Investors 411 Blog

Paul.
What news? The only think I could find actually was good news for world financial markets; European banks are being forced to raise more capital by gov't.  US has been encouraging them to do so, since this was move we made after Lehman's collapse, avoiding banking collapse. Did you see something
else?
JS

Who even remembers, what is to rememebr this is still a news driven market and don't play too reckless. The news was supposedly the banks will be selling assets.

3:56 news from Europe about the banks, not good, there goes the rally.

Occupy Wall Street has a unique dynamic that may be overlooked. The Vietnam war protests were, looking back, very ineffective. The war went on for many years during the marches. The  youth were active in it because they had a "stake"; they were to be possibly drafted.  Most of the US was not involved, no "stake" directly to them. Ditto for the Iraq war, no draft. Today, the youth also have a major "stake", an unrosy outlook for the future and weak employment., large student loans. However, this time they have more allies; those who have lost jobs, health care, and little hope for their kids, those with underwater mortgages, etc, those who saved and did the right things and now are stuck in retirement with 1% interest rates on their savings. However, if the reasons were to get to diffuse, global warming, healthier foods, and all sorts of other issues, the impact will also be diffuse. Stick with the financial aspect and much good may happen.
So far, I'm with them.
JS

Paul,
If this was retaliation by China, it doesn't seem to have ant effect on the markets. You'd have heard from the bears by now.

Popeye,
Good luck to you. What do you expect in the area of policy that will possibly come from this?

JS

JS  - Answer to my question is Romney has no jobs plan. 

The major component to Obama's plan is to give tax breaks to small business and a pay role deduction tax cut paid for by wealthy.

You, state - "gov't can't make good jobs. The 'ONLY' jobs they make are costly, non productive jobs."

So here's a short list. Please tell us all which are costly, non productive jobs and what would you do with them? Privatize them all.

soldiers
firefighters
cops 
teachers
FBI agents
safety inspectors
center for disease control
financial inspectors for banksters

Jim J

The jobs you list are not economy growers. Actually the jobs you listed that are covered by unions contributed to the deficit: pols, to buy votes, promised what they knew gov't couldn't pay for. I'm not against these jobs, teachers, etc are valuable.  The pols are to blame. Now with the Davis Bacon act, gov't construction jobs increase the cost by 40%. This admin is beholden to unions, so this will continue. Much of gov't regulation is job killing. Big projects take 3+ years to approve: under FDR it was 3 months. The proposal for a new pipeline from Canada is an example. Also Boeing's plant in So. Carolina. These jobs are PRIVATE jobs, actually increasing tax receipts to the gov't. If Obama was interested in jobs, he would speed approval. As for payroll tax, why do we want to collect less for SS and Medicare? If choice is between Romney and Obama, my decision is very easy.

JS

JS - Happy to see you find value in teachers. Sorry you don't seem to recognize tax incentives/cut major to small businesses, a play role tax cut, keeping teachers in their jobs would stimulate more jobs and the economy.

Your solution cutting "regulations" has been going on since Ronald Reagan.  You have recognized it was the elimination of the investment banking regulations under Clinton that brought the world to the verge of economic meltdown. So there is a place for some regulations in your philosophy.

This is not a crisis founded on cutting regulations, but one of cutting regulations. That has lead to THE LACK OF AMERICANS SPENDING.

Cutting some regulations now would help.  But what the engine of economic growth, (small business) needs far more is CUSTOMERS buying their products. 

#1 - I need more people coming into my business and buying my product.

Example - Cutting regulations would make a chicken farmer(you name the business) more $ in the short run. But like the financial crisis,  an outbreak of deadly bacteria because we didn't properly inspect chickens harm in the long run.

Give the chicken farmer more middle class CUSTOMERS, CUSTOMERS, CUSTOMERS to buy his chickens.

Jim J

Something you keep missing: we had regulations, but they were not enforced, from banking, (Greenspan had the ability but decided, according to his mea culpa, not to enforce them), to the blowout well in the Gulf, Obama's regulators were very derelict, passing hookers around, etc.
You keep giving extreme examples like the chicken inspectors, yet ignore the failure of enforcement in 2 major issues. The answer is not more regs, but enforcement of existing regs that are necessary. Obama's regs are hindering job growth. Wait till the health care premiums go into effect: you'll see jobs lost or many off private insurance as co's end providing health ins, since it will be cheaper to pay gov't fines; the small co's that don't supply health ins will see cost increases. Jobs lost.

JS

Occupy Boston still going strong. Those of you in Boston big rally on the 15th. 

Jim - Those that defend the 1% in the USA that now have 43% of the financial wealth always say you should work harder for less money.  

That's why there are NO banksters who ruined our economy in jail and hundreds of demonstrators jailed for protesting their crimes. 

Popeye  

Jim J

Where I come from is this:
ALL pols evade the questions and change the subject. especially when the run for office or engage in primary debates, so to me, this is not a negative view.

As to job plan, I've written before that gov't can't make good jobs. The only jobs they make are costly, non productive jobs. One of the biggest problems is the rule to pay existing union wages, whether the bid winner is union or not. One of the big successful jobs in the depression was Hoover Dam.  No worker rights, no OSHA, no overtime, the managers were dictators. But they completed the project on time and under budget.  Contrast this with the Boston "Big Dig".

JS

Everyone Missed It, But China Has ALREADY Retaliated For Last Night's Big Currency Vote In The Senate

Last night, the Senate passed a bill that would impose tariffs on currency manipulators like China.

It's not expected to pass the House or get signed by The President, but China has already responded to the provocation.

As Nomura explains, it fixed the yuan shockingly low against the
dollar last night, moving it in the exact opposite direction the U.S.
wants:

http://www.businessinsider.com...

Paul - Great point! I didn't know.  

Why this was never brought in front of the World Court was because this type of reaction was expected.

Romney and Schumer are getting their trade war. 

Jim J

I did a double take over the PCR data

Critic

On Romney

There are many ways of looking at the China problem. This comment is not in support of this bill (Obama will veto it), but to show how simplistic this solution is. Romney gave valid points: China exports much more to US than we export to them. They need our imports; their population is getting restive. They have to keep buying our bonds, or at least can't dump them because the prices would go down, and lastly, we've negotiated with them over the RNB for years to very little effect. Maybe the threat will make China take more action. Also our imports from China have put a roadblock on lower skilled jobs in US.
A trade war is taking action unilaterally. Going to WTO I think is something we should have done years before: this was a problem (China's manipulation) years before Q1 and Q2.

I thought Romney was far away the winner in the debates.

JS

I found Huntsman far better, especially when it came to China. But, you're right,  when you compare Romney to the other idiots he wins. 

Romney knows how to evades questions and change the subject. The others don't.  JS can you tell me Romney's job plan? Besides I'm an businessman.
Jim J

Evades? When asked what he would do in 2013 with a Europe collapse, US banking about to collapse etc what would he do?  I believe his answer was he wouldn't have to call Geitner and never answered the question.

Romney sure sounds like he's declaring war on China.

EW