Thursday, February 25, 2010

Morning Update/ Market Thread 2/25

Good Morning,

Equity futures are considerably lower this morning already erasing all of yesterday’s gains. Below is a 60 minute chart of the DOW on the left and a 5 minute chart of the S&P on the right showing the overnight action:

The dollar and bonds are higher, oil and gold are both lower.

Durable Goods orders came in better than expected for January, largely on transportation orders. Ex-transportation, the number was actually negative. Here’s Econoday:
The durables report has lived up to its reputation as one of the most volatile indicators. Taking into account upward revisions to December numbers, January numbers look decent. At the headline level, new orders for durable goods in January posted a healthy 3.0 percent gain, following a revised 1.9 percent rebound in December. The December increase had previously been estimated to be 0.3 percent. The latest number topped expectations, compared to analysts' forecasts for a 1.5 percent boost. But we have a different picture for January excluding transportation. Excluding the transportation component, new durables orders fell 0.6 percent after a 2.0 percent gain in December. But the ex-transportation component was revised up for December from the original 0.9 percent rise. Overall, the headline number exaggerates strength but the core number is OK for such a volatile series after the upward revision to December.
The weekly Jobless Claims jumped back to nearly the 500K mark, coming in at 496,000, the consensus was for 460,000.
The number of jobless filing for initial unemployment claims increased in February, pointing to trouble for the February employment report and sending equities and commodities lower in immediate reaction. Initial claims jumped to 496,000 in the Feb. 20 week, the highest level since November. The four-week average, up 6,000 to 473,750, is also the highest since November and is more than 15,000 higher than January levels. In an ominous note for the monthly jobs report, claims offices said heavy weather increased the number of claims in the week. Continuing claims, where data lags by a week, were slightly higher at 4.617 million and are little changed from January levels. The unemployment rate for insured workers is unchanged at 3.5 percent.

What’s there to say about that? Can't you just see the A,B,C wave action in that chart? It’s a tragedy for every single one of those people. Millions have gone all the way through their benefits and are now no longer counted. Oh yeah, the “recession” is over, remember? Still no talk and understanding of debt saturation and the role DEBT plays in squeezing out productivity and workers. These are real people who are being damaged by their own government’s incompetence and greed. Throw the Central Bankers out on their asses and take back the money power! No sustainable fix will occur until that happens.

Is everyone shell shocked again? No one has the guts to take action? How about spreading the word about Freedom’s Vision? Please place links to and let people know that there is a way out but that it is THEY who must make it happen.

Did everyone catch that the FDIC admitted they were bankrupt? $20 Billion in the hole in December. Have to beg to Congress and scratch what they can from the zombie banks just in order to keep shutting down the ever growing list of “troubled” banks, now numbering more than 700 by their own account. Of course this means that functionally you are left with only the government standing behind deposits, that would be you and your money system. By the way, the FDIC was actually never solvent! You see, the money they collect in “insurance” was actually immediately SPENT by the government leaving the FDIC only an accounting credit. That’s right, all the FDIC insurance money was never actually there to begin with, and now we’re just catching up to the reality. How can you fix the still insolvent banking system without money? Simple, you perform the special bankruptcy procedure within Freedom’s Vision, but first you return taxpayer money to the taxpayers for the express purpose of paying down debt and making their balance sheets healthy first.

Okay, if the markets break below SPX 1,090 it is your queue that wave 3 down is underway. Wave 3 should take 1,000 points or possibly more off the DOW. The next lower pivot is down at 1,061.

Folks, it’s time to take action if we are going to have any chance of preventing the “other events” that are coming quickly. We are going to have the Grand Opening Swarms soon, but you can help by sending others to the site so they can register and start leaning more about the issues. The Hive is there for discussions and I appreciate everyone going there and on Facebook to get the discussion going for outsiders who may not understand the issues like you do. PLEASE, when you are reading articles at other sites, drop a word about how the issues can be solved by Freedom’s vision and provide the link to It’s past time that we stop all the bull, all the infighting, and we simply come together to effect meaningful change!

The Beattles – Come Together: