“A National Disgrace “- The American Justice System. South Park – Bailout video. Update on Iraq. A Berlin wall separating 39 million Hispanics from 135 million Mexicans. Pat Buchanan solution to the drug problem. The rising Red River. Over bought stocks market’s short term outlook 

Lady of JusticeLady Justice by Rodringo Duran

“A National Disgrace” US Justice System

Senator Jim Webb (D VA) words at the introduction of the 2009 National Criminal Justice Act. Webb - With 5% of the world’s population, our country now houses 25% of the world’s reported prisoners. That’s just his opening in a laundry list of problems

Of course you’re wondering if any of the criminals who run the Shadow Banking System and robbed Americans of trillions will ever see the inside of a prison.  We, by far, run the largest police state of any civilized democracy, but if you’re wealthy shadow banker?

South Park – Bailout

 A 30 second You Tube video

Iraq’s Civil war

American corporate media has ignored the fact that the Shia have almost wiped out the Sunni’s in a bloody civil war that is still simmering. Baghdad once a majority Sunni city has now less than 15% Sunni according to Juan Cole’s Informed Comment blog. The latest on the Iranian backed Shia’s that control a fearful and divided Iraq/Baghdad – AP story

Mexico

Far more relevant than Shia dominating Sunni’s in Iraq to the US will be the 39 million Hispanics in the USA we are trying to separate from the 135 million Mexican’s by a wall. We will have to turn into what communist East Germany was when they erected the Berlin Wall to make this work or find a different solution.

Hillary Clinton is leading a diplomatic effort to Mexico that will culminate with an Obama visit. ” Clinton – “The U.S. shares responsibility for its neighbor’s drug violence. Now we must be just as smart about our ‘help.’” More from LA Times on Clinton and the Mexico Message

Hillary, is winning kudos as Secretary of State,

Solution to the Drug problem

Conservative/Libiterian Pat Buchanan often offers a choice in solving the “weed” problem.

  •  Do what chairman Mao did and kill all the dealers and users
  • Legalize it like cigarettes & alcohol, then tax it.

Legalizing pot would take a whole lot of business away from the violent Mexican cartels that operate in 230 American communities and account the 1200% increase in drug offenders in the USA since 1980. (stat source Jim Webb, point of view – mine)

The Red River

Just turn on the weather channel. The Red River in Fargo/Moorhead is cresting above 40 ft. (new record) in 6 below zero temperatures this AM. Best wishes to several bloggers and a grandson & granddaughter who live a few hundred yards from this river.

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

 

Stocks

-

Index Percentage % Volume
Dow +2.25% down
NASDQ +3.80% up
S&P500 +2.33% down
Russell2000 +4.40% -

-

Technicals & Fundamentals

Message to stock Market – from the 60′s  song “Feeling Groovy” – Slow down, you’re moving to fast… You’ve got to make the morning (rally) last.

Almost every technical analyst likes to see consolidation before moving higher.  This kind of one directional short term bull market is prone to a quick sharp correction.

Reading the Tea Leaves – We are nearing the end of the quarter and a major decision on changing to a less transparent (revising mark to market accounting) accounting system in early April.  Both are short term reasons for the bears to hide.

Mutual and pension fund manager will want to show their clients that they have some winners in their portfolio.  So historically they buy them (winning stocks) at the end of the quarter. These managers are sitting on a lot of cash. So it looks like they have been and will buy till April 1.

 As mentioned before less transparency is good for banks bottom lines – they do not have to show those toxic assets as liabilities. It looks like major changes in mark to market accounting will occur. Some of this is already built into stock prices, but right now we are in a positive trend so up to the meeting stocks should move up.

These two factors should blunt a major sell off of an overbought market that is due for at least some sort of correction.  We could see some wild swings in the next few trading days as the quarter closes on the last day of March – Tuesday.

For Longer Term Outlook see yesterday’s blog.

Long Term Outlook CAUTIOUSLY BEARISH

See Changes in STRATEGY, POSITIONS, & OVERVIEW sections of blog 

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

 


  • Share/Save/Bookmark