The Federal Reserve called off its QE3 asset buying program last week and with the sudden end to Obama's cash printing spree the the stock market went into immediate free fall. There are more stock brokers on the ledges than pigeons.... what? That didn't happen? Not to fear the Republicans have a talking point to cover this, you see they're in charge now so the markets are up and will continue to surge. Never mind that the Dow had nearly tripled while Obama was in charge, and really he's just as much in charge today as he was on Monday. The reality is that the dead weight in Congress really hasn't changed that much. The only difference is we'll have two years with no Senate confirmations much like Obama's first four years.
It should be noted that the markets are more than a little concerned about the prospect of the Tealiban shutting down government. They might do it just because they don't have the power to do anything else, and they feel the need to be in charge at all costs.
The implementation of ObamaCare is destroying jobs by the millions, we lost 800,000 jobs last month alone.... Oh wait that was the last year of the Bush Administration. We actually added another 220,000 jobs in October extending the record number of continuous months of job growth to 57. Add another 31,000 jobs from upward revisions to August and September numbers.
Nobody can get health care with Obama forcing burdensome regulations on doctors, but oddly enough the healthcare sector has added a million new employees anyway. And unemployment ticked down another tenth of a point, because the out of work people have simply died. Conservatives haven't used that one yet, but it would go great with Obama's IRS Death Panels giving all the Conservative Christian White People Benghazi Strain Ebola.
From the really bad investment advice file: Pat Robertson is telling his faithful to buy oil company stocks. It's something about Pat not wanting to support the manufacture of condoms by buying into non-oil companies which are often conglomerates that make god knows what sort of evil contraption. Oil is mentioned in the Bible so it's holy. He probably doesn't realize that providing chemicals to industry that make evil contraptions is where oil companies make their real money, you can see that Satan's hand is everywhere. Never mind that the price of oil is falling through floor and oil company stock is not going to be a winner. You have to wonder if Pat has been caught in a bad market position and is just trying to get a price bump before he unloads his stock, especially if God told him that the Teabillies in Congress will manage to crash the market.
And from the really crazy file: There is a public referendum in Switzerland this month that would force their central bank to buy 1500 tons of gold because... well you know... because. The Swiss government sold off 1000 tons back in 2000 when it was a quarter of its current price and a lot of people are peeved about this. What's really driving this of course is that the gold bugs have lost 32% in the past two years and the price is likely to collapse further.
The Swiss are already the seventh largest owner of gold in the world so there's no justification for a country that size to put still more useless metal into their vaults. The fear of doomsday or the idea that gold is some sort of hedge against inflation convinces people to buy the stuff. But if you compare inflation to the gold price there's actually no correlation. Gold goes up and gold goes down. It would need to be $2500/oz to equal the buying power at its peak price during the Reagan administration. If you bought gold back then, you have lost a lot of money let alone you're getting no return on the investment.
In all the popular doomsday scenarios you never see anybody scrounging for gold in that type of movies, they're always looking for canned goods and ammunition. Unless gold bullets work better to kill zombies it sounds like a bad investment to me. I've never seen the Left Behind movies, maybe there's actually going to be a huge market for golden calves.
Twitter @BruceEnberg - I'm going to have my Swiss Army knife with can opener attachment gold plated, just because....