.

It’s Official

Keynes & Krugman

are Right

.

Prize Award Ceremony

.

At least for the Dutch

French and most of Europe

.

Keynes and Krugman are two Nobel Prize winning Economists who believe you stimulate your way out of a recession. Austerity plunges you deeper into the recession.


After several years of austerity right wingers in France and Holland (yesterday’s elections), plus many more got the message.

From Yahoo Finance

the money quote

.

“The “austerity” idea, you’ll remember, was that the continent’s huge debt and deficit problem had ushered in a “crisis of confidence” and that, once business-people saw that governments were serious about debt reduction, they’d get confident and start spending again.”

.

“That hasn’t worked.”

.

____________

.

The Obama

Economic Triumph

.


Facing Financial Armageddon,

a -8.9% GDP rate & the losses of Almost -800,000 a month

Obama took offic in Jan 2008.

.

By the end of 2010 GDP had soared to between +2% and+3%

and job growth had turned positive up to +250k a month


.

Quarter-to-Quarter Growth in Real GDP

In 2010 the uncompromising

Tea Party Republicans took over,

the Obama Stimulus Ran out, and

therefore, growth came to a halt.

.

  • Moving from a -9% GDP to a +2/3% GDP is real Change You can Believe in
  • Moving From a -800,00 jobs a month to +200,000 jobs is real Change you can Believe in.

.

Please show me another President

who has taken GDP from -9% to +2/3%

.

The problem

.

We have a big deficit, Europe already shown austerity leads to another recession, Japan got clobbered, China’s GDP is shrinking and Apple’s huge earnings success yesterday just leads to more Chinese jobs.

European voters have realized that just austerity doesn’t work.

.

So should you.

.

*******************

.

STOCKS

.

.


  • APPL had one of those OMG earnings report.  Sales were so so in the USA, but in China they were spectacular.
  • Spanish Bonds have fallen for the last two days and are SIGNIFICANTLY  below the 6.00% danger zone at 5.79%. Latest update for traders HERE
  • NB -Apple’s earnings are a reflection of their business doing spectacular in China and not in the USA – Reuters story

.

Reading Tea Leaves

.

.

Kudos to Monitor (long term Apple holder) who a full day before the earnings report suggested AAPL return to YOUR Stock List.  Apple should lead tech and the S&P, but obviously don’t expect results like last quarter. There will be a group of investors/traders who will again buy the first dip.

Longer term – The Cavalry sure looks like its come to the rescue in Spain. Friends of the FED and ECB are keeping Spanish bonds below the danger Zone.


.

*************************

.

PAUL’S Corner

.

.

Your Stock List

.


.

April is almost over

Now is your chance to get your favorite stock

added to Your Stock List!

.

Effective April 30 all current YSL members are being removed.

On May 1 we will announce  the new list

.

List YOUR top stocks in the comments section or email them to Barr ASAP.

The only requirement is that a stock trades at least $5,000,000 dollars a day. Example –  Stock XYZ is worth $10 and trades 500,000 shares a day. This way we eliminate stocks that are not liquid and subject to more manipulation.

If you like defend your stock in a sentence or two.

From YOUR selections Barr & I will try to to come up with a list of 10 to 15 stocks that again will beat the S&P 500. These stocks will be tracked throughout the month. Entry and exit points will be suggested.

.

As most of you know

This process has worked!

ONLY because of

YOUR  participation.


Of the 8 stock Lists only one

has failed to beat the S&P 500

.

Group performance results for the month of April will be listed Tuesday morning.


.

*******************

.

Spanish Bond over 6% = Change to NEUTRAL

These bonds are now back below 6% = CAUTIOUSLY BULLISH


.

Longer Term Outlook

3 months+

.

CAUTIOUSLY BULLISH

.

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

ALL TRADING INVOLVES RISK & POTENTIAL LOSS OF PRINCIPLE

CHECK ALL DATA, I MAKE MORE THAN GRAMMAR  ERRORS.

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