Running For The Door - While the Economy Burns

Was it a "V" shaped recovery or is it a "W" shaped recovery when looking at the economy on a Graph (Chart) Are we about to hit a 2nd bottom in our economy (a double recession/depression?)

The Stock Market is losing it's drive to recover while much of the money is running toward cover in the Long-Term Bond Market (30 yr.) for a measly 3.5% interest.  Some of the best companies are selling at 10 times earnings, where in the near past and far past would be selling for 15+ times earnings.  Intel, for example is selling for about 10+ times earnings and yielding about 3.5% dividend - with a better tax rate than Interest income.

The immediate culprits seem to be Unemployment and Housing.

Unemployment is generally lowest during the late spring months through the fall, however the reasoning is construction Jobs and the "tooling up" for fall in manufacturing - a waining industry in the USA as China is eating their lunch.  Real Estate future prices determined by the owners trying to sell, is still unrealistic - "Hope" the drug of the homeowner keeping them from meeting market demands for "current reasonable prices."

Political problems raging from where a mosque can be built (currently planned near 911 destruction site - and also near and around many "Sex and Strip Clubs", splinter groups of the Republican Party, wanting to change the laws to separate of "More American Americans" and Lesser Americans (refugees, illegals - soon the blacks, jews and non-believers to be added...) - America is coming apart at the seams.  We don't have to go back and look at the McCarthy era looking for all the communists - We are at that level of current mob thinking that requires us to revisit the 1950's coming into the 1960's.

Finally (my opinion) if Israel wants to survive - they better consider cutting the legs off of Iran, before Iran presses some buttons sending Israel off into space.  The Mexican Drug lords - are they the precursor to and invitation to the Taliban and friends - to move into our borders through Mexico.

What a Mess!

And Yet, If the Stock Market (currently at 10,100) goes much below 9,600 firms like Goldman Sachs will begin to burn as well as the homes in Connecticut of their officers.  Funny no one really of importance, on Wall Street, have gone to Jail.  The real cleansing should put about 5,000 of these folks behind bars.