The
Federal government is still trying to sneak through the king of all “trust”
funds in the form of the Health Care bill. I’ve written extensively on what
their target will be if this legislation ultimately goes up in smoke – namely,
retirement accounts.
Plain and simple, the Federal government needs lots
of dollars, and it doesn’t have many more places to get them.
Here’s an
article by Newt Gingrich and Peter Ferrara where they’re now recognizing the
obvious:
“They will tell you that you are "investing" your money in
U.S. Treasury bonds. But they will use your money immediately to pay for their
unprecedented trillion-dollar budget deficits, leaving nothing to back up their
political promises, just as they have raided the Social Security trust
funds.”
Where have you heard that before?
P.S.: Keep watching
the 2-yr vs. 10-yr and 2-yr vs. 30-yr spreads shown below. They’re at
historical highs. That’s bad – really bad.
P.S.S.S.:U.S.
runs $43 billion budget deficit in January. The first four months of
the Federal government fiscal year have us $434 billion in the hole
already. ______________________________________________________
Watch
for these indexes to drop:
Chinese Shanghai Composite Index: 3,018.13
(change of 7.62% from July 20, 2009 base
value of 3,266.92) Shenzhen Stock Exchange Component Stock Index (SSE):
12,304.78 (change of 8.04% from July 20,
2009 base value of
13,381.22) ________________________________________________________
Here
are today’s numbers for the economic indicator:
1) Gold = $1,106.80 2) Silver = $15.89 3) Dollar
Index = 80.46 4) Oil = $77.41 5) S&P 500 Index = 1,099.51 6)
3-month Treasury Bill yield = 0.09 7) 3-month OIS = 0.15
HEI =
33.73
(A value of under 100 indicates deflation, while over 100 indicates
inflation – as referenced to Sept. 12, 2008…the day before Lehman Brothers
collapsed)
