dream...

If you have an especially vivid dream that seems to have something to do with the future, please write it down so others can look it over for possible future/predictive values.  Simple go to http://www.nationaldreamcenter.com/ and click over to the DreamBase - commercial-free and open registration...

 

Cookie Video

The folks at Maxa Research have put together a short video (sound track by guess who?) that shows the Maxa Cookie Manager.  You can see it here.

 

I don't usually get all whipped up about software, but this is one of those dandy tools that just simply works great.  First thing I put on my new computer when I got it was Avira Anti-virus and Maxa Cookie Manager (MCM).  Either follow the on-screen download instructions of simply click:

 

Once you try it out, to upgrade to the fully functioning version, just click the upgrade button (!) on the upper right hand side for the $35 unlock to get it to remove even those nasty and highly intrusive 'non-browser specific' cookies.  Bonus:  You computer may run faster. 

 

"Live on $10,000" A Year

Having a hard time making ends meet?  (Like who isn't, right?)  A good starting point to better match up income with outgo is our $10 e-book "How to Live on #10,000 a Year...or less!"

 

 Buy Now

 

It's an automatic download.  It's written in an information dense style: The whole thing runs about 65 pages, but it gives you a vision of how to not only live on the cheap, but also how to migrate up the economic foodchain if you have a little hustle left.  A bonus section called "How to Build Anything" should instill confidence if you've never taken on a home improvement/home creation project before, too.....  Click here for the index and details.

 

Pass It On

A different take on things - that's what you'll find here most mornings.  If you know of anyone who might also like our content, simply click here and send a link to them.  Or, if you hated what you read, send the link to all your 'worst enemies'.  Like they say in Burbank, "Ain't no such thing as bad press..."

----

Last week's report is always here

 


Thursday August 26, 2010

Mexico's Shock Market Changer

I should have mentioned in yesterday's report that we were sort of expecting a 'mass casualty' event in this timeframe because whenever the market gets into a particularly vulnerable position (chart-wise) it seems that we get a mass horror case that helps divert public attention from the market declines going on.

 

Depending on where you look, you'll be able to scratch out the facts which boil down to a drug gang massacring people who didn't pay the extortion 'fees' demanded by the druggies for help getting up and across our southern border.  72-victims of this, although it's probably not the first time it's happened.

 

More than anything, though is the 'emotional release" aspect of it.  First noted by astroecon whiz Bob Hitt. the idea is simple:  When the public is starting to whip itself up into a frenzy over the wrong thing [e.g. the market and the Depression unfolding] all that's needed is a properly sized emotionally impacting event to 'switch the panic off by, as Hitt explained it back when "...diverting that emotional energy somewhere else..."

 

Anyway, the bottom line of these 'shock events' seems to be that not only do they occur with some regularity, but their size could almost be used as a kind of unofficial marker as to the size of the pending market decline being eyed by the PTB which, of course, more of less control the MSM and, through it, what you think about.

 

For example:  The stock market was on the verge of recognizing the reality of the Second Depression when in the fall of 2001 the WTC 'attacks' were orchestrated.  You can tell that was a major turning point because of the size of the event, the emotional frenzy whipped up, and the new industry that resulted from it  -- the new Security Industry which was pretty much non-existent in August of 2001.  Terrorists (of the off-Wall Street variety) were successfully blamed, a new industry launched, along with a couple of wars...

---

There have been lesser cases, too, including the Virginia Tech Massacre in mid April 2007.  Had the market turned down on Monday April 16, 2007, a critical key count would have been completed and the decline that didn't begin until much later, would have been underway.  As it was, the market traded as low as 12,611.64 on 'massacre day'.  A week later, it traded as high as 13,029.59 and two weeks later 13,226.99.

 

My 'best guess' is this was the cloud over this timeframe that Clif's data showed, and in the pre-open this morning I clicked out of my short positions till next week, or so.  Like Bob Hitt said, the emotional energy's gotta go somewhere.  And looks to my cynical eyes like this kind of thing is a potential rally-driver.  Maybe a 4-5% upside move?  Just a dart. 

 

Risky trading this way - THIS IS NOT FINANCIAL OR TRADING ADVICE - but no guts, not glory I figure.  45-minutes into the extended hours session, I was 31-cents ahead of the bid by clicking out early.

 

No, I won't go into how to do extended hours trading, and knowing exactly what you're doing is essential, but if you do manage your own money, having all the tools is certainly a help; afterhours markets being one of them.

---

Also, working for my theory:  The new unemployment figures are out this morning:

"In the week ending Aug. 21, the advance figure for seasonally adjusted initial claims was 473,000, a decrease of 31,000 from the previous week's revised figure of 504,000. The 4-week moving average was 486,750, an increase of 3,250 from the previous week's revised average of 483,500.

The advance seasonally adjusted insured unemployment rate was 3.5 percent for the week ending Aug. 14, a decrease of 0.1 percentage point from the prior week's revised rate of 3.6 percent.

The advance number for seasonally adjusted insured unemployment during the week ending Aug. 14 was 4,456,000, a decrease of 62,000 from the preceding week's revised level of 4,518,000. The 4-week moving average was 4,508,750, a decrease of 28,000 from the preceding week's revised average of 4,536,750.

The fiscal year-to-date average of seasonally adjusted weekly insured unemployment, which corresponds to the appropriated AWIU trigger, was 5.001 million.

UNADJUSTED DATA

The advance number of actual initial claims under state programs, unadjusted, totaled 380,935 in the week ending Aug. 21, a decrease of 23,613 from the previous week. There were 457,269 initial claims in the comparable week in 2009. "

And then there's the Mass Layoff Report:

 

 

Notice, I didn't say "Warning, Warning!  All bears out of the Street till next week!  That's not what we do around here.  'Cept with our own dough, of course.

 

Oh, and that Mexico massacre?  All coincidental...I'm sure...

 

Why Not Washington

I see that Idaho is building it's largest wind complex to date.  Which brings up the obvious set of one-liners. No, I'm not going to burden you with 'em; you're quite capable of writing your own.

 

Sure is an interesting contest idea, though.

 

Supply - Demand Lesson

Let me see, half a billion eggs recalled and what do YOU think will happen to egg prices?  Whew, thank heavens it wasn't beer...

 

Meantime, the lawyering around the recall is starting...

---

Speaking of barn-yardy kinds of things, did you read where the head of the Obama debt panel is under fire for likening Social Security to "...a milk cow with 310-million tits..."?  Hot water, follows, of course...

 

Asia Diaspora, 2.0

Just when we thought the flooding in southwest Asia couldn't get worse, it does:  "Pakistan orders evacuations as flooding worsens" reports the VOA and others.

 

Of course, that was clearly spelled out in several of the HPH Shape of Things To Come reports...a fact not wasted on this reader:

"To the naysayers of the future predictive linguistic analysis, the hits regarding the floods are impressive as hell. Way back in December, vOi3, page 45 last paragraph is mentioned the summer flooding (I can’t cut & paste the sentences & I’m too lazy to retype them). Then in VOi4 (pg 27-28) is the 20 years worth of rain in hours that would flood unexpected places. Parts of Pakistan & Europe have had areas flood that rarely to never do. Also mentioned there are devastating landslides & mudflows. Not just the run-of-the-mill variety; much like what has happened in recent days/weeks. Page 23 refers to record-breaking amounts of rain & whole “regions” flooded. Sadly, I think Pakistan qualifies on all accounts with ~20% of its land-mass under water. vOi6 specifically mentions Eastern Europe rains of extraordinary size. Some might say it’s all part of the normal monsoon season. Wrong. This flooding in multiple areas is way beyond typical. On page 9 it mentions the misplaced weather systems that sit over areas like “toads”. I think the folks in Russia feel like they had a giant hot-weather toad sitting over them. The toad makes floods & droughts: on the E-W axis, the west side rains & the other side is dry. The very same high-pressure dome (no moving) caused floods on one side & drought/heat on the other. Anyway, I have been amazed at the way the flooding rains have turned out this summer. Great call!

Well, er, yeah, these things do have a way or working out now and then, don't they?  Hard to explain it to skeptics, though.

 

Trampling of Rights, Redux

The erosion of personal freedom in America continues unabated with more and more small incursions being put in place to bulk up the already beefy 'security state'.  A couple of recent examples:

 

Time Magazine has a good story about how the "Government can use GPS to track your every move" by simply putting a GPS device on your car while it sits in your driveway in the middle of the night.  Their thinking is that you have no expectation of privacy in your car...

 

Along parallel lines, Andy Greenberg, who writes "The Firewall" over at Forbes has an equally troubling article under the headline "Full-Body Scan Technology Deployed in Street-Roving Vans."

 

This last one brings up a whole bunch of issues, not to mention health concerns.  For example, let's say that I was a rabid audio aficionado and I wanted to use some lead sound deadening product to line much of my car.  Would that somehow be a trip-wire that would set off alarms over at Homeland Security?

 

I've always been partial to products like "Lcomp" which is a neat ½-inch thick sound absorber.  Used a bit of it when I was on the sailboat since it is great for cutting down engine noise.  But here's where this eventually wides (in typical twisted George fashion:  Can the cops pull you over for using too much lead-containing sound absorption material thinking you're a terrorist rather than a serious music purist? 

 

Too Much Silence

Speaking of which, I forgot to mention that a few days ago, there was a story on NHK's evening news (which I assume you're able to get on your free-to-air (FTA) television set-up, right?) about how Toyota was offering a $265 option on its Prius electrics that makes a noise (barely audible in the car, we're reassured) that will alert pedestrians that there's a stealthy electric car in the area.

 

What's even cooler about this:  It's been a terribly amusing story to see propagate from the satellite TV story to now something over 220-reports from various media listed by Google's news search engine.

---

No, there's not too much on FTA...but most of what's there is commercial-free and doesn't have any month subscription fees associated with it.  You can get a whole FTA set-up on eBay for under $300  (there's a Peoplenomics report for subscribers a while back on how we put ours in) and you can get an idea of some of what's available by looking at the MHz Networks website.

 

The cool thing about MHz is that they have an afternoon news block which I sometimes watch in the office.  It's a nice aggregation of NHK's news from Japan, Inside Taiwan (you figure it out), IBA News (Israel), Russia Today, South Asia Newsline, Al Jazeera (Middle East), Deutsche Welle (Germany) and France24.

 

Oh...no commercials and no monthly bill and don'tcha know we really miss those.  NOT!

 

Real Estate Price Note

Good article in the NY Post about NYC  real estate prices.  $140/square foot in an upscale location...if you've got $35-million sitting in your cookie jar.

 

You results may vary.

 

And "For the Truly Pessimistic" Department

The website www.2012pro.com has an article worth some consideration:  "2012 - 7 Reasons the world will end on December 21, 2012"

---

Oh...speaking of which - you remember that article by a former Boeing guy about the worries about what's up ahead in our near future?  Several people asked whether it was real. 

 

Good question...so I asked the author of the story (SixScent) who posted the work over at his website (here).  I tracked him down because I had some questions, too.  Here're some of his answers - you can figure out my questions, I hope:

I confirmed who he was. I know his name, etc. I am still in contact with him. He has written a book (unrelated to any of this) a few years back, and that is how I tracked him down and confirmed who he is.   I have accumulated a mass amount of information on this subject and it backed everything he proposed.

---

Also, as far as I have been able to gather. He did quit. I was in contact with him when he moved, and he complained of having 2 mortgages. He told me when he finally sold his house in [withheld for privacy concerns - G]. He was very excited because it sold rather quickly in a shitty market. I know what he looks like. I know his wife's name, etc.

---

Many think it is a hoax, because I put all the material (and Boeing guy) on GLP. In my opinion, it is the scientific material that should speak for itself...not relying on Boeing guys words... I will contact him today. He has expressed to me not to use his name. He has even told others that if it doesn't happen, he wants to still have an opportunity to get his job back at Boeing. He just wanted to give a warning, and I (and others) proved that his warning is 100% valid. As I said George (sry about typos...on my phone) my website has an enormous amount of info on what he warns about...you can use my real name or whatever...I don't care. Feel free to ask me anything.

Well, there you go...thanks Chad... another worry about 2012 - this passing through "local interstellar space" junk.

 

Whether this will be enough to set off all kinds of coronal mass ejections, or some kind of odd solar-driven EMP event that bakes most of the earth's computer systems would be wildly speculative.  But, at least the current sunspot cycle should provide ham radio hobbyists like me with unbelievable - maybe once in a lifetime - conditions.

---

Elaine's a bit mystified by ham radio, still.  She doesn't seem to understand how I can pull an incredibly weak Morse code signal out from way down in the noise floor on the ham radio setup and still not be able to hear when she needs something done over at the house.

 

Male pattern deafness, dear.  Aggravated by rare DX on the low end of 20-meters.

 

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Coping:  15-Years of Windows®

There was a neat article on ZD Net this week by Mary Jo Foley that stirred up a lot of memories under the headline "We you in line to buy Windows 95 fifteen years ago?"  Brought back a whole bunch of memories and an opportunity to do a little 'self audit' of what's changed in my life since then.

 

In 1995 I was indeed one of the people in line to buy W95 on release morning in Seattle.  I can even remember which office products store. My major milestones since then?  Turns out to be an interesting list...

  • In 1995 I hadn't yet been mentioned on any patents.  Within 5-years, there'd be four of 'em.

  • In 1995 I was still working on my MBA and the long wave economics group was going strong thanks to the University of Colorado's Center for a Sustainable Future.

  • I was single, living on my sailboat at Shilshole Marina in Seattle engaged in what turned out to be mate-fishing; please don't ask about the "catch & release" program...

  • Since 1995 I've lived in... Seattle, San Francisco, San Diego, Boca Raton, Palestine, Texas, and Burbank, California for at least six months each.

  • I got married [again] in 2000, which brings to mind Pappy's advice that one of the few bargains left in the world is the cost of a marriage license, but only to the 'right one'.  Otherwise, it's the most expensive piece of paper you'll ever sign.  Found out on both counts.  Some mistakes, we just gotta make for ourselves.

  • We've sailed everything from the north end of Vancouver Island down to Mexico, save the part from Cape Flattery to about Bodega bay...boat was trucked down to Nelson's in Alameda due to work timing.

  • I helped a software outfit get Microsoft Gold Partner of the Year for an education vertical market SQL product.

  • Managed to remain more of less employed throughout the period.

  • Grew this website from non-existent to 70,000 page views a day.

  • Helped several clients get rich.

Not that these are brag point; just trying to get the idea across that when people look at birthdays there's sometimes not a lot of movement in Life noticeable.  But, when you take a bigger chuck of it - fifteen years, in this case - you can see a nice trail of what you've done.

 

The 'open items list' includes writing a best-selling book.  I've got plans in that regard, however.  Just a matter of self-discipline. 

 

What I'm coming around to is that a 15-year look at your progress through Life isn't a bad thing to do and the anniversary of W95 isn't a bad timeframe to consider.

 

Especially since we all exit life with the unexpected 'blue screen of death' (BSOD) at some point.  Might as well make the best of each day.

 

Power of Computing

So there I was in the early hours of this morning going over some things on Amazon and I noticed they were trying to get me to set up a 'pay phrase' for checking out.  The suggestion?  "George Whipped Etiquette".

 

How'd they know?

 

Another Bug Theory

Over the past week, or so, we've been pondering what the lack of bugs in parts of the country might mean - if anything at all.  Along comes this fine statement of the obvious:

George,

My feeling about the "bug decline" that readers have been reporting is that the harsh winter caused a reduction in the summer bug populations by disrupting their natural life cycle.  Probably won't see a rebound in the populations until early fall.

A Times Daily article from January said that the cold snaps would mean fewer bugs this summer.

Didn't see that on your list of theories.

Actually, this one make sense.  Well, as much as anything makes sense these days...

 

Readers Asking

Here's a good one:

Hi George,

 

I have been going nuts trying to figure something out.  In the morning, (5:00 or so) I hear a low humming noise.

My wife does not hear it.  I turned off the power to the house and I still hear it.  I put ear plugs in to sleep now, and I still hear it.  It's been going on for months.

 

The only way to descibe the noise, is for you to think of a 1950's WWII movie scene where soldiers are talking in the back of the plane waiting to jump.  The background noise of the plane is the sound.

 

I finally researched this and found many other people, all over the place, that have this problem. http://www.godlikeproductions.com/forum1/message579401/pg1 

 

Can you shed some light on this?

Dude, you so have to read up on the history of the Taos Hum...  Reader's in Wisconsin, a bit removed but maybe....

 


Wednesday August 25, 2010

Egg story Updated

 

Yes - This is a Depression...BUT...

It's really one of those good news - bad news affairs.  Yes, it is a Depression, since the only way the economic numbers can be read is that we're out of bubbles to inflate, there are millions of jobs that have been outsourced and will never return to America, and the housing report Tuesday just plain old sucked

 

Yes, this is the site that started writing about the long wave of economics and the theoretical end of the great boom from the last depression through present day which had to come to an end not later than 83.5 years or so after its inception because no matter how the numbers get pushed around, the magic of compounding swaps every nook and cranny  of the economy with debt burden by that point, no matter what.

 

So this morning we're likely to have another downer/bummer on Wall Street, since Europe started off down this morning, and Japan shaved another 1.66% off the Nikkei overnight.

 

An optimist could say that things aren't so bad:  The Fed and the Treasury seem to have managed things OK...at least so far.  The Housing Bubble is being unwound and  there's light at the end of the tunnel, right?

 

Let me interject here with the Durable Goods Order report, hot off the Xerox machine...

New Orders New orders for manufactured durable goods in July increased $0.6 billion or 0.3 percent to $193.0 billion, the U.S. Census Bureau announced today. This increase followed two consecutive monthly decreases including a 0.1 percent June decrease. Excluding transportation, new orders decreased 3.8 percent. Excluding defense, new orders increased 0.3 percent. Transportation equipment, also up following two consecutive monthly decreases, had the largest increase, $6.1 billion or 13.1 percent to $52.6 billion. This was due to nondefense aircraft and parts, which increased $4.0 billion.

 

Shipments Shipments of manufactured durable goods in July, up four of the last five months, increased $4.4 billion or 2.2 percent to $200.6 billion. This followed a 0.2 percent June increase. Transportation equipment, also up four of the last five months, had the largest increase, $3.4 billion or 6.9 percent to $52.7 billion.

 

Unfilled Orders Unfilled orders for manufactured durable goods in July, down following three consecutive monthly increases, decreased $1.1 billion or 0.1 percent to $802.8 billion. This followed a 0.1 percent June increase. Computers and electronic products, down following four consecutive monthly increases, had the largest decrease, $0.5 billion or 0.4 percent to $121.1 billion.

Pardon me while I put on the green eyeshades for a moment and point out how we're not even back to 2008 levels which is why statistics with only a one-year window in the rearview mirror are both useless and largely for idiots:

 

Ure's Durable Thinking          
  Current Jun-10 ∆ v. 'Jun Jul-09 ∆ v. '09 Jul-08 ∆ v. '08
New Orders 193.02 192.45 100.30% 168.4 114.62% 219.3 88.02%
Shipped 200.6 196.26 102.21% 173.1 115.89% 215.3 93.17%
Unfilled 802.8 803.9 99.86% 720.2 111.47% 824.4 97.38%

 

If that sounds a little less than encouraging, consider the headline that the "...Number of Americans receiving long-term Unemployment Benefits has risen a whopping 60 Percent in just One Year..."

 

Later on this morning, new home sales figures will be released.  While the so-so Durables orders might leave room for a short bounce after the open, you might not want to be standing under windows around 9 AM Central (10 A Eastern) when the home sales come out.  Or, at least look up once in a while.  Bound to be better than the existing sales of Tuesday, but not much since I've been talking to a few local builders who've hinted that the only want to get money out of a bank lately is at gunpoint.

---

While Robin Landry's work still points to a short term (6-month?) low around 8,500 down to 8,100, then a bounce and then going down to around the 4,400 level (or lower) over the coming year or two, the others eyheing the data are starting to gin up some headlines, too.  Like this one who says the the "Dow Faces a Bouncy Ride to 5,000".

---

Why is it that when I give you great market calls and perspective since 1997, no one pays attention, but when a PR piece hits the wire, Bingo!  It's somehow more real?   (sigh, grumbles, slurps of cold coffee...).  Pearls before Sheep, I tell yah!

 

Futures look weak.  Maybe not everyone's an idiot... yes it's a Depression, but these things take a lot of time to work out.

 

Scared Sheep

One reason might have to do with the sheep just recently being stampeded into pulling in their spending habits.  Latest evidence is that overall credit card debt has dropped to the lowest level in 8-years.

 

Don't tell anyone (but this is the secret sauce behind the market collapse...)  If their ain't no spending, ain't no new jobs, and we sink deeper into Depression 2.0.  (We're geniuses for getting this figured out, huh?)

 

Then, once people notice prices falling, they will begin to postpone big ticket purchases which will make things like Durable Goods crater....or weren't you paying attention earlier on in today's report?

 

Protecting the Boss Dept.

You see where WIBW is reporting "Corruption Investigators: Blago Investigation Cut Short to Protect Obama"?

 

Must be something about Chicago politics that screws people up, you think?  Maybe it's the water...

 

Vodka and Eggs

"Yum!"  No, you sot!  Not that way....this way explains a reader:

"Okay, so help me out here. The diseased eggs that are all being recalled. Salmonella on eggs is on the exterior shell. The eggs are washed to prevent this. All a person has to do is wash the eggs (as farmers have done for thousand of years) or swab it with alcohol if your really paranoid and bingo, its gone. So instead of putting out a "swab your egg advisory", they have destroyed billions of food items? WTF Now if the salmonella is inside the egg, that's impossible, unless it was put there. Jeez George, this passes my usual pissoff ratio, when I see forty million Americans needing food stamps and the gov doing this. No wonder they are removing ammo from the markets.

Wrong, but LOL...even more amazing are the headlines that people are now changing their eating habits because of it.

 

But Wait!  See this link for details - inside the egg is possible...

 

Our staff consulting microbiologist called this morning with further details as to how this works:  If the egg is in the ovaries of an infected bird, then the shell forms later after the egg is somewhat developed, which traps the salmonella on the inside...

 

Six-Pack Science Dept.

The Toronto Star has a dandy one: "Party-goer didn't notice he'd been shot in head.  For five years...

---

Hmmm... Zeus the Cat says I should hold off till Friday afternoon, then...

 

Iran War Drum Beating

China reports on the new Iranian surface-to-surface missile with a range of  250 kilometers.  Pencils to about 155.34 miles.

 

So this one I don't think is too big a deal.  Fired from Tehran, this wouldn't even make it outside their own country, although if fired from Iran's western border area, it could hit Baghdad....

 

Then again with dozens being killed there by bombings now, seems kinda redundant.

 

War over, huh?

 

Hitler's DNA: Jewish & Black?

The Daily Mail headline "DNA tests reveal 'Hitler was descended from the Jews and Africans he hated'" is certainly going to ripple around the supremacist circles, we imagine.

---

Me?  Just a slightly overweight T6 haplotype.  Try putting that on a job application.  Speaking of which...

---

Last time I filled out an employment ap, years ago and they asked "Race:  (answer for HR statistical purposes only)  I put in "Sailboats, bikes when younger".  In the future I will simply put T6 and let them wonder if I'm a Terminator or what...depends how sharp the HR group is, I suppose....

 

Then again, I also answered for "DOB:_Yes_

 

For some odd reason, never got a call back...

 

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Coping: Drawing a Bead on 2012

I've been spending a fair amount of time this week trying to reconcile three or four major viewpoints on what lays ahead using a variety of inputs.  curiously, all of them seem to be pointing toward a really terrible next couple of years with the only major difference being the rate of decline and the ultimate answer to the question "How far is down?"

 

The first thing I've come to terms with is how Clif's expectation of a major 'earthquake" around the first of August was off.  Well, except it wasn't really.  You see, what we experienced on August 1 was what can only be described as as "Sunquake"...which, since it's not a common word - or concept (yet) takes a little explaining.

 

The basic idea is that the Sun's equator material spins around at a different speed than the sun's polar material.  As this stuff swirls around at however many million degrees, it has the potential to twist up the Sun's plasma in such a way as to cause major filaments (Hyder flares) to develop.  And then push ejecta out toward whatever is in the way.

 

Now, since we know Earth is going to be crossing the Galactic Ecliptic, shortly, we might look for other linked oddities in the "space goat farts' part of language shift to see what else lurks.... Normally, this would not be a 'big deal' except there's this interesting document floating around the 'net titled "The coming: A Boeing Whistleblower's Warning: Will a Massive Celectial System Change Our Solar System".

 

The gist of the (97 pges worth of .PDF) document is that not only has NASA already preannounced that there's been a "Giant Breach in Earth's Magnetic Filed Found"  (this was in late 2008) but more recently a "Giant Ribbon Discovered at the end of the Solar System" (October 2009).

 

But the really scary stuff is that attending this "giant ribbon" thingy is this material referred to as 'local fluff' has now been explained...at least sort of.

 

This whole region of space we're into (and getting deeper if I follow it),  has the name "Local Interstellar Cloud" (and a Wikipedia entry here) seems not to be too big a threat until....

 

You start to line up the rest of what's going on which includes the August 1 Sunquake and all the research that folks like Patrick Geryl have done.

 

Geryl, you'll recall, has written several books about what could happen in late 2012 including How To Survive 2012.

 

A while back, an email from Geryl included this interesting note:

"On August 1st, the entire Earth-facing side of the sun erupted in a tumult of activity. There was a C3-class solar flare, a solar tsunami, multiple filaments of magnetism lifting off the stellar surface, large-scale shaking of the solar corona, radio bursts, a coronal mass ejection and more. Three days later, our planet Earth was hit with magnetic storms, yet not strong enough to dramatically disrupt life, yet strong enough to disturb certain GPS systems. Researchers had predicted the eruptions to take place around July 31st yet didn’t publish the prediction. Now, they want to make it a point about their next calculated prediction: October 27, 2010.

 

Patrick Geryl wrote in his book The World Cataclysm in 2012: The Maya Countdown to the End of Our World about his discovery that the Mayas used the sunspot theory to count down to December 21, 2012. According to their calculations, the magnetic field of the sun would start changing at 10 bits of 87.45 days before the end. When subtracting 874.5 (10 times 87.45) days from December 21, 2012 we end up at July 31, 2010. On August 1st, 2010 the above mentioned complex eruption took place on the sun, indicating changes to the magnetic field of the sun. Patrick had shared this calculated prediction with few people yet not published it on his website."  (quoted with Patrick's permission)

"So what does this lead to?" you're wondering...

 

Well, looking at the odd language in Clif's data from the latest www.halfpasthuman.com forward looking (long term data sets) report, reading over the development of the Local Interstellar Cloud, eyeing the August 1st Sunquake, the problems with the Earth's magnetosphere, and all those 'angry sun' images which have been passed down to us from ancient times, one can come up with a postulate to table and begin to watch that might work out something like this:

 

September 3-4, 2010:  The next round of earthquake data from Tony Ring, who's been kind enough to share his work with us, MAY show another monthly increase in earthquake activity, continuing bothersome trends that seem to indicate a gradual (years long) increase in quakes.

 

October 25-28, 2010:  If Clif's data and the work Patrick has put together mesh at all with the purported "Boeing Whistleblower" data, we should see another "Sunquake" in this period.  Excerpt, that it should be stronger than the last one since if the 2012 fears are real, we could see some build up of magnitudes of impacts as we get closer.

 

Concurrent Event:  Remember our recent discussions "Down at the Wujo" where woo-woo and science come together to duke it out on the mat of reality?  Well, this could mark a period when we will have another round of 'high strangeness' happening leading into the event.  Working theory:  As the Sun winds up huge energies in plasma, it can bend or twist space-time in unexpected ways which may be perceptible to humans as anomalous phenomena such as keys showing up in strange places, time jumps, and hyperchronism events.

 

IF we get a noticeable Sunquake in this period, then things get really, really serious for the whole of this here rock because if you add the 87.45 days of that Solar equatorial/pole difference up, and then throw out the numbers, you can see where it's possible that we will have only nine of the 87.45 day cycles left before hitting 2012 which - by Patrick's work, but not contradicted by the long term values in Clif's work) be some kind of crescendo or Earth changer event.  Here's how the date would line up if the 87.45 day cycle is applied, although how accurate this is doesn't really matter; if there's another "Sunquake" within 4-5 days either side of the October 25 window, Mr. Ure will be quickly making plans to head "North of 40" which is persistent in Clif's work.

 

Here's how the dates could line up:

 

Cycles Left Sunquake Dates
10 Sunday, August 01, 2010
9 Monday, October 25, 2010
8 Tuesday, January 18, 2011
7 Thursday, April 14, 2011
6 Friday, July 08, 2011
5 Sunday, October 02, 2011
4 Monday, December 26, 2011
3 Wednesday, March 21, 2012
2 Thursday, June 14, 2012
1 Saturday, September 08, 2012
0 Sunday, December 02, 2012

 

All of which might answer an interesting problem that Clif and I have kicked around:  Why all the "North of 40º" references in Clif's work?  Well, if you look at the date line ups here, what you'll notice is that many of them happen very close to the Winter Solstice.  At that time, the Sun is 23.5º south of the equator, which means that the local angle to the sun at 40º north would be around 63.5º (January 21st each year) which would make the arrival of any energy from the sun have to transit a much thicker layer of atmosphere to get to the north climes.

 

If there's any tie-in between the ancient stories of Atlantic or Lemuria sinking, and the periodic passing through whatever part of space we're in, then might it be possible that the 'angry sun' getting twisted up and ultra-long filaments developing be part of the picture?  An unqualified "Who knows for sure?"

 

Moreover,  are there logical checks or experiments we could design?  Simple task:  Wait to see what happens around October 20-Nov. 1-ish.  If we get a 'sunquake" in that window, then we have to proceed to the next level of planning which would be to envision what kind of energy might be released, and if it's big and electromagnetic then we will ramp up the most aggressive EMP protection around us we can imagine. 

 

Or, if the energy from collapsing filament(s) activity on the Sun were to send visible energy (heat) then perhaps the 'angry sun' might be setting up for some kind of energetic arcing to the planets, as has been postulated elsewhere.  Worse: A pulse of energy great enough to touch of spontaneous fires.  Although, if you live the life electric, having a huge sun-driven EMP event might be the functional equivalent...

 

Remember on all this stuff that just because it hasn't happened in the written memory of humans, doesn't me that it hasn't happened before.  So we patiently wait for the end of October to see if the speculation carries any weight.

 

Conspiracy Theories -- That Aren't

As long as we're out on the ragged edge this morning, here's a dandy read-submitted note:

"Hello George

Sometimes on lazy middays like today there are thoughts haunting me about the real level of knowledge available for common man and if we are really interested in collecting it or we still prefer to pretend these are just conspiracy theories.

In example, Bilderberg meetings. Alex Jones is hunting them and their participants, trying to document stuff, even some MSM is beginning to tell a word or two about but most of the people are still passing them by only shrugging as "this is all not possible".

Ummm...in the times when mr. Jones was still a kid someone hanged this board on the wall in the centre of my city...(attached). Seems like Krakow's, Poland decision makers are kinda better informed than most of us as date of creating this little memoration place is 1962.

Another "common yet uncommon knowledge" example is a case of this machine:

http://en.wikipedia.org/wiki/Leninetz_Ayaks 

Hypersonic orbital bomber? Phew, another Aurora,TR3B or another sh.t fairy tale, right? Would be right if not the fact that Russians and Chinese are building it formally and (quite) openly, not just building anyway but also tested a prototype before showing it on an air show-9 years ago. But nooo, it has no right to exist, right?

Btw, if they started solid development in 2001 counting it may take 10-15 years, than we have...(enter correct date here)of course if they didn't load some EXTRA cash to the project...

Remember people, knowledge is common, not reaching for it is...(enter correct word again, please:)

So, you're wondering, what was that Retinger reference about and who is he?  Aha!  A check of the local Wikipedia shows:

"Retinger was born in Kraków, Poland (at that time a part of Austria-Hungary), the youngest of four children. His father, Józef Stanisław Retinger, was the personal legal counsel and adviser to Count Władysław Zamoyski. When Józef H. Retinger's father died, Count Zamoyski took young Józef under his wing. Retinger had planned on becoming a priest, and was enrolled in a seminary, but the prospect of celibacy made him change his mind.[citation needed]

Financed by Count Zamoyski, Retinger attended the Sorbonne in 1906, and was the youngest person ever to earn a Ph.D. there, in 1908 at the age of twenty, before his move to England in 1911, where his closest friend was fellow Pole, Joseph Conrad. He would later write about Conrad in his book, Conrad and His Contemporaries (1943).

In 1917 Retinger traveled to Mexico, where he became an unofficial political adviser to union organizer Luis Morones and President Plutarco Elías Calles. Later, during World War II, he advised the Prime Minister of the Polish Government in Exile, General Władysław Sikorski. In 1944, aged 56, Retinger parachuted into occupied Poland with 2nd Lt. Tadeusz Chciuk-Celt, in Operation Salamander, to talk with leading political figures and deliver money to the Polish underground.

After the war, Retinger became a leading advocate of European unification and helped found both the European Movement and the Council of Europe. He was later to become Honorary Secretary General of the European Movement.

Retinger initiated the Bilderberg conferences (1954) and was their secretary until his death in 1960."

OK, about here you're going "Oh...THAT Józef Retinger.  Jah...that one...

 

See how everything fits together in an odd puzzle-shaped sort of way?

 


Tuesday August 24, 2010

Sad Builders, Happy Bears

Can't please 'em all.  Just in from the National Association of Realtors:

Washington, August 24, 2010

Existing-home sales were sharply lower in July following expiration of the home buyer tax credit but home prices continued to gain, according to the National Association of Realtors®.

Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, dropped 27.2 percent to a seasonally adjusted annual rate of 3.83 million units in July from a downwardly revised 5.26 million in June, and are 25.5 percent below the 5.14 million-unit level in July 2009.

Sales are at the lowest level since the total existing-home sales series launched in 1999, and single family sales – accounting for the bulk of transactions – are at the lowest level since May of 1995.

Lawrence Yun, NAR chief economist, said a soft sales pace likely will continue for a few additional months. “Consumers rationally jumped into the market before the deadline for the home buyer tax credit expired. Since May, after the deadline, contract signings have been notably lower and a pause period for home sales is likely to last through September,” he said. “However, given the rock-bottom mortgage interest rates and historically high housing affordability conditions, the pace of a sales recovery could pick up quickly, provided the economy consistently adds jobs.

“Even with sales pausing for a few months, annual sales are expected to reach 5 million in 2010 because of healthy activity in the first half of the year. To place in perspective, annual sales averaged 4.9 million in the past 20 years, and 4.4 million over the past 30 years,” Yun said.

Well, gee, gosh, no surprise around here.  Did I or did I not start Monday with a headline that went something like...oh yeah, here it is....."Fade the Rally Again - Rose Colored Monday"?

 

Only question is whether 10,000 will hold.  My dart:  Briefly under then a last minute rally to pull it back on the top side of 10,000...but not financial advice, just a damn dart toss.

 

10,000 and Other Psychological Barriers

I find myself asking an odd question as we're a couple of hours yet from the opening of the markets as this morning's column spills out of the fingers: What if Global Markets are entraining for a crash?

 

The reason for bringing up the question is that we could see multiple markets this week hit - and pass through to the downside - several psychologically important numbers.

 

Take Hong Kong's Hang Seng:  It only dropped 230-odd points overnight, but it's getting close to a big round number:  20,000.  It would only take another 658.72 points - a couple of days of trading, say by Friday - for that market to drop below a key big round number.

 

Taiwan's TSEC index is at 7,940-ish this morning, but during the trading session Tuesday it popped up as high as 8,013.12 - another one of those big round numbers.

 

Then there's Japan's Nikkei 225 which traded as high as 9,069-ish overnight, but which closed just under one of those big round numbers (9,000) to close at 8,995.14.

 

Same kind of thing may be seen, by squinting at things just so, in Europe this morning where the German DAX Monday fell through the 6,000 level, and UK's FTSE is edging its way down toward the 5,000 level, although it's not quite there...yet.  Give it time.

 

I mention this because the US Dow is only 175 points (before the open) away from a big round number, too - the 10,000 level which has been called (by more astute observers than me) an 'important psychological barrier', and the S&P is looking to me like it could go down and test - and possibly penetrate - the 1,000 level.  If that happens, the NASDAQ, too, could punch through the 2,000 level.

 

So if this anything other than monkeymind looking at the predictive linguistic 'hot date range' and wondering if we might see some kind of global entrainment shape up only to be kicked seriously to the downside worldwide with some kind of adverse news?  Maybe...maybe not.

 

The key thing to watch here is that the markets have been in a crash window since around the end of July with the Grand Cross that the astromoney folks were going on about, and just because it hasn't happened yet is hardly any reason to go lining up behind the bullish case.  Their window runs to September something.

 

The Home Sales report will be out at mid morning and serious disappointment there might be all it will take for the Dow to mount a real challenge to the 10,000 level...today.

 

One thing to keep an eye on - another one of those 'big round numbers' is the battle around $1,200 for gold.  If gold decisively takes out the $1,200 level to the downside, then it might hint that deflation fears are back in a meaningful way as a market driver, and should that happen, things like the US dollar could gain appreciably which, in turn, would tend to drive down the price of US stocks since they're currently priced almost as much as a proxy for inflation as for underlying value.

---

Had an interesting conversation yesterday with my friend Howard Hill (who, BTW is calling a top in the 10-year and higher bonds, although he admits probably early) about a phenomena that may soon come to call on various investment outfits called "Hobson's Choice".

 

The problem for some of the big investment firms is that yields are getting so dicey in some instruments that a few firms could soon find themselves in a position where the two choices are either a) cut deals now that will result in guaranteed losses in the future - unless greater fools can be found, or b), not do any deals at all, which as Howard points out is not really a choice at all, because that'd be telling their customers to 'get lost' and going out of business, which is clearly not a viable choice, at least if they want customer money to play with.

 

But that's the kind of picture that's starting to emerge not in stocks and unlevered bonds, but in the more sophisticated instruments like bundles of this, or that (thinking derivatives).  Howard's got a much more elegant explanation of how this could all work out in his article "S Curves" which you can (and I think should) read here, because when Howard's good, he's just frigging brilliant.  Telling us regular folks how the magic works behind the curtain is a noble endeavor if there ever was one.

 

And that gets me to a very interesting tactical question for the Fed and Treasury to be thinking about in here:  "What happens if a lot of the 'little' boutique operations that do small numbers of derivatives and minor REIT's and such all start to run into Howard's Hobson's choice problem at about the same time and toss in the towel?

 

Just old goat farmer's gut talking here, but couldn't we find the market has avoided short-term death via bailouts of last year only to live long enough (1 year cost how many trillion?) to 'die a death  by a thousand cuts' as boutiques start to implode which then sets off a [chain reaction] that doesn't lend itself to the 'too big to fail' excuse to bail, but which nevertheless starts the avalanche of cascading collapse?

---

Maybe the Norfolk Southern railroad is onto something with 100-year bonds....or is that just pushing the promise to deliver onto folks two or three generations out?  Now, if they'd tie it to gold or oil or something like so many calories of food out there, I could see it really being worth something. 

 

Otherwise, are you kidding?  The minimum implied annual deflation rate alone would have to be 2.3-2.5% just to take up for the average money-watering-down that the Fed's already demonstrated since 1913 (a year that lives in infamy for spawning both the income tax and IRS).

----

My guess:  If it does, then look for the US to be chomping at the bit to either pick a new war to go fight, or we'll get some kind of attack on the homeland.  To have an honest outcome in the larger game would reveal  "Why, yes, the Emperor really has no clothes on" down on Wall Street.  And when the illusion of savings (or whatever you call those derivatives bundles tossed mindlessly in pension funds and endowments and IRA's and such) gets blown up, I figure the whole country will just slide to Third World status in only a couple of months as the financial system (and in turn everything else) 'coagulates' - to use Clif's right word to describe things.

 

If my columns get a little dark and brooding over the coming fall, don't worry about my portfolio; I'll be worried about the much bigger problem of how to get some of that Monopoly Money turned into something useful like food and solar panels and more seeds for the garden before even that is made illegal in an effort to beggar The People and prop up the American Aristocracy.  A 60-70% gain for the year which is my plan, isn't much of an accomplishment if it won't buy a six-pack, know what I mean?

 

Think Ahead A Bit:  Inflation is NOT prices going UP...it's the purchasing power of money GOING DOWN.  The hyper education system teaches it back-asswards.  Inflation follow deflation like day follows night.

 

All of which means what? America may soon be facing a scaled-up version of Hobson's Choice - bigger than even the boutique derivative shop questions floating around the periphery of Wall Street.  Do we take the third world lifestyle choice and do a cold restart, or just implode and claw back from the late 1800's?

 

Ugly Questions.  No simple answers.

 

Say What?

The Smoking Gun has a grand read - not to be missed - "Justice Department Seeks Ebonics Experts: DEA wants "Black English" linguists to decipher bugged calls". Wo tah, homie?

 

Elsewhere, Life Continues

"Barack Obama Elementary School opens in Maryland".  Wonder if they teach pollution control or how a checkbook works?

 

Going For Our Food

Extra large...no, make that jumbo sized...assault on personal freedom is shaping up behind the egg recall which is blowing up into a half-billion egg whoopdee.

 

All of which will be used to try and stampede folks into 'food safety measure' (S.510 et al) which will restrict home grown food even for personal consumption. 

 

Click here to read the bill to see how a food safety bill gets introduced (119 pages) and turned into a Homeland Security power grab bill (266 pages) which then goes to the full Senate where I'm betting the egg recall will be used to reinflate the stretch for more powers and thus control of agriculture.

 

New word around here for use on the would-be food controllers:  The Cropstapo.

----

Gee...let me think: How did humans get along about a million years without all this government intervention.....??

 

The yokes on us.

 

Carter Does Salt?

Let me see... is it the movie which opens with Angelina Jolie in a North Korean prison?  The movie was Salt...still showing.

 

Nope...this one opens with Jimmy Carter going to North Korea on a rescue mission.

 

Life is still imitating art, I 'spose.  Salt - the movie- has made $172-million and still climbing.  No telling what Carter's cost us. 

 

Move Over Windy City

Rose Park Utah is getting a taste of those strange/new wind patterns that have been in the predictive linguistics...just a foretaste to be sure, but 60-70 mile an hour winds are a real nuisance.

 

Wonder if there's a kite shop up there?  Come to think of it, wonder how many kite shops there are in Washington?  Plenty o' wind there...

 

Steamrollers Alert

So, now that a federal judge Monday blocked further stem cell research, which the Obama administration has been pushing, the next move will be a federal appeal to a higher court where the feds will no doubt get their way.

 

Iraq Charade

A growing number of readers are sending notes noticing something wrong with the highly touted US withdrawal of combat troops from Iraq.

 

"Why, some are even asking 'If the war's really over then why aren't our boys (and girls) headed home?" 

 

Oh, you missed the part where we're just taking them off the board till the Iran mess has worked up to a full-on battle, and then we'll put 'em back in the fight.  Say, didn't ya'll learn how to play chess as a kid?

 

Quakes To Come?

Reader's been watching the latest from the magnetometers us at HAARP and wondering if there might be some fallout from the solar winds hitting.

 

"Justice Delayed...."

Up to 230 cases investigated by the North Carolina State Bureau of Investigation will be reviewed for tainted evidence.  Some of the people in jail - who could be innocent -- goes back to the early 1990's and the probe comes after a man finally got out after being wrongly imprisoned for 17-years. 

---

Oh, the rest of the saying is "Justice delayed is justice denied."  And applies everywhere....came from British prime minister William Gladstone.

 

Along the same lines:  "The more laws, the less justice" - Marcus Tillis Cicero.

 

Or my own all purpose quote suitable for anything:  "They're doing WHAT?"

 

===== snip and save market =====

 

Coping:  The Rambling Search for Justice

Ready for a little more "Truth Out" stuff?  Yesterday I told you the tale of the blogger in Philadelphia who the city was trying to weasel $300-bucks out of...which seems absurd.  But check it out:  We have a reader who knows the real story about what's going on the City of Brotherly Love:

I worked as a lawyer for several years in Philadelphia. There are two reasons for the perverse blog tax in Philadelphia. First, the city has a horrible fascist law that gives a cut of business "privilege" tax receipts to anyone who narcs out anyone making a dime in Philly. Second, the city is absolutely crawling with lawyers. Most quit because they can't make a living, and most of the rest do just about anything they can to make almost a living. Put the two together and you're f*&%$d. Some of the lawyers hunt the businesses for a cut of the tax. The the bureaucrats can't use discretion because they must pay the narcs.

Lot's of America's heritage has gone by the wayside, to our collective culture loss, but every once in a while something like this little bit about Philadelphia lawyers comes up which just demands a bit more comment.

 

However, since we live in a litigious society I'll bite my tongue (now bleeding profusely) and simply refer you to a song from the last Depression - written by folk singing legend Woodie Guthrie (father of Arlo, who in turn did Alice's Restaurant).  The 1937 tune was "Reno Blues" but it's also called The Philadelphia Lawyer Song...lyrics here if you care.

---

In keeping with our musicology class today, a footnote on Alice's Restaurant in passing:

"In an interview for All Things Considered, Guthrie said the song points out that any American citizen who was convicted of a crime, no matter how minor (in his case, it was littering), could avoid being conscripted to fight in the Vietnam War.["

I wonder if that really worked in places like, oh, North Carolina.

 

Spaced

Say, here's a reason to pour gazillions more into various space programs that you and I will never get to fly in:  A BBC report that "Beer microbes live 553 days outside the ISS".

 

Before you pick up the pitchfork to confront the PTB about their beer hall plans in space, this is microbes from the Cliffs of Beer...not a nice Pilsner kind.   Save the pitchfork for later, you'll need it.

 

Bugs - Terra Infirma

Almost forgot to mention that the most extreme weather in history is slapping Indonesia around.  I mention this in passing because we've got some trees here at the ranch dropping leaves early, and we're wondering is this doesn't have something to do with the 'disappearing bug reports' which are piling up from all over the place:

"Vazeny Jiri:

I want to let you know that I have noticed a relatively bug free summer here in Prague this year. Usually we see ladybugs and some other red winged or bodied insects in quantity as was the case in 2008 and 2009.

This winter and summer have been a bit extreme here. Usually the climate here is like that of Piedmont Virginia and North Carolina, but this winter was colder for a long period of time. This summer has been hot with temperatures reaching 35 C but not as hot as in Russia. Instead we ended up under a stalled low pressure area. That weather broke with a massive series of storms that included hail and tornadoes in this part of Europe. I had hail up to 25 mm in diameter a week ago Sunday.

I became aware that record heat occurred in Pakistan this June with an all-time Asian record and Jeddah set the Saudi record of 52 C / 125 F. Records fell all around the Gulf region then, including Baghdad.

The key to the weather issues appears to be the stagnation of patterns."

Off in SoCal:

"You know, you're right about the bugs. I've taken a couple of drives out in the desert to Palm Desert for a couple of weekend getaways. Back in the 90's, my Lexus' windshield would get absolutely covered with bugs to the point where we'd have to pull into a gas station just to deal with it. Likewise, anyone who's driven between Texas and Oklahoma, as I've done and you just did knows that the summer air is full of insects that get splattered on the front surfaces of your vehicle, especially those "love bug" black flying things that always seem to be conjoined in mating. Didn't see a single June bug in southern California this year, the first year that I've ever seen that (or not seen it, as the case may be). Speaking of June bugs, I was test riding a new Honda 750 on the road that parallels the Guadalupe River in the Texas Hill Country in summer of 1976, using a borrowed helmet with no plastic windscreen, when I decried a small black spot in the air coming my way as I was going about 60 mph. The damn thing grew in dimension until I could see it was a June bug right before it hit me like a rock, right in the center of my forehead. Hurt like hell. The bike and I swayed but did not go down. I developed a whole new respect for wind visors on helmets after that and wondered what it would be like if it had been a bumblebee. Speaking of bees, they seem to be in good supply in my garden, but the honey bees are found dead all over the place in what seems to be an unusually high volume. As your other correspondents noted, spiders, ants and flies appear not to have undergone any perceptible reduction."

And up the coast and inland a ways:

"In reference to your comment from todays epistle regarding the lack of bugs on the windshield, I'd like to offer my observations. I live in Lethbridge, Alberta in the western edge of the Canadian prairie. I recently (end of July) took a trip to the Salt Lake City/Provo Utah area to attend a funeral. This is a trip I have made many times over the years and on many occasions have had to make stops (both going down and coming back) to clear the bugs off as the wipers couldn't keep up. Not this trip, however. Shortly after crossing the border back into Alberta around 9 PM is when I started noticing bugs, typical of what can happen when driving in the evening around dusk. I didn't think too much of it until I saw your reference. I have had lots of bugs on the car this summer here in Alberta, so maybe it's just a US problem that hasn't made it's way north yet. Some food for thought."

Not sure what to make of all the reports...could just be a 'cycle' peak of prey and a cycle low of victims, but troubling, that's for sure.  Sorry I didn't have time to list all the reports of bug shortages, but a group "thank you" for sending them all in...

 

Staying the Course

Good article "How Hyperinflation Will Happen" that's worth a read, since it goes along with my thinking to a fair degree.

 

At some point, the paper debt monster will either have to collapse (deflation) or, there will have to be so much money printed globally that it will look like "Pandemic Weimar" or maybe Zimbabwe Global 2.0.

 

this weekend, our Peoplenomics.com subscriber site takes on the annual update of our ebook "How to Live on $10,000 a year...or less..." and in it this year is a short road map showing how to get from nothing - and I mean just the shirt on your back to something.

 

Biggest thing involved in it is figuring out what you can do without now while there is still time to find some greater fools out there.  Anyone with a storage unit that they pay monthly for, unless they have something really valuable, like a boat and they can't keep that at an apartment complex, or something like that, is a dunderhead for paying money to store junk. 

 

I keep telling anyone who will listen that if you're not using something, or don't have fairly short-order plans to use it  - to pencil out what the storage costs are and in many cases, when you figure out what five years of storage costs are (with interest) you'll often find that you could junk the old stuff now, buy new later on when you actually plan to use it, and still have enough left over for a soda pop.

 

Strange how people work, though....anyway, that's coming up in Peoplenomics this weekend, since there are a lot more of us with nothing and trying to figure out how to climb the social pyramid, than there are uber rich trying to figure out how to get down without getting jabbed by the pitch forks.  Hope it's as much fun to read as it is to right.

 


Monday August 23, 2010

Fade the Rally - Again

Rose-Colored Monday

No, I'm not giving you financial advice to flee from the stock market on any rally in today's action.  You spend your money your way, I'll spend my money Ure way.  BUT, seems that a lot of small investors have wised up, especially if you caught the NY Times article this weekend about how "In Striking Shift, Small Investors Flee Stock Market". Hallelujah.  Someone's got sense.

 

Being a small investor sometimes is a real blessing.  If most of us get a few bucks ahead, we can look at the problems coming down the pike and move our bets accordingly without upsetting the whole apple cart.  I'm a big fan in today's world of getting into gardening, paying down debt, spending a lot less on hobbies, and storing foods and such. 

 

But consider the choices available if you were managing a big pension fund, or if you were faced with the task of placing money in the billions...how would you do it?    It's one thing for us little guys to pick up the phone and order a gold coin, or a 100-ounce bar of silver, or order a couple of pails of long-term storage prepared food from Emergency Essentials, but that doesn't work for BIG outfits.  Ever figure how manyh pails of wheat or rice a billion dollars worth would be?  Nope, small investors have the guerilla advantage here.

 

Let's face it:  The reason most of us get up and go to work on Monday is to keep a roof over the head, food in the belly, and buy a few treats (and maybe a buzz now and then) along the way. 

 

Over the past couple of years, we've seen a systemic deterioration of the reasons to get up and go to work.  Some cynic you know might look at the big picture like this:

Housing: On the 'roof over heads' front, the payback from the Housing Bubble has been a collapse in housing prices, which may, or may not, be complete yet.  Elaine & I are going down to the bank this morning to lock in a rate reduction of 1% lower than existing on the small note we keep on one of our parcels, but elsewhere, you can find similar suggestions like this one:  "Refinancing mortgage now may be timely idea."  All of which means that while housing starts languish, there's been a pretty good re-fi party going on.

 

Most meaningful insight of the weekend may be David Streitfeld's piece in the NY Times where an expert says the housing recover could take 20-years to make back the $6-trillion lost in the housing bubble collapse.  Refi's are up, starts are down, so it's not just us.

 

Food:  Having eggs for breakfast, without a label check may not be a good idea, since the new food safety laws (which may end your ability to grow food in your own garden) are getting a big kick forward by the PTB against the curious timing of the egg recall. 

 

A number of websites are hip to the cracked timing of this, since salmonella is an almost constant issue with raw or undercooked eggs, but the media's playing along with the hype, but then again, recall that most media are corporate-owned so they're all in bed with one another and this sure feels like an agenda item.  (Repeat after me "interlocking directorships".)

 

A good summary of how the "whip & 'em up and stampede 'em into bad laws" campaign is working may be found here.  Just don't look too surprised as you read about it, OK? 

 

Headlines like "Farms fell short on safety" will be used to build more and bigger government.  Notice this little detail:  I didn't say 'better'...

---

The thick-headedness of the folks in Washington amaze me.  It's like no one can read the polls...either that or the fix is already in and there's going to be a hiring festival of former legislators into corpgov positions on the backside of November's elections. (Take that reference as you will...)  Which we'll remind you of when we get there.

 

Treats:  Our collection of various 'treat's is also under attack.  The headline that "Beer linked to Psoriasis in women" give new meaning to "Itching to get a cold beer..." 

 

Up in more practical Evansville, Indiana they're looking at selling beer to bring down their Zoo's budget deficit...which sounds like a good idea to me. 

 

I admit, by the way, speaking of zoos and such, that I still get confused when I go to the ape house --- not sure which side of the doors the wild animals are on.

 

Also in our Monday collection of sobering thought: Up in the Pacific Northwest, there's a move afoot to get the state out of the booze business.  A lot of Prohibition era laws are still on the books many places, like bans on selling booze on Sunday and such.  You know you're in trouble when people want their glass of painkillers more often...

While you and I may have trouble getting motivated on a late summer Monday like this, especially since it seems that government is continuing to grow unabated despite the housing crunch, jobs collapse and all the other things that go with Depression Two, we notice that Los Angeles is unveiling a $578 million dollar school next month - yes, you read that right - about 6/10th's of a billion for a school.

 

And we wonder why states like California are in financial trouble?  Wonder if this memorial to big dreams will include a remedial math program?

 

No sir, it doesn't seem like getting up and going off to the worker-bee treadmill will be any more worthwhile than any other week, unless you have the three meals a day habit and haven't eaten since Sunday, of course.

 

The market knows of your calorie-based indenture, and knowing this, is peeking up a bit at the open.  Think the hype du jour may be  mergers & acquisitions activity.

 

I reckon it won't last, since long term problems of the world didn't magically go "Poof!" this weekend.  The sole purpose of sharp rallies in bear markets is to give cynics like me good entry points and take money from hype-believing optimists blinded to the data. 

 

There's a simply physics reason for this, of course:  You can't see red ink through rose-colored glasses, or did you miss that in physics?

 

The Blame Game Dept.

Say, here's some real genuine progress for you:  Now that he's been in office a fair while, president Obama seems to be shifting the blame for the jobs mess to Congress and taking the heat off George W.  Good focus...

 

All of which is ridiculous. of course:  There would be no job problem in America if we just demanded that workers making the goods we buy get paid an equivalent wage to prevailing US rates, or our Customs folks would collect the difference at the ports of entry. 

 

Purchasing Power Parity for workers is such a simple concept, yet its the BIG economic secret because what has fueled the whole globalist agenda is the notion that cheap labor anywhere in the world can be exploited unnoticed and the wage rate differentials pocketed by corporations whose boards of directors don't mind 10,000-mile supply chains, as long as there's enough dough left over for their options to go green.

 

Stupid how obvious this is when you think about it, and taxing foreign goods to make them the same price as domestically fabricated goods would set off an amazing firestorm of domestic growth.  But for now, ain't gonna happen - there's just too much money making you bid your job against a 19-year old in South Asia with a 3rd grade education running a leftover machine 20-hours a day.  Owners pocket the delta.

 

Don't it make you proud of all the folks in Washington who don't get it?  Crack pipe, please....

 

March To War

I sort of expected war to break out this weekend in the Middle East, and perhaps the fact that it hasn't is one of the reasons the market futures are up a bit this morning.

 

Nevertheless, the preps continue on both sides.  On the Iranian side two developments:  Iran's got a new long-range missile packing drone aircraft to contend with and they've started building missile-packing speedboats.

 

On the other side of the upcoming festivities, Israel has named a new army chief.

 

But Israel-Iran is not the only conflict on the horizon.  I've been watching the developments along the southern flank of Russia with some apprehension as a 2011 war involving Russia and Armenia is on the horizon and like according to a Russian expert...   (map)   Russia wants to own/seriously control the southern Caucasus region (next map).

 

No danger of peace breaking out any time soon, and if anything, the opposite continues to build.  Not that peace was really on the agenda in the first place, after all, there's no money in that is there?  Which gets me to looking at.....

 

The Oversold Withdrawal

OK, deal on the Iraq withdrawal seems to be that although most combat troops are coming out of Iraq (which could be a mess when the Iran hostilities start) there are still some combat units being 'reformed' as Advise and Assist brigades

 

Why, this is like one of those Clitonesque finely sliced definition problems, isn't it:  Depends what you mean by combat, huh?

 

Oil's Declining Status

With all the mess in the Gulf, we notice that with the price of oil being pretty much static that it's starting to ripple into Middle East politics a bit.  Take for example the report that Bahrain's sovereign debt is being downgraded by Moody's as a data point.

 

Attacking Free Speech

You see where a blogger up in Philadelphia is being told to buy a $300 business license?  Let me see:  Free speech is no longer free...again?

 

Rusty Midwest Department

The headlines out of St. Louis that the famous "Gateway Arch showing rust and decay" brings new meaning to the phrase America's Rust Belt.

 

===== snip and save section =====

 

Coping: The National Asset Stripping Festival

We're starting in to what may very well turn out to be an extremely dangerous - not to mention expensive - period of America politics, as the effects of the Second Depression continue to mount on politicians at almost every level of government.

 

If you gety a few minutes, there's a very good overview piece in the Wall Street Journal's online service about how "...Cities sell parking, airports, zoo..." and it goes into the pressure mounting on state and local governments to 'asset strip' in order to meet short-term issues.

 

Under more normal conditions, I'd be ranting and raving about here on how stupid, if not downright illegal it is, for government to sell off anything it makes:  The reason being the public should be getting the revenue streams in perpetuity from things like parking meters, especially when LA's got parking meters that will take debit and credit cards, and we've already seen the first round of asset stripping in the form of selling off roads to private interests.

 

Not unexpected (sadly) are headlines like " Chicago, Illinois Ripped Off by parking Meter Lease" and other alleged infractions of the public good.  But seems to me there's an even more basic problem here:  Doesn't sale of assets amount to a direct public subsidy for private industry?

 

Many of the toll roads being 'leased' to private companies were built with public money and funded with publicly backed bond sales yet unabashedly, the politicos who don't want to be held accountable for maintain state & local services turn right around and for short term gain rip off the public's long-term investment.

 

Clearly, this is another reason why the "November 2:  Take the Trash Out" stickers are popping up around the country.  People understand that the country is in the Second Depression now because government spending has reached unsustainable levels.  But, rather than asset strip, the other side of ther coin is to 'government strip;  that's my term for matching the head-count in government to the income streams available.

 

I haven't been watching this very long, but the appearance is that government goes around mouth-mouthing it's financial condition while at the same time increasing its damn head count and doing this at the very time it's asset stripping in violation of the public trust. 

 

Care to make a little bet on something?  In cities, counties and states where 'asset stripping' has already been done, the promise was that it would provide for a reduction in the number of government workers required. 

 

Show me the case where headcount has been reduced in a meaningful war, otherwise I'll leave it marked in bold as another one of our reasons to vote all incumbents out in November.

 

On the Road Again

Where's the Bugs?

Elaine & I had a delightful trip up to Shawnee,  Oklahoma this weekend for a nice get together with Robin Landry and his wife...most of the evening Saturday was devoted to what else?  Figuring out where the market's going, but I have a much better sense now of how Robin gets his count and we never disagreed on the longer-term direction anyway (down, if you're not awake yet).

 

The scenery along the way was gorgeous - instead of taking the Interstate up through Dallas and Oklahoma City, we took the Indian Nation Turnpike when runs from Hugo, Oklahoma up to about I-40 or so.

 

And therein lies the tale:  In all of about 800-miles of summertime driving, we had only four or five bug hits on the windshield.  Don't know what your thoughts are but this is a screaming environmental warning light to me.  Why, as a kid (under age k40) I did a tremendous amount of driving (cars & motorcycles) and most summers before plastic face shields on motorcycles, it was often like getting shot in the face with a BB gun to ride 60 MPH on a bike in the summer...stung like hell.

 

This weekend:  Got all the way up to Shawnee with only one small bug on the window and about 3-4 on the way back Sunday, but part of the reason was thatg I took smaller roads and a more direct route.  But still - an unbelievable lack of bugs...

 

Not like I'm the only one to notice as we were talkingt about last week:

"George, I live up in New Hampshire and always during July and August when working in the yard you have to have bug spray on and or wear a hat with netting around it to get anything done. Horse flies, mosquitoes you name it awful! However the last few weeks have been virtually bug free! no spray no netting nothing. I even notice no moths or bugs flying outside at night next to the house lights??

Gone, all of a sudden. A friend of mine commented that no bugs have hit her windshield or car like usual. Driving this time of year at night would usually fill your windshield!

I hate bugs, but this does not feel right!"

Another writes...

"By the by, on a couple of different issues, bugs... I'm in the San Fernando Valley, and while it seems the honey bees have been dropping in population the past few years, this year they've been all but non-existent, and I've got both a lemon, and an orange tree in the yard, along with blackberry bushes. I've seen no butterflies this year, and june bugs were very few and far between. About the only bugs that don't seem to be in short supply seem to be spiders, flies, and ants, at least where I live."

And yet another...

"Hi George, Funny you should mention the lack of bugs in your Friday column. I had just noticed this here in D.C. yesterday. No bugs! No bugs flying around the lights at all like they used to when I was a kid. I think I first noticed something unusual last Tuesday evening when my girlfriend and I went out to Wolftrap for a concert. The outdoor stage was brilliantly illuminated and I noticed a bug flying in and out of the lights. One bug. Something ain't right here George. We had some bugs in the garden this spring- the usual flea beetles and squash vine borers- and at the time I mused to myself that it had been some years since I had seen any tomato caterpillars. Didn't think much of it though until this week. Flea beetles are gone, squash vine borers are gone- no tomato caterpillars. Not much insect activity at all. I conjectured that perhaps they had changed the streetlights to a type that wouldn't attract so many insects. Then I saw your column and realized that my perception about this was real. Do us all a favor and see what you can find out about this."

I've got a number of competing theories going at the moment, and these are in no particular order:

Could be the genetically modified (whatevers) in the wild are killing off bugs for some reason...

 

Could be the bird and insect scavengers are at a 'cycle high' and they've just done a great job of keeping down the bug population this year...

 

Could be chemtrails and/or  global pollution levels are so high that hapless bugs cannot make it...

 

Could be oddly behaving weather/weather-modification impacts...

 

Could just be a fluke of observations skewing data which has no underlying drift...

If you do happen to know anyone who's a bug-person, oir is in college doing research in the field (sorry for the bad pun here), any input, kespecially if we can get year-on-year comparisons would be dandy.  Remember:  We've been watching honey bee collapse with some trepidation, but the decline of the wholesale assortment of all kinds of bugs (and the resulting death up the food chain) is a very, very bad thing.

 

Oh, and fits into one of Robin Landry's observations about what turns a recession into a depression:  Famine.  Are the bugs telling us something?

 

Peoplenomics Access Issue Fixed

Interesting problem with Peoplenomics access on Saturday morning early.  I'd typed in  the wrong [page address] and only had it posted for a few minutes before fixing it...yet that was all it too for that page to be cached around the net so... most people were able to get in, but a few had access issues

 

If you ever can't get a Peoplenomics report, there is usually a simple naming convention in place which you might think about for your own files if you have...looks like this, using the Sunday Peoplenomics as an example:

nl20100822.htm

Where...

[nl]  The first two characters are the report type as in newsletter

 

[20100822]  Date in sort-friendly format

 

[ extension if any]  a following c  (as in nl20100822c.htm) refers to the weekly ChartPack

As a general way of keeping things organized I use a couple of leading characters and the sort-friendly date...just helps me find thing.  Now if I could only get rid of the 18,116 items in my inbox...

 

Smoke Gets In Your Thinking

Good news, and bad, on the tobacco front.  The good news is that the BBC reported last week that "Tobacco use in movie [is] 'falling'

 

But depends where you watch the movies.  In China, for example, smoking has become a regular part of the PG13 movies and the People's Daily reports that an "Anti-Tobacco group raises alarm over smoking in Chinese TV, flim". 

 

The tragedy in North Carolina where on Friday, a 9-year old boy was killed in a tobacco harvester accident only serves to underscore the dangers of smoking to all of us.

 

Blown Away

With the report that a 14-year old Dutch girl is off sailing around the world, we have to wonder how young people should be before taking on the world's oceans?  While her plans are to do the cruiser's rounding (using the Panama Canal instead of the Southern Ocean, it's still a mighty big ocean out there), but we have to admire her spunk, eluding authorities in Portugal and heading out on her own.  Wish her fair winds...

 

 

 

 

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Chart of the Week!

Before the chart, a little background:

Once upon a time, a long while ago, I observed during my quest for 'truth' in economics, that the PowersThatBe, the talking heads on the teeve, and the other information sources that actively engage in the programming of humans not to think, had conveniently swept several trillions of dollars that disappeared in the Internet Bubble's bursting (since spring 2000) under the rug.  Surely, it wasn't unnoticed by the thousands of people who called brokers and said "Where is my money?"  "Gone, but hang in there as you're a long term investor!" was about all they heard back.

 

So one of our charts for Peoplenomics subscribers oughta be widely circulated - it shows that if you line up the peak of the Dow in January 2000 with the peak in early September of 1929, we're on a very very close replay track.  Much closer than even the chart shows if you were to back out inflation, and put in the effects of 1929 deflation, but that'd be real work, and I'm sort of lazy if the truth be told.

 

No, it's not a perfect replay of 1929, but history doesn't repeat exactly, it only rhymes.  So think of this as the rhymes and the crimes chart:

 

 

"George, that's only a coincidence!" your monkey-mind will protest. 

 

Why sure it is...you bet.  A 9½ year long coincidence...yessir....just a coincidence, I'm sure...

 

Write when you get rich,

 

George Ure, The People's Economist

 

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