Is the stock market poised for a reality check? Has the Bear been awakened?

 

               We’ve  got Gov. Rick Perry out in a public relations campaign talking up the economic prowess of “his” Texas. His low…low unemployment rate 0f 6.1% is the talk of media pundits everywhere. The front page of the USA today yesterday “informed” us that the bull market is roaring …old news …even to a print media that’s consistently a day late and several dollars short…and perhaps a sign that the bear has been awakened.

        If the United states just consisted of Texas and the stock market was just  based on the high flying  bank stocks ( forget they’re up because the taxpayer paid.)…you might think all is well on both Main street and Wall street. However, the real unemployment rate in 44 states is more than 10%. Over 3 million people are out of work….with several million more taking early retirement, working part-time…or have just plain given up on looking for a job. Low tax Texas is also low service Texas…and their below market tax rates  aren’t creating additional job…just stealing business from states that provide legitimate governmental services to it’s constituents.

   The federal reserve has been busy printing money…and the banks have prospered from interests rates that have been at near zero for a protracted length of time. How would you like to borrow money for free….and then lend it out on over-priced credit cards with interets rates of 25 to 30%?…or even better…finance payday profiteers that make upwards of 100% interest?  Even mainsteeet merchants offer two kinds of credit to it’s customers. Those with a 700+ credit score can get low cost financing….but if your below 700….the only credit services are typically  scammers whose annual percent rate isn’t even posted . The bankers have effective lobbyists that now tout “rent-to-own” financing ..which is exempt from disclosing the actual interest rate!

   With 50 million American workers making $10.00 an hour or less…how much blood can the working class give to support thoser in their gated communities? The minumum rate is so paltry…let’s see..Canada $14.00 an hour …England $15.00 an hour..and the United States at $ 7.65 an hour! With 70% of our economy “consumer” driven..their’s not a whole lot of gas left in the tank.

    The federal reserved signaled earlier this week that the “free money party” may be coming to an end. The stock market has been falling ever since…and the  gut feeling is that this bull run has ended. Joe and Jane  lunch-bucket do not possess the the purchasing power to support a corporate class that sponges both off the government and the least amoung us. Maybe this is THE WAKE-UP CALL that this country needs. Perhaps Wall street lacks empathy for it’s counter parts on Main street…feel our pain and summon your lobbyists to action!





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