New Venture Addendum

I forgot to add that my posts on the Liberty Tree are under the name TheOldSalt.

New Venture

At the invitation of Peter Heck, I began a new venture a few weeks ago. Actually, it's an old venture in a new skin. I was one among some others he invited to participate in Liberty Tree, the "official blog of the Peter Heck Radio Show."

Peter is working to create a current events style site that attracts a variety of regular readers. Those currently writing at the site are invited to submit articles frequently on current, breaking, and out of the ordinary news items. For the time being, it is free-wheeling; we'll see if Peter "reigns" us in along the way.

So my invite to you is to give Liberty Tree a go. Go to the site regularly to see what the recent happenings are. Leave some comments if you wish, but don't feel under any obligation. The goal is to achieve frequent viewer volume through quality posts.

I do not plan to take down ChucksChants, but as you can already tell, this new venture, along with older ones, may slow down my volume here. I'll see what happens.

Thanks!

Just a Bit ironic

I caught a part of some ESPN radio while driving yesterday. They reported on further developments in the case against Roger Clemens, who is accused of lying to Congress while under oath.


Oh, the horrors of it all! Lying to Congress! You mean, we mere mortals can get into trouble for lying to Congress? Of course we can.

So, when does Congress get into trouble for lying to us? They do it every session. They all take an oath when sworn into office that they will protect and defend the Constitution of the United States of America. They break that oath most every session. They feed the American all lines of nonsense in the hopes that it will garner them votes.

Roger Clemens in trouble if he is convicted of lying to Congress. Ironic, isn't it?

Upset

A few days ago (9/7/10), FOX News printed a report detailing United Nation concerns about Iran’s nuclear program…

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The U.N. atomic agency expressed alarm Monday about Iran's decision to bar some of its inspectors, suggesting that its efforts to monitor the country's nuclear program were suffering as a result.

The unusually blunt International Atomic Energy Agency warning was voiced in a restricted report on Iran made available to The Associated Press that otherwise contained few surprises. It followed Iran's recent decision to strip two experienced inspectors of the right to monitor its nuclear activities after the two reported what they said were undeclared nuclear experiments.

"The IAEA's reports of obstruction and Iran's failure to cooperate are troubling to all who care about non-proliferation and global security," White House spokesman Tommy Vietor said. (“U.N. Nuclear Agency Sounds Alarm Over Iran,” FOXNews, 9/7/10)

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With world peace hanging in the balance, what is top priority with Big Media? Why some heretofore obscure pastor in Florida who plans to burn some Korans on Saturday, 9/11. Oh, the horror of it all!

Left, right, centrist (if there is really such an animal)… everyone is up in arms over some pastor declaring that Korans will be burned on Saturday. Imagine… if he was inviting the world to burn the American flag or religious texts of the Judeo-Christian faith, he would be hailed a hero and receiving offers from all across the fruited plane to assist him in his endeavor to perpetuate freedom of speech. But Korans? Again, oh, the horror of it all!

Let’s see… who to focus media attention on? A belligerent, Islamic terrorist-sponsoring nation that is on record declaring that it wants to vaporize the Jewish nation and its “great Satan” ally or an obscure pastor in America who wants to burn a few Korans. Yeah, certainly a no-brainer there… a private expression of dislike toward the ideological underpinnings of a group that attacked America and carry that protest out in a free nation. Let’s get the world agitated over that. There’s the ticket!

Must Have Forgotten

A Laborious Day announcement from our Fearless Leader:


Obama lays out $50 billion infrastructure proposal (MarketWatch, 9/6/2010)

He must have forgotten about the other billions already earmarked for infrastructure repairs. Maybe his money czars will help him find that account.

Liberals Are Dangerous

"It would be good... if he could be a dictator for a few years because he could do a lot of good things quickly." -- Woody Allen on President Barack Obama. Allen expressed frustration with Republicans who have tried to block the president's agenda.


"Traveling for tourism today is a right." -- European-Union commissioner Antonio Tajani on an EU plan to subsidize vacations for people who cannot afford them.

"It may be necessary to put democracy on hold for a while." -- Prominent scientist James Lovelock, arguing that governments must fight global warming over public opposition. (The Guardian, 3/29/10)

"It may sound like a hollow defense, but in Hollywood I am not sure a 13-year-old is really a 13-year-old." -- Washington Post television critic Tom Shales on the arrest of director Roman Polanski in Switzerland for the 1977 rape of a 13-year-old girl.

When you let them speak for themselves, it doesn't take a rocket scientist to figure out why liberals are dangerous.

Economic Reality Lining Up with Predictions

I have been referring to the Weiss analysts for some time now. I know that it is best to not rely upon only one voice/opinion when it comes to market predicitions, even when the predictions are based on solid evidence. There is always the risk of personal bias when interpreting/applying the data and evidence.

However, when more sources begin making similar observations, then perhaps it is time to sit up and take notice. Other sources, notabley MarketWatch and Bloomberg, have run articles with the following headlines: Lack of Jobs, Foreclosures May Keep U.S. Housing Depressed & Why today's declines are just the beginning. For weeks and months, the nature of their articles has been to deny, or at least question, the validity of "double-dip" recession talk. They may be beginning to change their tune. The folks at Weiss Research, meanwhile, have been anticipating these types of market moves for some time. At the same time, they have not ignored the positive market direction since March 2009. They do not believe in sitting on the fence when a visible trend is in place. They just want to keep from being enamored by wishful thinking.

Anyway, to get back on track, economic reality is beginning to settle in. Euphoria based on false hope can last only so long. Running bigger and bigger deficits can last only so long. If the feds still had plenty of resources and leeway in their fiscal and monetary policy bags, I would be writing a different slant. But they don't. They may pretend they do, but they don't. The Fed's interest rates are close enough to zero to call them zero. They can't go any lower to make a difference. Meanwhile, folks who have saved and made reasonable decisions for interest income suffer from these paltry rates. The Fed has no room to keep issuing debt. They will likely keep spending too much, but there is no room to make a difference here. They will keep printing dollars, which also hurts responsible Americans who have planned reasonably for their financial future. But creditors are not going to buy American debt when they know that the interest they receive is going to be essentially worthless when inflation resumes.

I wish we were entering just an economic quagmire. At least we could work in a stalemate environment. But it is not even a quagmire. The Feds are losing the economic war, and they are losing it in a hurry.

Nevertheless, there are those who do believe that there are actions to take to preserve, and even grow, wealth in this environment. The folks at Weiss Research are some who believe that. They still believe in the resolve of the American people. They are not the only ones, but they do have some easily actionable suggestions and resources. Keep giving them a look at Money and Markets.

"Therefore be as shrewd as snakes and as innocent as doves." (Matthew 10:16)

Why We Need LESS Government

It is no secret what lies at the heart of American patriotism and conservatism: limited government formed by the people to serve the people. Without limited government, there is no corner of our lives that government will not attempt to control. There is no element of life too petty for government to seek to coerce.

In Utah, the legislature passed a bill in March to legalize the personal collection of rainwater. For the first time, private citizens are allowed to "harvest" rainwater. But wait - as the infomercial ads declare - there's more! It is legal to "harvest" rainwater with a state permit and using state-approved containers.

Is this how we want to live? Do we want our almost every movement dictated by government? This is the antithesis of our American Founders' ideals. I do not suggest that they were perfect and free from a few control issues. But on the whole, they tried their hardest to institutionalize freedom, not tyranny. They sought to do this through the ideology of limited government. It still makes sense today.

Bankrupt?

My previous post about the president swimming in the Gulf coast was whimsical, satirical, and cynical.

Now, however, I turn to something in all seriousness: the continuing economic downturn. I refer to the Weiss analysis team frequently, I know. But they are far from the only folks seeing reality. And the reality of our economy - driven by the political policies of expediancy for way too long - is that it is running out of gas. Government has attempted to fuel it on taxpayer dollars - a lot of them - and there is little to nothing to keep it going. The private sector, which should be revitalizing the economy, has had the stuffing knocked out of it... and the hits keep on coming.

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Herb Stein, chairman of the Council of Economic Advisers under U.S. President Richard Nixon, coined an oft-repeated phrase: “Something that can’t go on, will stop.” True enough. Uncle Sam’s Ponzi scheme will stop. But it will stop too late. And it will stop in a very nasty manner. The first possibility is massive benefit cuts visited on the baby boomers in retirement. The second is astronomical tax increases that leave the young with little incentive to work and save. And the third is the government simply printing vast quantities of money to cover its bills. Most likely we will see a combination of all three responses with dramatic increases in poverty, tax, interest rates and consumer prices. This is an awful, downhill road to follow, but it’s the one we are on. And bond traders will kick us miles down our road once they wake up and realize the U.S. is in worse fiscal shape than Greece. (Laurence Kotlikoff, "U.S. Is Bankrupt and We Don't Even Know It," Bloomberg.com, 8/10/10)

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On the basis of the current economic data, we are in for tougher times. But we are not left without tools to respond. Tools like inverse ETFs (Exchange Traded Funds) which are built to go up as their underlying issues go down. Tools like precious metals - gold, silver, etc. - which can offer a hedge against inflation. Tools like options which can give some leverage and portfolio hedge protection. Tools like historic dividend-paying stocks that can give an income boost to a portfolio even during downturns.

Used in resonable proportion, each of these can protect and boost a portfolio during a dowturn. At the very least, going to largely cash positions can protect hard-earned wealth.

It's going to be a scrap. Keep your eyes open and your wits about you.

God bless!

In Midst of Ecological Disaster, Gulf's Beaches Still Useable

In the wake of America's "worst environmental disaster," the president is encouraging Americans to vacation along the Gulf coast, stating that the “beaches all along the Gulf Coast are clean, safe, and open for business.” (Julianna Goldman, "Obama Swims in Gulf Waters," Bloomberg.com, 8/15/10) We are also assured that "he pledged to make sure the region’s seafood was safe to eat and he promised to expedite the claims process." While the spill was in progress, Obama apologists countered critics by asking how the president could personally stop the leak. Now, however, Americans can be certain that he will personally ensure that the seafood is safe to eat. Unless, of course, the seafood cannot be made safe to eat, in which case we will be left to understand that the president cannot personally make the seafood safe to eat.

One significant fact left out of all the credit-grabbing gobbled up and spit out with no reflection on the part of the lap-dog Big Media is that conservative commentators were accurate from the beginning: the environment itself will take care of the largest part of this disaster. In spite of this administration's best efforts to thwart the efforts of local and state agencies to contain the spill, libs are stymied that the oil is being gobbled up by natural enzymes and stuff in the Gulf. Yes, the spill has been and is serious, but the reaction among the left that this disaster legitimizes more government enlargement is bogus... just like all their claims. Indeed, Big Media - appropriately dubbed "drive-by media" by Rush Limbaugh - has already moved on to other more relevent and newsworthy crises. The only thing left to report is the harm done to oil workers by the drilling moratorium. That would reflect badly upon the source of the moratorium, which cannot be allowed.

So be sure to stop by the Gulf coast and search for the "worst environmental disaster in American history." While you're there, keep your eyes open for the Loch Ness Monster and Bigfoot, too.

Economy Still Heading South

Mike Larson's latest Money & Markets article tells us plainly that government options for continuing to stimlate the economy & keep it going are hitting the proverbial brick wall. There is no more room to maneuver, and the economy has still failed to get restarted by their previous efforts.

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What nobody in D.C. will tell you … but I will … is that a big economic slowdown is already baked in. There is nothing the Fed can do … nothing Congress can do … nothing the Obama administration can do … to prevent it.
The massive, reckless credit bubble that built up over the past couple of decades needs to be unwound. If you prefer the jargon term, it’s “deleveraging” — and it’s something we’re just going to have to get used to. (Mike Larson, Fed Policymakers Screw It Up Again, 8/13/2010)

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Fortunately, there are real and reasonable steps that can be taken to protect portfolio value even in the face of another severe economic and market downturn. Even though timingthe markets perfectly is highly unlikely, it looks more and more like the reality of lousy economic data is poised to take its toll.

Speculators Like This Government

Speculators like this Congress and administration. Unlike big media portrayal, successful speculators are not anything like wild gamblers. Instead, they watch for the signs that indicate which way a market is likely to trend and wait for confirmation of that trend. Major speculators like George Soros take relatively small positions ahead of the confirmation for a couple of reasons: (1) with the amount of money they trade, they cannot wait until the last minute to make their big moves and (2) they try to capture even larger profits. But they are not fools; they work hard to limit their risk.

So why do speculators like this government? Because this government is making it easy for them to reasonably predict the outcomes. History repeatedly reveals that a lot of national debt, increasingly large deficit spending, and an increasing money supply lead to higher taxes, a shrinking economy, and more inflation. Only politicians seem to believe that they can achieve different results by making the same poor decisions. Knowing this, speculators are already positioning themselves to take advantage of the results of today’s ill-advised federal economic policies. They will not cause these economic catastrophes, even though they will be blamed for them. They will merely take advantage of the setup given them.

So what about normal folks like you and me? Well, unless we take advantage of the same economic information and simple tools that are available to enable us to ride the coattails of the bigger guys, we’re going to see our hard fought gains evaporate yet again. If you work with a financial planner, I suggest that you meet with him/her to discuss action to take in the event of another major market downturn. If you do not work with a financial planner, or want to do a little personal research, I recommend taking a look at the resources provided by Martin Weiss and the Weiss Research Team. The basic information resources are provided at no charge. Read some of them, draw your own conclusions, and make your own decisions.

http://www.moneyandmarkets.com/

Main Street Economy

Weiss Research team member Mike Larson offers more great insights about the disconnect between government and main street economics. Washington has shot their load and emptied their barrels, and main street is left with an anemic recovery teetering on the brink of another downturn and continuing unemployment. Meanwhile, the Fed ponders its next move. Mike asks, "Who cares?" ("Pushing on a String... Again")

The truth is that the policies of both current and past administrations and Congresses have pushed us toward the brink of inevitable financial disaster. The willing complicity of many citizens to ignore Biblical principles for living have resulted in overindulgence, overspending, and over extension. These missteps will have to be brought back into line before things return to normal. We will have those in political power who try to grab even more power, but nothing will be fixed until Americans once again say, "Enough!"

During a recent trip, I saw a billboard sponsored by a local TEA Party chapter. It read, simply and profoundly, "America... Bless God." A good summation, indeed.

Immigration Hypocrisy

Here's the article...

"Cuban migrant found in styrofoam boat still with Coast Guard"

OK, here's the deal. Every day we have hundreds of folks spilling across the America-Mexico border. This administration is so ticked off about stopping this nonsense that they have the urge to sue Arizona for trying to protect their citizens from dangerous ILLEGAL immigrants.

But here is an immigrant (they call Cuban escapees "migrants" I guess) trying to get out of a truly oppressive regime, and the official American policy is to send him back.

Where's the Obama administration on this one? Where's the polished speech for immigration reform? We ought to get this poor guy to American shores and give him some of the best we can offer. Surely he deserves at least as much as the felons, drug lords, and armed "re-conquistadors" coming across our southern borders!

So if we don't send Cuban refugees back, Castro is going to be ticked at America? Oh, the horror of it all.

This country - no, let me correct that right now. Political leadership in this nation gets more screwed up with each passing day. I think that somewhere along the way, America has gone through the looking glass, 'cause everything's getting backwards.

(Photo: This is the boat he rode in on)

Rate the President

If you want, follow the link below to the CBS poll to "rate" the President. CBS emphasizes that this is not one of their "scientific" polls [yawn]. Nevertheless, the results are encouraging for those who would rather live in AMERICA instead of a twisted liberal version addicted to big government.

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Subject: CBS is letting you Rate the President

This is an older poll. But it's good to get opinions out there. Click the link and answer the questions!

CBS is letting you Rate the President

Here is your chance. Everyone should get a shot at this. Takes all of fifteen seconds and that is if you take a look at the results. First, I can't believe CBS is actually doing this.Second, that they're brave and honest enough to actually show the ongoing polling results.Take the poll yourself and when you submit your grading of how he is handling the top issues, a second page will come up showing you the current results of how America is voting. Remember, this ain't Fox doing this. This is mostly people who watch CBS. DO THIS! and pass it on.

http://www.cbsnews.com/blogs/2010/01/19/politics/politicalhotsheet/entry6116297.shtml?tag=

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Will This Ever Stop?

I'll get right to it...

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"No one will know until this is actually in place how it works." Senate banking committee chair Christopher Dodd, D-Conn., on the financial regulatory bill he helped craft. He added, "This is about as important as it gets, because it deals with every aspect of our lives." (cited in World, 7/17/2010, p. 16)
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Maybe someone else can provide some commentary, because I am speechless at such obvious empty-headedness.

(I know that the poster photo is not Sen. Dodd, but we keep getting closer to tyranny with idiotic legislation like this.)

Glorious Fourth

"Men must necessarily be controlled, either by a power within them, or by a power without them; either by the Word of God, or by the strong arm of man; either by the Bible, or by the bayonet." -- Robert C. Winthrop (1809-1894), speaekr of the thirtieth Congress, addressing the Annual Meeting of the Massachusetts Bible Society, May 28, 1849.

Have a Glorious Fourth!

Why America Wins

Leaving the political insanity behind for a moment to return to American exceptionalism and the reason why America wins...

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"The only difference is if a dog bites my ankle, it ain't going to hurt me." -- Army Sgt. Patrick Marziale, who lost a leg during service in Iraq, on how his life will be different with a prosthetic limb. (World, May 2009, p. 19)
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This is why America always wins: militarily, economically, and compassionately.

Now if we can only clear some moronic thinking out of the federal government and a few state governments, Americans can get back to work making this Great Nation, and subsequently the world, greater.

Have a Glorious Fourth!

Why We are in BIG Trouble

So another article about ludicrous politicians hits my desk today. They just never stop coming these days. Here she is, the House queen bee...

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Unemployment benefits are creating jobs faster than practically any other program, House Speaker Nancy Pelosi said Thursday. Talking to reporters, the House speaker was defending a jobless benefits extension against those who say it gives recipients little incentive to work. By her reasoning, those checks are helping give somebody a job. "It injects demand into the economy," Pelosi said, arguing that when families have money to spend it keeps the economy churning. "It creates jobs faster than almost any other initiative you can name." ("Pelosi: Unemployment Checks Fastest Way to Create Jobs," FOXNews, 7/1/2010)
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Yep, we create jobs by snagging money from those who have jobs to pay for those who do not have jobs. There's a real big job-creator - ya betcha.

But Speaker Pelosi's absence of logical reasoning is not why this nation is in BIG economic trouble... or just BIG trouble. Speaker Pelosi has demonstrated over and over that she, like our president, has no clue about the reality of economics and the deleterious impact their pet liberal agendas have on the real American economy.

We are in BIG trouble because other Americans have voted her into office and retain her there. This means that many other Americans are as clueless about the workings of a real, live economy as she is, and they have bought into this insanity. We are in BIG trouble because many of our neighbors are actually voting for big government centralized economic policies. We are in BIG trouble because Americans are freely voting their way toward totalitarianism.

Troubling, isn't it?

Taxpayers Forced to Buy Junk

I just received and read this article and want to make many more citizens aware of it. I am angered beyond description. Amazingly, this points to an issue over which Democrats and Republicans are siding together in their concern and criticism.

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Federal Reserve Chairman Ben S. Bernanke and then-New York Fed President Timothy Geithner told senators on April 3, 2008, that the tens of billions of dollars in “assets” the government agreed to purchase in the rescue of Bear Stearns Cos. were “investment-grade.” They didn’t share everything the Fed knew about the money... “Either the Fed did not understand the distressed state of some of the assets that it was purchasing from banks and is only now discovering their true value, or it understood that it was buying weak assets and attempted to obscure that fact,” Senator Sherrod Brown, an Ohio Democrat and member of the Senate Banking Committee, said in an e-mail when informed about the credit quality of holdings in the Maiden Lane LLC portfolio. The committee held the April 3 hearing.... Billions of dollars in Fed loans -- some possibly involving subsidies for the biggest banks and corporations -- remain secret, and Congress is demanding more accountability from the Fed than at any time in its history. ("Fed Made Taxpayers Unwitting Junk-Bond Buyers," Bloomberg, 7/1/2010)

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I know that it's not easy reading through even these simple descriptions of the financial products involved (mortgages, derivatives, etc.). I get confused myself trying to follow it all. But the bottom line here is that even though Bernanke, Geithner, and others testified that the Fed was acquiring investment-grade debt during this bailout period, they failed to include details that the Fed, and consequently American taxpayers, is exposing itself to billions of dollars in below-investment-grade assets (ie, "junk").

The American people need to know this! Since I doubt that this is going to show up on the front page of the NY Times anytime soon, it is up to everyday folks like you and me to get this word out. So please pass this along (or at least the link to the article) to others on your lists.

Additionally, it would be beneficial to contact your Senators and Representative with information about this article and request that they demand an accounting of the Fed's actions.

While there can never be certainty about predicting the future, I think this contributes significantly to the reasons why America will not get through this economic storm unscathed, why we are headed into a "double dip" recession or worse, and why honest, hard-working, thrifty Americans are going to be severely punished for doing the right things all these years. I detest sounding so negative, but the odds keep stacking up in favor of some kind of catastrophic event. I'm not pretending to to know the magnitude, but it does not look as if it will be "business as normal" in America for awhile as long as these types of deceptions are going on.