Bernanke Warned Of Sluggish Growth

Today I was reading an article by Jeannine Aversa AP Economics Writer. The money news article was again about Bernanke adressing Congress that the Business Growth of the US will be sluggish. "The economic situation has become distinctly less favorable," Bernanke warns pointing out some causes like the deteriorating job market, the slump in home sales, and credit problems that have increased. Bernanke contintued his warning, adding that the Feds need to watch the price increase in energy which could further dampen the economic growth. Bernanke is talking about another cut to the key interest rate, as an insurance to prevent down swing risks.

Jeannine also states in her written news report: The central bank, which started lowering a key interest rate in September, has since become more aggressive. Over just eight days in January, it slashed rates by 1.25 percentage points -- the biggest one-month reduction in a quarter century. Economists and Wall Street investors predict the Fed will cut rates again at its next meeting on March 18. There are dangers that the economy will weaken even further. "The risks include the possibilities that the housing market or labor market may deteriorate more than is currently anticipated and that credit conditions may tighten substantially further," Bernanke cautioned.

Tuesday Debate

To be honest with Hillary's form of ranting and raving, I have gotten to the point where I just turn off when Hillary talks. But todays debate took me to a different level. I walked back and forth between my computer and watching the debate of both Hillary and Obama. I have to say that Obama has done even better today than what he has done in the past. I did not catch a moment when I felt Hillary had a chance to come out from under.

It seems Hillary shows signs of on the verge of coming apart, add to that catching her at times on the brink of slamming her fists on the table. Not to mention the lengths her campaign will go with the half truths and innuendos thrown at Obama, only to roll off like 'WATER DOWN A DUCKS BACK'.

She looks the wear for all the emotional mood swing roller coaster we have witness these five days after their last debate on Thursday. To go from how much she was honored to be running against Obama on Thursday, to her "Shame on You Obama!" On Monday. With her waving the fliers which did contain facts of Hillary's position on NAFTA.

Yet with her crazy episodes, reminding me of what MENOPAUSE was like for me, I can sympathizes for her. But if Hillary cannot handle Obama, and his gentleman nature, How could she ever handle McCain and his mood swings combined with the mouth of an old drunken sailor. Let's not forget that elderly men do suffer from menopause also, the medical profession just labels it differently.

To Call It Recession Or Not

It was reported today that oil had reached 100.88 a barrel by the news on line. The president of Excel Futures Inc stated: "The weak dollar seems to be the biggest catalyst for this boost." Yet I do not recall any mention of it by the, so called political experts today on the television news. Nope, not one single word was mentioned on CNN or MSNBC about the price of oil barrel jumped. Nor did anyone say anything about the weak American dollar being the biggest catalyst, as if it were the cause.

While browsing the Internet news I found more information on the home sales declining even as the price of homes have dramatically dropped. In fact it was mentioned that across the nation home prices did drop significantly in most metro areas. J.W. ELPHINSTONE AP Business Writer wrote in her article: "A government report Tuesday said U.S. home prices posted their first annual decline in 16 years."

ABC on line money news: NEW YORK (Reuters) - U.S. home foreclosures for January increased 57 percent from a year earlier, ... "January's foreclosure numbers demonstrate that foreclosure activity is continuing on its upward trend, substantially increasing from a year ago in many states," James J. Saccacio, chief executive officer of RealtyTrac, said in a statement.

Also in the news stores like Home Depot are reporting a decline in their profits with a drop in their annual sales. While stores that are not usually effected since the people who shop there are better well off like Nordstrom had to admit that their profit drops and sales declined at the year end of 2007. Nordstrom is expected to brace for a tough 2008 sales report as people are now holding back on spending.

David J. Lynch of Waterloo, Ontario wrote an article of how the slump in the American Housing is starting to effect Canada. Since we are not buying as much lumber as we normally do from the Canadians, they are starting to experience the cold chill of the economic slow down reality. "More than three-quarters of Canada's exports — including oil, minerals, lumber and passenger vehicles — are sold to Americans. The U.S. housing collapse already has slashed sales of Canadian lumber."

So after seven years of Bush and Republican policies with drops in profits and sales with Up and down swings in the Stock Market can we say this is a recession, or are we still waiting?

Economic Recession

Today while browsing through the ABC news site I came across several different stories regarding our economy. Usually we get one or two at the most that reflect how badly the economy is doing, however today there were up to four different stories.

While one story stress that the Housing Industry is in a deeper slump than what was reported, proving that we are already in a Recession, another story was quoting on some economists who are only now ready to believe that we may be headed for a recession by the autumn of this year. Yet in still a third story Lowe's is reporting that there has been a tremendous lost in sales due to the Housing Industry slump. And then there is the fourth story. A top CEO of Sprint, the telecommunications and telephone company, is announcing that the company has to cut 4,0000 jobs.

Yes, there are still those who refuse to admit that we are in a recession. But what puzzles me, is that this discussion of whether we are in a recession has been going on for quite a few years already.

How Ugly Can It Get?

Today, February 25 2008, the news is filled with Hillary Clinton, a democratic candidate, complaining of Obama's campaign distributing fliers of NAFTA and how Hillary supported it. She stated the other day that it was not true, yet not to anyones surprise there is actual footage of Hillary approving of the NAFTA agreement. "Shame on you, Obama," she yells.

Then someone's campaign puts out a picture of Obama dressed in African clothes, and tries to smear him on his dress and connect him with terrorism. It could have been Hillary's people, but then it was the Republicans who keep trying to associate Obama with terrorism just by the sound of his name. Well, it did not work!

Then, on the Republican side, Huckabee stated that he wanted to get a little help from the media to boost a Nasty story of him, so that his campaign could get the same type of boost McCain got. Only the type of nasty stories that came out about McCain are true.

Like McCain's story of his friend Keating, owner of the Lincoln Savings and Loan and how McCain used his position in the Senate to send letters to the Banking Regulators to urge them to BACK OFF of his friend Keating. And how McCain used his position in the Senate to secure a nomination for Keating's Associate in the Banking Regulatory Committee. Also McCain even introduced legislation to help his friend Keating with his Savings and Loan. And that was before McCain joined with the other Senators, the group that later became known as the Keating Five. Of course that story only got out after the Lincoln Savings and Loan went bankrupt and cost the taxpayers billions.

Then there is the other story of when McCain was a member of the Senate Commerce Committee, and how McCain founded a non profit Reform Institute in 2001, which took in a lot of money in donations from Companies that were Lobbying the same Senate Commerce Committee. Of course McCain did co-author the "McCain-Feingold Act" in 2002. But by 2005 it was discovered that he may have been in Violation of his own "McCain-Feingold Act." Well, as nasty stories go, McCain Complained that the media's story forced him to sever his ties with the Non Profit Reform Institute in 2005. Just in time for McCain to run for president.

This 2008 campaign has seen many twists and turns. And most of it is very ugly from the outside looking in. I wonder if any of the people working those campaigns even have a clue just how disgusting their campaigns look.