STOCK MARKET WATCH, Tuesday December 7

[ozymandius]

Source: du

STOCK MARKET WATCH, Tuesday December 7, 2010

AT THE CLOSING BELL ON December 6, 2010

Dow 11,362.19 -19.90 (-0.17%)
Nasdaq 2,594.92 +3.46 (+0.13%)
S&P 500 1,223.12 -1.59 (-0.13%)
10-Yr Bond... 2.96 +0.03 (+0.89%)
30-Year Bond 4.27 +0.03 (+0.61%)

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Market Conditions During Trading Hours

Euro, Yen, Loonie, Silver and Gold

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Bush Administration Officials Convicted = 2
Names: David Safavian, James Fondren
Dishonorable Mention: former House majority leader, Tom DeLay

Bush Administration Officials Charged = 1
Name(s): Richard Lopez Razo

Financial Sector Officials Convicted since 1/20/09 = 11

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This thread contains opinions and observations. Individuals may post their experiences, inferences and opinions on this thread. However, it should not be construed as advice. It is unethical (and probably illegal) for financial recommendations to be given here.

Read more: du

[ozymandius]

1. Today's Report

15:00 Consumer Credit Oct
Briefing.com -$2.0B
Consensus -$2.5B
Prior $2.1B

http://www.briefing.com/Investor/Public/Calendars/EconomicCalendar.htm

[ozymandius]

2. Republicans achieve top goal in Obama tax-cut plan

WASHINGTON – Republicans control neither the House nor the Senate — and certainly not the White House. But they largely dictated the terms of President Barack Obama's proposed tax-cut compromise, which disgruntled congressional Democrats want to discuss in closed meetings that are likely to be rowdy.

Republicans prevailed on their biggest demand: continuing Bush administration tax cuts for the wealthiest Americans, despite Obama's 2008 campaign promise to let them expire for households earning more than $250,000 a year. Obama, while acknowledging Democratic unrest, agreed to extend the tax breaks for two years, whereas Republicans wanted a permanent extension.

Obama explained Monday that the concession was the only way to prevent a congressional impasse that would cause the tax cuts enacted in 2001 and 2003 to expire for all taxpayers. With 9.8 percent of Americans unemployed, he said, that would be "a chilling prospect."

more

Was it really the only way to free the GOP's hostages? Obama said that we cannot afford these cuts. I can think of a few things that we, and Obama, cannot afford: such as more of this capitulation and this fairy tale dream of bipartisanship.

[boomerbust]

8. I am beginning to think

That after the 08 election Obama was told to remember JFK, RFK, MLK and a few other populists that tried to take this country in another direction.

[Dr.Phool]

44. Robert Rubin schooled him long before that election.

Is not, never was, and never will be a liberal or a populist.

Who needs to be scared, when it's what you wanted to do all along? Look at his economic advisers during the campaign.

[tclambert]

11. He had to give in. The Republicans threatened to make frowny faces at him.

He handled this all wrong from the beginning. The moment he said he was willing to compromise, he had lost. If you want the other side to compromise, you claim you WILL NOT consider compromising on your most extreme demands. That is OFF THE TABLE! Then you walk toward the door. You make sure you walk slowly enough that the other side can say, "Wait, what if we throw in . . . " Then you pause, consider, and suggest a compromise of your own: "Well, I might consider raising the limit from $250,000 per year in income to $500,000, IF, and only if, I get a bigger jobs program in addition to extension of unemployment benefits. And those have to pass both houses before any action on the tax cuts. I will not risk you delaying or changing your minds on jobs and unemployment after the fact. And I'll remind you that the tax cuts expire in less than 30 days. So you have to get it done fast, or NO DEAL!"

Then you walk out briskly, leaving no time for any reply. Later on, they beg to raise the limit to $1M per year in exchange for everything on your wish list. You graciously and ever so reluctantly give in on that.

Okay, that's an optimistic outcome. But you don't go in to a negotiation admitting you are willing to give in on everything.

[DemReadingDU]

15. exactly, too willing to compromise

When have the Repukes ever compromised?

[Robbien]

19. I don't believe he gave in. He has always been very conservative

Tax cuts for the rich and the demise of Social Security are something he supports. All the lip service to "compromising" was just cover.

[tclambert]

14. I have of late, but wherefore I know not, found a renewed interest in Hamlet.

I watched a few different versions, including Dr. Who as Hamlet, and I gained a couple of new insights. My original take on Hamlet remains, however, that the Danish prince's main problem was he overthinks everything and talks himself out of taking action, of fighting for what is right.

Now I think Obama is Hamlet.

[Demeter]

22. Just Say NO!

Nancy Reagan was right.

[Demeter]

33. Oliphant Has it Cold

http://imgsrv.gocomics.com/dim/?fh=6a6235b7e5635fcfc35d68bb720db1e9

[ozymandius]

3. GOP lawmakers want full debate on Fed nominee

WASHINGTON (Reuters) – Federal Reserve nominee Peter Diamond's nomination was in peril on Monday as several Republican lawmakers said they continue to object to it and are demanding a full debate over it in the Senate.

As a result, President Barack Obama would have to gain approval from 60 Senators in the 100-member legislative body to force a vote on Diamond's nomination. Besides the high vote threshold, such a process would be a time-consuming exercise in a Senate that has few days left and a long legislative agenda.

more

Great! Another opportunity for bipartisanship. :sarcasm:

[ozymandius]

4. U.S. tax deal lifts global stocks

LONDON (Reuters) – Global equities advanced on Tuesday after a compromise deal to extend expiring U.S. tax cuts, though the euro zone's debt crisis and speculation over a possible interest rate rise in China kept them in check. The euro rose on optimism that Irish lawmakers will pass its toughest ever budget later in the day. The single currency remained vulnerable, however, with European policymakers dithering over how to tackle the region's debt problem.

The announcement was welcomed by the markets, with U.S. stock index futures trading 0.2 to 0.3 percent higher and global stocks measured by MSCI All-Country World Index (.MIWD00000PUS) adding 0.3 percent. "The market is benefiting from the compromise in the U.S. on the extension of the Bush tax cuts and to a lesser extent from the probable voting (through) of the Irish (budget)," said Philippe Gijsels, head of research at BNP Paribas Fortis Global Markets.

more

Reminder: many major banks paid little to no taxes last year (Goldman Sachs paid a mere 1% after loopholes) so I suspect the champagne flowed in ivory towers as the banks and their employees celebrated the news. This deal will leave the personal tax rate for hedge fund managers, who receive the bulk of their income from investments, at 15%.

[ozymandius]

5. U.S. exits Citigroup stake and earns $12 billion profit

(Reuters) - The U.S. government sold off its remaining shares in Citigroup Inc on Monday for $4.35 each, marking an exit from ownership in the bailed-out banking giant with a $12 billion gross profit for taxpayers.

The U.S. Treasury said it will take in $10.5 billion in sale proceeds from a public offering of 2.4 billion Citigroup shares, announced just hours earlier. The price is 10 cents below the $4.45 closing price on the New York Stock Exchange.

The Treasury invested a total of $45 billion to bail out Citigroup in 2008 and 2009 during the financial crisis. The company paid back $20 billion in preferred stock, while another $25 billion was converted to 7.7 billion common shares held by the Treasury.

more

I am happy only for the reason that our government has extricated itself from this transaction.

[Demeter]

26. Treasury to sell more Citigroup shares (NOT OUT OF WOODS YET)

http://www.marketwatch.com/story/pep-boys-results-on-late-trading-deck-2010-12-06?siteid=YAHOOB

Shares of Citigroup Inc. fell Monday evening after the U.S. Treasury said it plans to sell billions of shares in the company...Stock in Citigroup recently lost 1.1% to trade at $4.40. The U.S. Treasury said it’s planning to sell 2.4 billion shares of the financial-services firm, dependent on receiving an “acceptable” price.

The Treasury has already sold 5.3 billion of the 7.7 billion shares that the government received in exchange for Citi’s participation in the Capital Purchase Plan.

If the stock offering goes through, the Treasury would still hold warrants for Citi stock, and up to $800 million in FDIC-held trust preferred securities that the agency has to turn over to the Treasury unless it incurs any losses on debt of Citigroup that it’s guaranteed....

[ozymandius]

6. 5 Companies That Should Leave the Dow

Douglas McIntyre of 24/7 Wall Street presents this short list of companies that have not endured in stature during their tenure among the Dow 30.

NEW YORK (TheStreet) -- The Dow Jones Industrial Average (also called The Dow, Dow 30 and the DJIA) is what most Americans think of as the "stock market." The widely followed benchmark of 30 American stocks, however, no longer offers an accurate picture of the U.S. economy and needs to be changed.

24/7 Wall St. has analyzed all 30 DJIA members to determine which best represent the U.S. economy and have picked five companies that should be removed from the DJIA. We then looked at some of America's largest and most important companies and determined which ought to be added to the index.

Sales and market capitalization are the prominent defining factors in this assessment. I think this list is wholly reasonable - especially in the case of Alcoa. That company seems to have the most difficulty producing a profit and is often overshadowed as such by its competitors.

The board that oversees the Dow listings grudgingly acts to remove companies. As a result, removal does not happen very often and, when it does, makes big news.

[tclambert]

16. the five: Alcoa, United Technologies, Travelers, Verizon, and DuPont

The five he suggests adding: Apple, Berkshire Hathaway, Google, Goldman Sachs, and Ford.

[Demeter]

23. Verizon? Ford? Apple?

The rest I'd agree with, but these actually produce goods and services for ordinary people. They have a real market and a real share of it.

[ozymandius]

7. Two Supreme Court Cases Spotlight Corporate Interests

Class action cases involving gender discrimination claims against Wal-Mart and an environmental suit involving eight states against major industrial companies will receive Supreme Court reviews. These hearings will, first, determine if the high court will allow the cases to proceed.

From the Washington Post:

In the Wal-Mart case, the justices will not decide the merits of the claims, but look at the question of whether a single suit is proper when the charges are spread across thousands of stores across the country and involve women in many different jobs. ...

The global warming case began in 2004, when New York, California and others attempted to sue the power companies under public nuisance laws for the emissions. The utilities named are the American Electric Power Co., Cinergy Co., Southern Co. of Georgia, Xcel Energy Inc. of Minnesota, and the federal Tennessee Valley Authority.

These are jurisdiction arguments that will focus the Justices' attention on the merits of bringing cases against companies with plaintiffs spread across a diverse geographical area.

[tclambert]

13. "Gus, I'm sensing something . . ." It doesn't take a psychic to guess which way

Roberts Court, Inc. will go on these issues. 5 to 4 in both against people suing corporations for anything. They will go beyond "corporations are people" to "corporations are better than people."

[Tansy_Gold]

17. And the next step

is to declare that ONLY corporations are people.

G'morning SMWers and lurkers --

Yours truly may be scarce around these parts for the next week or so. The day job and my personal life are demanding some additional time and attention for a while. I'm sure I'll be able to drop in long enough for the daily rec and to post a little here and there, but like AnneD, my level of disappointment and disgust and fury and fear is threatening to become hazardous to my health.

We are not yet a banana republic. The middle class is not yet dead. The fact that people are NOT in the streets, are NOT clamoring for immediate and perhaps violent change is evidence enough that the masses are still reasonably comfortable. That means there is still time to effect peaceful and meaningful change. We just have to figure out how to do it without the assistance and leadership -- if you want to call it that -- of the man we elected to the presidency.

We can do it. Yes we can.



Tansy Gold, taking off her tinfoil hat and putting on her thinking cap

[ozymandius]

9. Good morning, all.

:donut: :donut: :donut: Time for me to run...

:hi:

[AnneD]

10. Morning Marketeers...

:donut: and lurkers.

I will say only two things about the current political activities (and hence economic activities) today:

I have NO HOPE

I have NO CHANGE TO BELIEVE IN.

I will say nothing more for fear my blood pressure and blood sugar will go up to unhealthy and unsafe levels. I am having to do the same thing I did with Chimp-tune it out and hit the streets in an effort at self preservation.

I am so bitterly disappointed that this was done to us by 'one of our own'.

That is all I can say.

Happy hunting and watch out for the bears. :cry:

[DemReadingDU]

18. Obama has lost his base

even spouse is so ticked. Usually he gives Obama excuses for his decisions, but not this time. He's done.

[Demeter]

31. He's Also Lost the "Honeymoon" for Anyone Who Comes After

Nobody in the future is going to get 2 years' grace. Payments will have to start immediately after Inauguration.

[xchrom]

12. recommend

[DemReadingDU]

20. Pan-European Bank Run Day Starts With A Bang: Bank Of Ireland ATM Systems Fail

12/7/10 Pan-European Bank Run Day Starts With A Bang: Bank Of Ireland ATM Systems Fail

As a reminder today is the day when Europeans are supposed to withdraw money from their bank, not necessarily in a beneficial manner. And maybe the action is already having an impact with the Bank of Ireland apparently the first casualty. BBC reports: "Customers of one of Ireland's largest banks have been unable to access their cash accounts through ATMs or online. The Bank of Ireland said it became aware at 1000 GMT on Tuesday that ATMs were not working and customers were unable to make online transactions. A spokesperson said the fault lay with the bank's internal system and engineers were working to restore normal services." And by bank's internal system presumably one meant lack of money...Perhaps Eric Cantona will have the last laugh after all. We ask our European readers to advise us if they see comparable "internal system" failures at their bank ATMs

http://www.zerohedge.com/article/pan-european-bank-run-day-starts-bang-bank-ireland-atm-systems-fail


12/7/10 Bank of Ireland ATM and online systems fail
Automatic teller machine (ATM) Customers have been unable to use the bank's cash machines
Customers of one of Ireland's largest banks have been unable to access their cash accounts through ATMs or online.

more...
http://www.bbc.co.uk/news/uk-northern-ireland-11937654

[Robbien]

24. The day people were to withdraw their cash the bank's cash system is unavailable?

No wonder the bank said they weren't worried people would join the protest by withdrawing their cash. The bank had a plan.

edit:From
http://www.u.tv/News/Cash-points-operating-normally-again/e6686f46-f7d6-4d73-979a-07cd195e36fc

The Bank of Ireland blamed "an unforeseen technical issue" for the breakdown which restricted customers from withdrawing cash across the province.

[mbperrin]

46. Nah, it's just a coincidence. Banks wouldn't prevent regular people

from using their own money, would they?











I've got to go lie down now. That much sarcasm in one little sentence just wears me out.

[Demeter]

48. Pace Yourself, Dear

There's two more years to go.

[Festivito]

21. Debt: 12/03/2010 13,833,511,738,992.20 (DOWN 7,454,500,060.95) (Fri)

(Down a little. Good day.)
The Kazoo had an inch of snow. 96 had blizzard squalls. Cold cold.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,270,119,745,304.06 + 4,563,391,993,688.14
DOWN 51,568,825.48 + DOWN 7,402,931,235.47

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 311-Million person America.
If every American, man, woman and child puts in $3.22 THAT'S 1B$, and $3,217.10 makes 1T$.
A family of three: Mom, Dad, Child: $9.65, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 310,839,392 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $44,503.73.
A family of three owes $133,511.18. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 21 reports in the last 30 days.
The average for the last 21 reports is 5,466,662,337.52.
The average for the last 30 days would be 3,826,663,636.26.

There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 44 reports in 64 days of FY2011 averaging 6.18B$ per report, 4.25B$/day.
Above line should be okay

PROJECTION:
There are 779 days remaining in this Obama 1st term.
By that time the debt could be between 14.9 and 17.9T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
12/03/2010 13,833,511,738,992.20 BHO (UP 3,206,634,690,079.12 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,271,888,708,100.50 ------------* * * * * * BHO
Endof11 +1,550,615,288,385.66 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
11/12/2010 +001,236,686,699.48 ------------*********
11/15/2010 +065,794,144,300.11 ------------********** Mon
11/16/2010 +000,750,562,513.87 ------------********
11/17/2010 +000,670,859,874.97 ------------********
11/18/2010 -002,271,166,541.35 --
11/19/2010 +002,392,756,046.31 ------------*********
11/22/2010 +000,068,056,529.55 ------------******* Mon
11/23/2010 -000,022,584,331.05 ----
11/24/2010 +000,282,063,227.86 ------------********
11/26/2010 +003,743,380,701.15 ------------*********
11/29/2010 +000,134,381,143.81 ------------******** Mon
11/30/2010 +065,487,463,946.10 ------------**********
12/01/2010 -005,680,380,232.98 --
12/02/2010 +000,827,003,518.64 ------------********
12/03/2010 -000,051,568,825.48 ----

133,361,658,570.99 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4644273&mesg_id=4644290

[Festivito]

70. Debt: 12/06/2010 13,834,824,737,060.60 (UP 1,312,998,068.40) (Mon)

(Up a little. Good day.)
Everything got cancelled, so, instead it was a nice quiet cold day.
(Debt under Obama seems to jump up big then drop slowly maybe up a little and down a little for days--repeat.)
= Held by the Public + Intragovernmental(FICA)
= 9,270,196,784,106.59 + 4,564,627,952,954.01
UP 77,038,802.53 + UP 1,235,959,265.87

Source: Debt to the penny:
http://www.treasurydirect.gov/NP/BPDLogin?application=np

THINKING IN BILLIONS: Think 3 or 4 dollars per billion in a 311-Million person America.
If every American, man, woman and child puts in $3.22 THAT'S 1B$, and $3,216.87 makes 1T$.
A family of three: Mom, Dad, Child: $9.65, ABOUT TEN BUCKS for a 1B$ federal program.
I hope that is clear. However, I'd suggest using $3 per 1B$ to underestimate it.
Use $4 per 1B$ to overestimate the cost when thinking: Is the federal program worth it?
Aid to Dependant Children: 2B$/yr =$8/yr(a movie a year) Family of 3: $24/yr(an hour of bowling)

PERSONALIZED DEBT:
Every 12 seconds we net gain another American, so at the end of the workday of the report, there should be 310,860,992 people in America.
http://www.census.gov/population/www/popclockus.html ON 10/04/2010 04:37 -> 310,403,677
Currently, each of these Americans owe $44,504.86.
A family of three owes $133,514.58. (And that is IN ADDITION to their mortgage.)

ANALYSIS:
There were 20 reports in the last 30 to 31 days.
The average for the last 20 reports is 5,574,733,827.50.
The average for the last 30 days would be 3,716,489,218.34.
The average for the last 31 days would be 3,596,602,469.36.
There were 252 reports in 365 days of FY2007 averaging 1.99B$ per report, 1.37B$/day.
There were 253 reports in 366 days of FY2008 averaging 4.02B$ per report, 2.78B$/day.
There were 75 reports in 112 days of GWB's part of FY2009 averaging 8.03B$ per report, 5.38B$/day.
There were 174 reports in 253 days of Obama's part of FY2009 averaging 7.33B$ per report, 5.07B$/day so far.
There were 249 reports in 365 days of FY2009 averaging 7.57B$ per report, 5.16B$/day.
There were 251 reports in 365 days of FY2010 averaging 6.58B$ per report, 4.53B$/day.
There were 45 reports in 67 days of FY2011 averaging 6.07B$ per report, 4.08B$/day.
Above line should be okay

PROJECTION:
There are 776 days remaining in this Obama 1st term.
By that time the debt could be between 14.9 and 17.8T$.
It could be higher. It could be lower.

HISTORICAL:
President's term begins and ends on Jan 20.
(Guess who might want to hide the Reagan Bush years. Jan 20 data is missing before 1993.)
01/20/1993 _4,188,092,107,183.60 WJC Inaugural
01/22/2001 _5,728,195,796,181.57 WJC (UP 1,540,103,688,997.97)
01/20/2009 10,626,877,048,913.08 GWB (UP 4,898,681,252,731.43)
12/06/2010 13,834,824,737,060.60 BHO (UP 3,207,947,688,147.52 so far since Obama took office.)

FISCAL YEAR DEBT CHANGE, Sep 30 prior year to Sep 30 named year:
(One "* " for each 40B$ reached)
FY1994 +0,281,261,026,873.94 ------------* * * * * * * WJC
FY1995 +0,281,232,990,696.07 ------------* * * * * * * WJC
FY1996 +0,250,828,038,426.34 ------------* * * * * * WJC
FY1997 +0,188,335,072,261.61 ------------* * * * WJC
FY1998 +0,113,046,997,500.28 ------------* * WJC
FY1999 +0,130,077,892,735.81 ------------* * * WJC
FY2000 +0,017,907,308,253.43 ------------WJC
FY2001 +0,133,285,202,313.20 ------------* * * C&B
01-WJC +0,053,598,528,417.78 ------------* WJC 31% of FY, 40% of FY-Debt
01-GWB +0,079,686,673,895.42 ------------* GWB 69% of FY, 60% of FY-Debt
FY2002 +0,420,772,553,397.10 ------------* * * * * * * * * * GWB
FY2003 +0,554,995,097,146.46 ------------* * * * * * * * * * * * * GWB
FY2004 +0,595,821,633,586.70 ------------* * * * * * * * * * * * * * GWB
FY2005 +0,553,656,965,393.18 ------------* * * * * * * * * * * * * GWB
FY2006 +0,574,264,237,491.73 ------------* * * * * * * * * * * * * * GWB
FY2007 +0,500,679,473,047.25 ------------* * * * * * * * * * * * GWB
FY2008 +1,017,071,524,649.92 ------------* * * * * * * * * * * * * * * * * * * * * * * * * GWB
FY2009 +1,885,104,106,599.30 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * B&O
09GWB +0,602,152,152,000.60 ------------* * * * * * * * * * * * * * * GWB 31% of FY, 32% of FY-Debt
09-BHO +1,282,951,954,598.70 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO 69% of FY, 68% of FY-Debt
FY2010 +1,651,794,027,380.00 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO
FY2011 +0,273,201,706,168.90 ------------* * * * * * BHO
Endof11 +1,488,337,653,009.68 ------------* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * BHO

LAST FIFTEEN REPORTS OF ADDITIONS TO PUBLIC DEBT(NOT FICA):
11/15/2010 +065,794,144,300.11 ------------********** Mon
11/16/2010 +000,750,562,513.87 ------------********
11/17/2010 +000,670,859,874.97 ------------********
11/18/2010 -002,271,166,541.35 --
11/19/2010 +002,392,756,046.31 ------------*********
11/22/2010 +000,068,056,529.55 ------------******* Mon
11/23/2010 -000,022,584,331.05 ----
11/24/2010 +000,282,063,227.86 ------------********
11/26/2010 +003,743,380,701.15 ------------*********
11/29/2010 +000,134,381,143.81 ------------******** Mon
11/30/2010 +065,487,463,946.10 ------------**********
12/01/2010 -005,680,380,232.98 --
12/02/2010 +000,827,003,518.64 ------------********
12/03/2010 -000,051,568,825.48 ----
12/06/2010 +000,077,038,802.53 ------------******* Mon

132,202,010,674.04 Total of 15 above reports.

Heavy borrowing seems to start after 09/18/2008 while Bush was in power JUST BEFORE fiscal year end.
Bush admin borrowed $962,245,245,654.01 in those last 124 days in office crossing two fiscal years.
$360,093,093,653.42 in last 12 days of FY2008, and $602,152,152,000.59 in subsequent 112 days before leaving office.

For a prettier and more explanatory view of our nation's debt:
http://www.brillig.com/debt_clock
http://www.usdebtclock.org/
DUer primer on National debt

(Debt to the penny keeps changing. Stuff is missing. Best to keep our own history.) LAST REPORT:
http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=102&topic_id=4646129&mesg_id=4646274

[Demeter]

25. Regarding that Ransom Note: DON'T BELIEVE IT!

The only way we get our government back is when we pry it from the cold dead hands of the Corporations and the Borg Elite.

[Demeter]

27. What the Bowles-Simpson plan left out By Robert J. Samuelson (GET HIM!)

http://www.washingtonpost.com/wp-dyn/content/article/2010/12/05/AR2010120503303.html?nav=rss_opinion/columns

People who wonder what America's budget problem is ultimately about should look to Europe. In the streets of Dublin, Athens and London, angry citizens are protesting government plans to cut programs and raise taxes. The social contract is being broken. People are furious; they feel betrayed.

Modern democracies have created a new morality. Government benefits, once conferred, cannot be revoked. People expect them and consider them property rights. Just as government cannot randomly confiscate property, it cannot withdraw benefits without violating a moral code. The old-fashioned idea that government policies should serve the "national interest" has given way to inertia and squatters' rights.

One task of the National Commission on Fiscal Responsibility and Reform - co-chaired by Erskine Bowles and Alan Simpson - was to discredit this self-serving morality. Otherwise, changing the budget will be hard, maybe impossible. If everyone feels morally entitled to existing benefits and tax breaks, public opinion will remain hopelessly muddled: desirous in the abstract of curbing budget deficits but adamant about keeping all of Social Security, Medicare and everything else. Politicians will be scared to make tough decisions for fear of voter reprisals.

It's not in the national interest to subsidize farmers, because food would be produced at low cost without subsidies. It's not in the national interest to subsidize Americans, through Social Security and Medicare, for the last 20 or 25 years of their lives because healthier people live longer and the huge costs make the budget unmanageable. (NOT EVEN IF THEY PAID FOR IT ENTIRELY, EVIDENTLY) It's not in the national interest to subsidize mass transit, because most benefits are enjoyed locally: If the locals want mass transit, they should pay for it.

As we debate these questions, groups will inevitably promote their self-interest. But in doing so, they should have to meet exacting standards that their self-interest also serves the broader national interest. Having received or been promised benefits does not create a right to them. At most, it justifies a pragmatic claim for gradual termination. Bowles and Simpson provided few guideposts. They mainly wanted their numbers to add up.

NOT A WORD ABOUT CORPORATE WELFARE--AND I'M SURE AGRIBUSINESS WAS NOT INCLUDED IN THE CATEGORY "FARMERS".

[Tansy_Gold]

29. New morality vs old morality

New morality -- we look out for each other

Old morality -- it's every man for himself, women and children and old people and slaves not included.


Robert Samuelson, you are a greedy selfish fucker. Eat shit, asshole.




Tansy Gold, venting just tiny bit

[Demeter]

32. Greed is one thing, bending or ignoring factual truths is another

That crosses the greed line right into class warfare.

[Demeter]

35. Or as Dilbert Demonstrates in the Corporate World...

[Demeter]

28. Dean Baker's commentary on economic reporting

http://www.prospect.org/csnc/blogs/beat_the_press_archive?month=12&year=2009&base_name=david_wessel_cant_acknowledge

...At the end of 2007 I was on the NPR show On the Media. I complained that the media did not give enough attention to economists who saw the housing bubble and the recession that would be caused by its collapse. David Wessel followed me and commented that I was just upset that the media didn't rely on more economists who agreed with me. As I pointed out to him later, my complaint was that the media did not give enough attention to economists who were right...The housing bubble was not difficult to spot for any serious analyst of the economy. In the decade from 1996 to 2006 there was an increase in nationwide house prices of 70 percent above the rate of inflation. This run-up was a sharp divergence from a 100-year long-trend. It could not be explained by any change in the fundamentals of the housing market. It also was not accompanied by any notable increase in rents. As one final piece of evidence, vacancy rates were hitting record levels. If the fundamentals of supply and demand were driving house prices, then the country would not be flooded with an excess supply of housing

It also should have been evident that the bursting of the bubble would devastate the economy... While this is important for Wall Street, the real aspects are far more important for the economy. The bubble added more than 3 percentage points to GDP in the form of excess housing construction and another 4 percentage points of GDP in the form of excess consumption driven by bubble generated housing wealth. This demand was absolutely certain to disappear when the bubble burst. The Fed has no mechanism that can readily replace a drop in annual demand equal to 7 percent of GDP or more than $1 trillion. (The downturn was exacerbated by the collapse of a bubble in non-residential real estate that is still in process.)

This is all very simple. None of this requires complex economic analysis, just competent economists and for that matter, competent economic reporters....One thing that is striking is that no one seems to get fired for this failure. There are no reporters being fired for failing to see the housing bubble (nor Fed chairman).

[jtuck004]

45. I am getting seriously tired of authors who write as if housing market

was some uncontrollable entity that we were all a victim of. It was just a vehicle used to pursue profit at the expense of the economy of several countries. The housing market at its peak was about $13 trillion, of which subprime was less than $2 trillion. But the toxic assets created by the investment banks are estimated to have ranged as high as $140 trillion, and it was the collapse of that Ponzi scheme that may still lead to the destruction of this economy, and this country.

An example of just a piece of the criminal enterprise was AIG, where on one side of their house they were selling billions in insurance on loans for which they had no assets to pay off, to people with no insurable interest, on paper with phony numbers assigned by rating companies who threw trust out the window in pursuit of profit, on loans marketed by the most predatory of lenders to both unsophisticated and supposedly sophisticated investors.

The other side of the AIG house was loaning out their stocks to short sellers and investing the proceeds into toxic assets so they could not pay off what they would owe. And when the cards came tumbling, Goldman Sachs, one of those who enabled the creation and run-up in "value" of the toxic assets, was directly responsible for the governments need to step in if for no other reason than to protect the retirements and life insurance policies that were threatened by this scheme of AIG, Goldman Sachs, and all the other slimy, venal creatures that participated in this hoax. (with so many ex-Goldman employees in the government I find it very easy to believe that this was a setup which held the government hostage). The government may have saved the insureds, but how many of them will lose their homes or find themselves indebted for the rest of their lives, or be laid off at 50 to find they will never work another job again as a result?

And all of this was exacerbated by a Fed Chairman, the Bernank, who sat on TV and downplayed the idea that the bubbleicious market could ever go down, ignoring the effect his predecessors, who actively participated in the destruction of government regulations that had protected this country for 70 years, had on creating the very bubble he was decrying. Trillions of dollars were and are funneled into these companies by Treasury Secretary Geithner, who for years spent so much time, both socially and in business dealings with the perpetrators of these schemes that it became the subject of whole articles written up on the business pages of newspapers.

Yet people still write as if it was the increase and resultant collapse in housing prices that was responsible. The housing bubble was the direct result of low interest rates and changes in government policies that allowed these firms to create perhaps the largest Ponzi scheme of all time.

The bursting of the bubble didn't devastate the economy. That wasn't the cause of this depression - the reckless, careless, and criminal behavior of these "friends of government" devastated the economy and made them hundreds of billions of dollars in profit. And they continue to profit from it.

I like Dean Baker's writing, and while I realize the popularity of blaming the "housing market" is the easy story to tell, that telling the whole truth is harder, it plays into the claws of the avaricious creatures who continue to suck the life out of the American taxpayer, taking their homes, their retirements, their children's education.

And that's just wrong.

[Demeter]

49. I See Your Point and Totally Agree

in his defense, I think Baker is pointing an accusing finger at the MSM, Fed Reserve, and Governmental House Economists response to the scam, more than at how it all came about....

[mrdmk]

52. He is the other point

The housing market was over-heated. The result was the total U.S. GDP was over-stated by 2% to 3%. What that means is, people who were using the GDP as a leading indicator were doomed to have problems with their forecast. When people were preparing for a upward (expansion) trend needed to be preparing for a flat or downward trend (contraction).

To further the point, bad data was given knowingly. Fucked-up information gives fucked-up results!

[Dr.Phool]

53. I just finished reading, "The Great American Stick-up" by Robert Scheer.

Great read on the whole thing.

Not many books on finance that are hard to put down, but this was one.

[jtuck004]

59. I went through

It Takes a Pillage
13 Bankers
a Couple of others
The Movie Inside Job
a little bit of Econned by Yves Smith
the Michael Lewis book, (Liars Poker)?
I'm finishing Griftopia by Taibbi
Great American Stick-up is on my desk after this one.


The hardest part is when I began to realize that the "fixes" being applied by the government are very likely
just going to prolong a mountain of debt, much of it personal, that is literally going to keep us burdened
for a couple of decades, and the investment banks are intentionally profiting from it with the assistance of
government officials and employees.

It's an incredible scam, yet people don't seem to want to step out of their own experience to understand
that they are really roped in by all this. And every time someone talks about the "bubble" fo housing without
mentioning that it was deliberate and part of the big Ponzi scheme, the bad guys get further away.

[Demeter]

30. Banks to taxpayers: Get over it

http://www.marketwatch.com/story/mind-boggling-losses-at-the-banks-2010-12-06?siteid=YAHOOB

In the throes of an investor panic in the fall of 2008, U.S. financial institutions stuck to their story: We’re fine, trust us...Last week, more than two years later, the Federal Reserve unveiled how those same financial institutions tapped emergency lending programs to survive. The final tally — $3.3 trillion in loans — exceeded even the most skeptical analyst expectations.

The Fed had been hesitant to release the data for fear it could rattle the markets....The disclosure tells us a lot about how dire the situation was in the darkest days of the credit crisis, but it also tells us some important things about today’s banking landscape: It’s fragile, it’s built on faith — and a lot of extraordinary backing. The phrase “zombie” banks comes to mind when the numbers are laid bare: Morgan Stanley borrowed $61 billion in one overnight loan. Goldman Sachs Group Inc. hit up the Fed 81 times for a combined $600 billion. Citigroup Inc. and Bank of America Corp.borrowed a combined $2.6 trillion under the Fed’s primary dealer facility. Even J.P. Morgan Chase & Coused the central bank’s term auction facility seven times.

Oh, and the banks’ way of saying thanks for all of this: Get over it.

Most banking institutions aren’t only downplaying the drastic measures they took to keep the doors open day to day by suggesting it’s all ancient history. They’re arguing that what happened then has no bearing on what’s happening now...In other words, just because they were hiding their wounds then, doesn’t mean they’re hiding anything now.

Well, consider that in the fourth quarter of 2008 Goldman reported a loss of $2.12 billion. During that period, the bank borrowed $589 billion from the Fed in overnight loans. Yet, look at the press release announcing the fourth-quarter and annual results. Goldman makes no mention of its desperate borrowing. Instead it touts the fact it was profitable for the year. That loss? Well, it was just a tough quarter...And when Morgan Stanley’s John Mack was arguing in September 2008 that his firm had more than $100 billion in assets to ride out a potential run on the investment bank, he didn’t mention that the bank was borrowing tens of billions from the Fed each night, ultimately tapping the central bank for more than $1.9 trillion, including the brokerage’s foreign units. See story on Mack statements... On Monday, B. of A. announced it has nearly met all of the obligations to exit the government’s bank bailout program. Nineteen banks, including J.P. Morgan, will undergo another stress test so they can pay out more dividends to shareholders...the Fed’s disclosure covers only the emergency programs it launched as the credit markets froze. It doesn’t cover today’s lending. We’re told leverage is falling at these banks, but the Fed’s lending rates are still near zero. Cash is cheap...If there’s a lesson to be learned from the Fed’s bombshell, it’s that a lack of disclosure usually means there’s something to hide...“We’re fine, trust us,” just isn’t good enough anymore.

[Roland99]

34. Oil gushing past $90/bbl...heading to $91/bbl.

[Demeter]

36. Somebody is crazy

probably me, for thinking that the bubble phase was over. This is what we get for QE2, I'm supposing...

[bread_and_roses]

37. It's HAPPY DAY! Tax breaks for the rich! Assange arrested!

I liked that "Borg" reference - works for me.

[CatholicEdHead]

51. Yep, weaker dollar overall

The weaker it gets, the more expensive oil and gas get.

[hamerfan]

38. We are...

So Frikkin' DOOMED!

[Tansy_Gold]

60. Unless of course

we really want to make a statement.

It could be done you know.

And not cost a dime.

But we have to really really really REALLY want to do it.




TG, TT

[hamerfan]

63. You go, girl!

Tilting at windmills just doesn't hold the charm for me as it did back in my misspent youth. So I'll quit my criticisms/observations and meekly accept whatever happens. I can live with that.

[Lucky Luciano]

39. Treasuries getting absolutely fucking hammered on the tax deal. nt

[Roland99]

40. 10-year yield shot past 3%

yikes.

[Dr.Phool]

41. ***BREAKING*** Senator Obama rolled by President McConnell and VP Boner...again.

Film at 11:00.

[Demeter]

42. 72 points of gloat at the start

I must say that I will enjoy the peace and quiet on the outside, now that all the worst Obama apologists on DU will have to start apologizing to us! As if!

The Pragmatists are out in full force, though. Those that are still employed, of course, or have other means of support. But the next round of layoffs should take care of them.

It was nice knowing you all. The iceberg wins, again.

[Tansy_Gold]

43. Who's gloating? Not I, certainly

I would have loved to be proven wrong about Obama. There is no joy in I.T.Y.S. Satisfaction, yes, but it's very very bitter.


TG, NTY

[Demeter]

47. You Have to Have Money to Gloat

when great honking tax cuts come out of the sausage factory in DC.

Too bad they are using the taxpayers as the stuffing....if that doesn't put you on a diet, nothing ever will.

[TheWatcher]

55. The Unaffected continue to celebrate the fact that their false reality still provides them with

cover to not give a fuck about the rest of the country, the world, or the reality that is going on in it.

They are becoming every but as much the enemy of the People as The Criminals who are running things.

When they run out of chairs to sit in when the Music Stops, they will recieve no quarter or sympathy from me, nor do they deserve any from anyone else.

Meanwhile Wall Street is merely engaging in masturbatory celebration over more looting, robbing, stealing, and extortion at our expense, and undoubtedly is in extreme sexual heat over the arrest of Assange, just one more sign that Fascism and Tyranny continue to win the day.

And far too many of our countrymen are celebrating that as well.

We are beginning our final descent into darkness.

We have no Representative Government, a complicit, cowed, go-along Public and electorate, and seemingly no hope that any of this can change any time soon.

Merry Fucking Christmas.

:(

[Demeter]

50. The Early Onset of the Alberta Clipper

that branch of the jet stream that often forms a dagger at the heart of the Midwest, is doing nothing for my spirit. It's cold, windchill of 14F at lunchtime....and all the snow flurries sublimated already...

[Tansy_Gold]

54. Well, y'know, I hate to say it. . . . .

Politics in Arizona sucks. We've got Jan "Death Panels R Us" Brewer and Joe "Pink Underwear" Arpaio and Paul "Let's Build the Goddamn Fence" Babeu and Shaun "I can be perfectly impartial judging the cases of the people my brother arrests" Babeu and Jon "The Unemployed are Lazy" Kyl.. . . .not to mention McCain't.

But it's reached the point where I'm not sure politics is really any better anywhere else. Wisconsin voted out Russ Feingold. New Jersey has Christie. Rahm is going back to Chicago to fix everything there. No one is looking out for the working classes and the rich seem to get whatever they want handed to them on a silver platter by, well, by you know who.

So all I can say, Demeter, is that it's gonna be mid 70s here this afternoon, with a moderate UV index, meaning we shouldn't stay out in the sun too long or we'll risk sunburn.

:evilgrin:



TG, NTY

[bread_and_roses]

62. I've given up on political "change" - it's a shell game (n/t)

[hamerfan]

64. A lot of truth

in that one sentence, b_a_r. Thanks for that!

[TheWatcher]

56. Watch This and Tell Me We Are Still Living In A Free Country.

http://www.youtube.com/watch?v=4wqooBmYfQ4&feature=player_embedded

What Have We Become?

[Demeter]

66. That's insane, prima facie.

[tclambert]

68. And it only takes 2 minutes per person!

So for an arena crowd of 30,000, we only need to waste 1,000 person hours and machine hours. That's just guard time. Let's see, they showed up to 3 lines going into the machine. For 30,000 that means 10,000 per line, at 2 minutes each, equals 333 hours. Hope that game goes into overtime!

[Karenina]

57. "The Markets" ...

arejitteryseemtofeelreactdictatewerecalmedby... WHO are these "Markets?" I just watched a bit on AJ on Ireland who have just been brutally RAPED by "The Markets." This shit has been (since Glass-Steagel was gutted) and continues to be TOO STOOPID.

I bought some silver yesterday in support of Max Keiser's campaign. THAT transaction was a story in itself. :eyes:

http://www.youtube.com/watch?v=QCM7rMIqxmk

I'll be looking for a spike to break even. Haven't done the math yet. No Matter. Don't care. If I can add my widow's mite to biting JP Morgan like a bedbug AND reproducing, it's well worth it.

PLUS the coins make a perfect symbolic "Season's Greetings" of my sincere wish for my loved ones' financial health and empowerment.

[TheWatcher]

58. First They Came For The Airports.....

You didn't REALLY think it was going to stop there, did you?

http://www.youtube.com/watch?v=rEiMvu6svgw&feature=player_embedded

http://www.cbsnews.com/stories/2005/12/14/terror/main1124533.shtml

Check out the Boot Licker in the video who feels "safe."

But THANK GOD they got that Menace Assange.

The World is "safe" once again.

[AnneD]

67. We took my niece on the Bolivar Ferry....

this weekend. We were leaving when we saw some TSA folks out and they had a canine unit. I thought they were training

[TheWatcher]

69. Oh No. Not training. They are incrementally going to roll this out to everything.

Of course the Security Theater Geek Squad will tell us it's all for our own good, and no big deal, and how it's all loving, trendy, cute, funny, and Of The Lord.

Our worst nightmares are coming true.

And America, as a whole, can't seem to get enough of it, or care less.

[AnneD]

71. I realize that now...

and I noticed it right away (security guard hubby was oblivious). I am really pissed that Homeland Security has invaded my hometown. We are doing fine without them, thank you very much.

It is shit like this that makes forces me to agree with the right winger. Great job at radicalizing the population there HS.

[StarburstClock]

61. "Trickle Down" Fraud-o-nomics To Continue, Had To "Deal" Or It Would've Been Chaos!

So goes the daily spew of lies from our corrupt politicos. Paris Hilton, LeBron James and Warren Buffet all get tax breaks, just what they needed, LOL. Ah to live in the land of war criminals and fascism, the splendor of watching the people ripped off daily as they happily swallow lies and robotically spit them out for all to hear along with the virtues of torture and war profiteering.

Oh but you can bet the markets aren't corrupt, nope they are as pure as snow, no manipulation going on in there you conspiracy kooks! The markets would have chaos if we didn't give the super-rich enough money for a new Lamborghini so now all is safe, they have their tax-breaks along with tax shelters and tax write-offs and accounting gimmicks. Yes, it's a better world if they don't have to pay any tax at all and you and I pay for fake wars, propaganda and for-profit health care.

Guess who the next president will be after all this betrayal? Go ahead and say it and imagine the real horror the once great USA will become in 2 short years from now.

[Dr.Phool]

65. The worst part was the payroll tax holiday.

Guaranteed to kill off Social Security and Medicare. And they act like they're throwing people a bone.

They really do think we're fucking stupid. They really do.

We'd better get a primary candidate lined up, because Obama is a continuing disaster.

[AnneD]

72. Yeah...

like we should be thankful for the KY jelly. :grr: