Tech stocks led the market decline today but Caterpillar and McDonalds were also big losers reflecting the general decline of the economy. The market was plunging even worse early in the day and this was enough to panic the Senate into reconfirming Bernanke to four more years at the Fed.
The Senate also authorized another two trillion in Federal Debt completely along party lines. Republicans are suddenly fiscal conservatives after years of trillion dollar shortfalls under Bush but that was okay since it was done off the books. A crime family always keeps two sets of books.
New unemployment claims dropped back from last week but were still higher than they have been for some weeks. In a normal times claims this high would generate screaming headlines but no real notice is paid anymore even though there has been a jobs creation shortfall for years and numbers are grinding down the middleclass. Bucolic Dubuque Iowa that still has an official unemployment rate that would be considered low even in good times is reporting that the number of homeless school children has doubled since last year.
President Obama mentioned in his State of the Union speech that he reads heartbreaking letters from children who are losing their family home and their parents don’t have jobs anymore. Between his Ivy League college experience and Ivy League law school he worked as a community organizer for Catholic Charities running a program for steel workers who had been out-sourced. Obama should understand what the problem is and realize that nothing he has proposed will fix any of it.
Obama is supposed to be a chess player but the major pieces on the board all belong to the other side and we’re just a bunch hapless pawns and the Supreme Court has just put us in check. www.prairie2.com