Categories

open all | close all

Sponsored By:

Machiavellian Developments In A Faustian Stock Market

Read more articles on Politics and Investing.

September 22, 2008

Posted by neillevine

About This Editor: I am a writer. Have been writing for other sites, but expect to do most of my future work HERE! My expertise extends from the esoteric such as burning hydrogen to the unpredictability of the stock market and my writing makes me a jack of all trades and exasperated master of none. I have had some influence over national wildfire and water policy and there are hints of a change in energy policy, BUT as Samuel Goldwyn once said, "A verbal promise is not worth the paper it is written on."

         

I have been writing about the stock market and the national economy, two intertwined subjects if ever there were any, for these past so many months and the basic underpinnings, instead of getting better, as one would hope and past experience with a growing country would suggest, essentially appear to be getting worse.

Over the past so many days, following in the wake of the Bear Stearns melt down and sale to J P Morgan Chase, people are witnessing other big financial firms including Fannie Mae, Freddie Mac, Lehman Brothers, Merrill Lynch, AIG, and the like follow the same dismal scenario into the economic muck and the debacle may not be over by a long shot.

You would think that homes and the housing market, being so essential, basic and necessary commodities for people, would be safer, more stable investments than most other ways of socking money away, but no, today investors are losing money.  Money is tight and there is an oversupply so good homes are becoming cheap and you live and learn about free markets and supply and demand based on the availability of credit as supervised by the Federal Reserve with formerly dependable home owners unable to pay bills and facing ruin as things stand.

In a similar fashion, the availability of energy as supervised by the Congress and Administration has been tight for a long time with the recent political discovery of new supplies of crude oil off shore hypothetically increasing supply and driving down the price of crude oil on the commodities futures markets.

So with all the government involvement why is there so much economic chaos?  Why didn’t the experienced, knowledgeable and entrenched leadership of Wall Street understand the pitfalls and risks involved in investing in the housing market.  And where have federal politicians been while all this turmoil has been brewing and unfolding?  Is something going on that is counterintuitive or too hard to fathom that it is a mystery to many long term titans of finance.  What is wrong?  Is someone asleep at the wheel?  Is someone trying to slip a fast one into the mix?

You see if you have a home and can pay your bills, there is nothing wrong.  It is people who have encountered problems combined with the current federal budget deficit, the balance of trade problem and the fact the world has changed that have contributed to the problem.

With manufacturing jobs having been shipped overseas, the recent three hundred dollar rebate appears to have increased imports, the wrong move to make under the circumstances, and unemployment is up because the financial markets are in turmoil and energy was getting way too expensive to use draining resources combined with an inability to make money by investing in the national economy and you can see there are fundamental problems.

Drill, drill, drill, by promising to increase fuel supplies is the slogan that pushed crude prices down by promising to increase supply.  But ask why it took so long to figure out this would help solve the problem.  Worse, this approach does nothing about global warming, the current threat to environmental peace.

I think it is clear there is shallow, narrow thinking.  And a lack of honesty.  What is wrong with water power.  Where is the source of the hydrogen Washington wants for fuel cells and cars?  Something is wrong.  Confused    Lost through unique thinking defying human logic.

Apparently, the Bush Administration thinks it can fix the current problems.  But what about the future?  Where is all this heading?

You have to hope that despite their previous record of fun and games American politicians are going to fix the problems that face this country instead of leading to further problems of the sort that face Fannie Mae and Freddie Mac, both of which had heavy federal involvement and government supervision.

I think this country needs less abnormal psychology and more dependable leadership.  The stock market would show this by actually doing some rallying as it has so often in the past.

That, of course, is contingent on the fun and games coming from Washington.

You can stop reading here as the following is for search engine optimization and word density.

Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch
Federal Reserve free markets stock market energy policy Wall Street Bear Stearns
J P Morgan Chase Fannie Mae Freddie Mac   Lehman Brothers   Merrill Lynch

Last 5 Entries by neillevine

• There Is A Yawning Chasm Between Financial Regulation And Patronage And A Risky Crock - December 28th, 2009
• Magnum Opus: My Adventures With The Great Google Corporate Ad Team, AdSense, AdWords For Better Or Worse - December 25th, 2009
• Terrorist Trials, Khalid Sheik Mohammed, Osama, Virtual Armies, Robot Armies, Bomb Sniffing Dogs - December 9th, 2009
• Hearts And Minds In Afghanistan. Further Thoughts On Pacification. - November 25th, 2009
• Why Not Ask Bernie Madoff To Testify About The Wall Street Meltdown On Capitol Hill - November 24th, 2009

Related Posts