The Canary in The Coal Mine Is Gasping For Air
Posted by Andrea Ryan on Saturday, June 23, 2012, 4:38 PM
The Coal Mine Canary Is Gasping For Air
By: Jim Hoft and Andrea Ryan
There is a growing trend. An increasing number of high profile Democrats have been extricating themselves from association with the president, and now even the Democratic Party, itself. Pick your metaphor…Peggy Noonan’s House of Cards, a sinking ship, a canary in a coal mine…the tropes of our economy, and those responsible for the health of it, are all crumbling, sinking, or gasping for breath. As hard as the Obama Administration is spinning the story, reality has arrived.
The Stock Market
On Thursday, the DOW dropped 2%, losing over 250 points and marking the second biggest drop of the year. Dramatic drops in production and profits across the manufacturing and energy industries have investors rightfully spooked.
Daily Finance reported,
Investors yanked money out of stocks Thursday after new reports from the U.S. and China pointed to a sharp slowdown in manufacturing. The Dow Jones industrial plunged 251 points, the second-biggest drop this year. Losses in energy and materials companies led a widespread rout on the stock market. The Dow started sinking after 10 a.m., when the Philadelphia branch of the Federal Reserve reported a sharp contraction in manufacturing in the Northeast. The losses accelerated throughout the day. ”The news has been horrible out there,” said Uri Landesman, president of Platinum Partners. “The U.S. economy is slowing down. And China’s growth is definitely under question.” The bad news kept piling up as the day went on. Mining and other companies that made basic materials fell hard after prices for commodities such as copper and oil dropped. Goldman Sachs analysts advised their clients to bet that stocks would fall, and speculation swirled that Moody’s would cut the credit ratings of 17 banks.
Moody’s Downgrade
Moody’s Investors Service lowered the credit ratings across the global banking sectors, including the U.S.
According to Business Insider,
Moody’s Investors Service today repositioned the ratings of 15 banks and securities firms with global capital markets operations. The long-term senior debt ratings of 4 of these firms were downgraded by 1 notch, the ratings of 10 firms were downgraded by 2 notches and 1 firm was downgraded by 3 notches. In addition, for four firms, the short-term ratings of their operating companies were downgraded to Prime-2. All four of those firms also now have holding company short-term ratings at Prime-2. The holding company short-term ratings of another two firms were downgraded to Prime-2 as well. …
Today’s rating actions conclude the review initiated on 15 February 2012 when Moody’s announced a ratings review prompted by its reassessment of the volatility and risks that creditors of firms with global capital markets operations face. In the past, these risks have led many institutions to fail or to require outside support, including several firms affected by today’s rating actions. Today’s actions, however, reflect not only the credit implications of capital markets operations. They also reflect (i) the size and stability of earnings from non-capital markets activities of each firm, (ii) capitalization, (iii) liquidity buffers, and (iv) other considerations, including, as applicable, exposure to the operating environment in Europe, any record of risk management problems, and risks from exposure to US residential mortgages, commercial real estate or legacy portfolios.
Lowered GDP Projection and Higher Unemployment
And Moody’s isn’t the only one busy downgrading. The Federal Reserve has just lowered its expectations of economic growth from an already sickly GDP, and is seeing higher unemployment rates heading our way.
The Wall Street Journal reported,
The Fed’s “central tendency” for the U.S. gross domestic product now ranges from 1.9% to 2.4% this year, compared with the 2.4% to 2.9% gain predicted in April. Growth is seen between 2.2% and 2.8% in 2013, from the April view of 2.7% to 3.1%. U.S. GDP growth is seen between 3.0% to 3.5% in 2014.
The Fed’s outlook on hiring was also gloomier. It now sees the unemployment rate this year as coming in between 8.0% to 8.2%, from April’s projection of 7.8% to 8.0%. Next year the Fed sees the unemployment rate coming in between 7.5% to 8.0%, versus April’s projection of 7.3% to 7.7%. The Fed’s 2014 unemployment forecast is 7.0% to 7.7%.
The outlook for jobs, corporate profits, the banking industry, and the U.S. economy is negative and those monitoring trend indicators keep lowering the projected benchmarks. The circling vortex of the European debt crisis is moving to the U.S. and reality has turned obnoxious enough that even the Liberal media are no longer willing, or able, to deny it. The private sector is not “doing fine” and the voters are getting wise to the lying and whining coming out of the Obama White House.
Obama’s Socialist masquerade is crumbling and his usual grandiloquence is senseless, and “meandering”; his halting and stammering has him labeled by the media as a president “dazed and confused”. It’s no wonder Obama routinely avoids the White House press corps. This week, former Democratic Governor Ed Rendell told the Washington Free Beacon that Obama’s “free pass” from the media has been rescinded. With his sanctuary removed, the Administration has had to concoct a new medium for spinning its messy stockpile of failed policies. Thus, emerged a reinvented President of the “Newfangled Thing”, better known to the rest of us as social networking. For Obama, reality sucks and his canary is dying, so he has escaped to cyber-space. There, he can pretend to be anyone he wants to be, even if it’s not who he really is.
Obama’s policies are toxic and his canary is gasping for air.
This was cross-posted at FreedomWorks.
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Blacque Jacques Shellacque commented:
This certainly can’t be welcome news, because it wasn’t moving along all that well in the first place.
Blacque Jacques Shellacque commented:
And on the subject of toxic policies, one name should be added to that category: Ben Bernanke.
Bill Mitchell commented:
As we move forward and Obama’s popularity fades even further, expect to see the MSM’s abuse of Democrat oversampling to move into the extreme range.
It used to be Democrats got a 6 to 7 point advantage in any given MSM poll. As of the two most recent Ipsos and AP polls that has been pushed to the 9-10 range. I think that Bloomberg poll was a trial balloon to get people used to the idea of really insane Obama leads. They didn’t release party affiliation but I am sure it must have been Dem +20 or better since Dem +10 is only getting Obama a 3 point lead.
People, the Left is on the brink of political extinction come November. Do NOT expect them to go quietly in to the night. They will stop at NOTHING to win this election. I think we will get October surprises that will put all others to shame.
How bad will it get? I would be completely unsurprised to see a Romney bimbo eruption happen in October with not one but several liberal women coming forth to testify Romney sexually abused them. Complete fabrications, of course, but anything for the cause.
Fuquay Steve commented:
And it was racist for anyone to wish his policies to fail. Now that was wrong, plain and simple.
LWGII commented:
Just as Zippy planned it. He’s hoping there will be enough loser looters in November to give him another term, and seal the fate of our once-magnificent country.
Blacque Jacques Shellacque commented:
People, the Left is on the brink of political extinction come November.
From your post to God’s ears.
Faye commented:
Don’t disagree with you,#3 Bill, not sure the tales about Romney’s abuse to women would stick but the socialist dems are going to try everything in their wicked imagination to win. So I am not going to relax till Romney is sworn in as POTUS in Jan ’13.
Still don’t see the socialist msm of the alphabet channels turning against their messiah. I think some mayor oil companies need to buy all of them out, fire all the socialists and hire journalists who will do a balanced reporting on everything.
I know, I am just dreaming.
Observer commented:
Non-leftists buying the media!! Never will happen. The feds regulatory bureaucracies are so far to the left it will never be allowed by our velvet robed regulator rulers.
I do however forsee the rapidly approaching extinction of the dead tree industry and the slow death of the alphabet dinosaur networks as their hemmoraging of readers and viewers continues aqnd the collapse of their advertising revenues at an accelerating pace.
neverends commented:
The Marxist/Alinsky tactics of Teh Won’s campaign keep playing the same – and only – thing they know and it is no longer working. People are finally getting wise. The worn-out race card, the coordination between the WH & media, and the same old blame-game and divisive rhetoric are worn out and too many do not believe what the broadcast and mainstream big print media push.
I do believe that people know there will not be any new or better jobs; prices on food, fuel, and other basic needs are not going to go down; home prices and worth will not improve — all because of the socialist policies of the regime.
Be prepared for a REAL fight for this country between now and November. And don’t forget that Obama can still do untold damage between Nov. 6 and Jan. 21st that may render this country to ultimate failure.
ogee commented:
What’s you gonna do when oromney hands the election to nobama like McCain did, that is IF he gets to be the nominee? So far he only has 419 real delegates. MSM lies. We all know that. Newt and santorum’s total delegates of 147 can’t push oromney over to be the nominee.
Listen to this young girl’s plea. She made this video.
http://www.youtube.com/watch?v=60OFeivtYF0&feature=player_embedded
bg commented:
++
Cloward & Piven on a Global scale..
hey, it’s the only sure fire way to
assure a new ONE WORLD order..
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bg commented:
++
ogee #10 June 23, 2012 at 8:22 pm
re: [delegates]
April 29, 2012
The prospect of “stealth delegates” derailing
Mitt Romney’s nomination at the Convention
[So, back to our "hypothetical" 2012 Republican National Convention for purposes of this particular piece (one in which Romney is seemingly on the verge of failing to gain the presidential nomination because just enough of those delegates bound to vote for him are, instead, abstaining during Roll Call [here assuming, of course, that such a thing would even get to that point in the first place!]):
a motion would, at some point during said Roll Call, be made to Suspend the Rules and Nominate by Acclamation– it would almost surely be seconded (by many a Romney delegate not so abstaining [and also not all that happy just then])– the Chair (presumably Speaker of the House John Boehner- who, by the way, has already endorsed Mitt Romney) would ask for a vote viva voce (that is: it would be a vote by voice) by declaiming “All those in favor signify by saying ‘Aye’… All those opposed say ‘No’… In the Opinion of the Chair, the ‘Aye’s have it and the motion is agreed to: Governor Romney is hereby nominated by this Convention by Acclamation!” (bang gavel once dramatically– cue the balloons).
Point is- and the hypothetical scenario above is, indeed, “worst case” (highly unlikely to even take place [again: if only because any such otherwise ostensibly Romney delegates really behind, say, Ron Paul would have had to have already "shown their hand" in caucus before Roll Call])- there is no way a Republican National Convention at which Mitt Romney is the consensus presidential nominee is going to permit such “stealth delegates” to deny the former Massachusetts Governor that very nomination… no way!… and there are, indeed, plenty of parliamentary maneuvers available deep within the pages of, say, Robert’s Rules of Order and the like well short of the ‘worst case’ “hypothetical” I have posited above to make damn sure of same!
Nice try, though! (More than a little bit of good
ol’ “Texas Hold ‘em” there, mayhaps? [;-)])]
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bg commented:
++
2012 Republican Delegates
2012 Republican Popular Vote
CNN DELEGATE ESTIMATE June 19, 2012
Honest Delegate Count June 4, 2012
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noway commented:
hmmm naysayers, romney has the nomination. he won it fair and square. deal with it. yawn!
mg4us commented:
Until Obama is voted out, people should give serious thought to going liquid and hoarding their cash. . .
That’s right, cash out of the market and store cash in Banks and in your home. .
Cut back spending and wait the storm out.
Eventually the Black Cloud of Despair will be lifted from the Head of our Nation.
Obama needs to be voted out. .. . .until then wait it out!
Valerie commented:
We should welcome Democrats, whether voters or politicians, to the effort to get rid of Barack Obama’s radical policies. The politicians, however, will need to run as independents. In this election, party matters.
M. Simon commented:
Look at what is coming in China.
Economic collapse.
M. Simon commented:
I expect the ∅ will go for marijuana legalization around the end of October.
Favored by 56% of Americans and 67% say Prohibition is not working.
When are Republicans going to stop being stupid on the issue?
I’m hoping for a Rand Paul VP to counter the Ds on the issue.
bg commented:
++
M. Simon #19 June 23, 2012 at 11:45 pm
oh yes, more drugs please..
that way it will be a lot easier for the mindless
as it is to welcome their enslavement.. gah!!
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