2011Nov22 Be CarefulEconomy: We have been wishing for a little economic data based on something here in the good ol'USA to move the markets for a change. We finally got it and and it was not much fun.
The congressional deficit-reduction committee on Monday said it had failed to reach an agreement on slashing the U.S. budget gap, a move that triggers mandatory cuts to military spending and some social programs starting in 2013. That sent the major indexes into a tail spin.
"After months of hard work and intense deliberations, we have come to the conclusion today that it will not be possible to make any bipartisan agreement available to the public before the committee's deadline," Sen.. Patty Murray (D., Wash.) and Rep. Jeb Hensarling (R., Texas), the co-chairs of the the Joint Select Committee on Deficit Reduction, said in a statement.
"Despite our inability to bridge the committee's significant differences, we end this process united in our belief that the nation's fiscal crisis must be addressed and that we cannot leave it for the next generation to solve."
Great, lots of resolve, not much in the way of resolutions.
Without a deal, automatic spending cuts of $1.2 trillion will be triggered throughout the government over a 10-year period starting in 2013-divided equally between defense spending and non-defense spending.
Still, with the Pentagon warning of disaster, lawmakers are thinking about whether to undo or blunt the impact of the trigger that sets the military cuts in motion.
The stock markets did little to indicate approval. The Dow Jones Industrial Average fell nearly 250 points, or 2.1%, to 11547.31, sending the index back into negative territory for the year. The Standard & Poor's 500-stock index was off about 22 points, or 1.9%, at 1192.98.
Still, Treasuries rose, pushing yields down and undercutting any fears that bond markets would drive up U.S. borrowing costs to punish the U.S. for its growing debt. The U.S. debt crossed $15 trillion last week.
This issue will only get worse and must be addressed as soon as possible. We have seen what huge debt levels coupled with low economic output can do to an economy. It is not just true for Europe, we need to get our house in order now. If this group can't get it done then we need a new group
On the move, or not:
In another demonstration of the fact that money goes where it is treated best, Investment News points out an interesting tidbit from the Census Bureau:
The percentage of Americans who moved residences reached its lowest point last year in more than six decades, the Census Bureau said. Those who did transfer often relocated for employment reasons. Many moved to states with no individual income tax.
The biggest state-to-state migrations were from high-tax states to low-tax states, like California to Texas or New York to Florida. This suggests one reason why tax increases rarely provide the additional revenues that are forecast.
Relocations generally were way down, primarily because it is difficult to move if your house is underwater. Still, some savvy Americans moved to where the jobs were-or where the taxes weren't. In some cases, not surprisingly, those two things are related.
Global assets compete for capital in the same way. Assets that have the potential to perform well pull capital toward them, across borders if necessary. In a competitive global economy, it might make sense to have core assets in a global macro strategy. Thanksgiving:
The Wall Street Journal had a great article listing the rules for Thanksgiving Touch Football. We think it is a pretty good list and might just save a trip or two to the ER.
1. If you have a healthy relationship with your family and speak to them all the time, you're playing touch. If you see your family only once a year, it's tackle.
2. Find a nice patch of grass. It doesn't have to be big. You don't need a regulation 100 yards. Half the people in your family, if they ran 100 yards, they'd wind up in the hospital for a month.
3. The game must be played before dinner. Nobody wants to play football after Thanksgiving. Nobody wants to wear pants after Thanksgiving.
4. All family on the field! Everyone plays. Mom, Dad, Grandpa, Grandma, Cousin Jake, and Regis the one-eyed Jack Russell terrier. Don't laugh. Regis is the best receiver you've got.
5. The following things are prohibited from Thanksgiving touch football: spikes, eye black, sticky gloves, Jets jerseys, running with a martini glass and a lit cigar, Norv Turner.
6. A Nerf ball is okay but you should own a leather football. A leather football is one of the things every home must have, like a dishwasher and a bourbon distillery in the garage.
7. No footballs with wings or propellers or tails or streamers. Here's a good rule: If the football would make Dick Butkus throw up, don't use it.
8. It's two-hand touch. One-hand touch is for lazy people who buy turkey sandwiches out of vending machines.
9. Two completions is a first down. Not as simple as it sounds-just ask the 2011 Indianapolis Colts.
10. No taunting, cursing or back-handed compliments. That's what Thanksgiving dinner is for.
11. Unless you live in California, Hawaii or Florida or some fancy place like that, the ground is probably going to be squishy with cold mud, and someone in your family is going to fall down face-first and ruin his or her Thanksgiving outfit. This is not cause for alarm. This is the highlight of the game.
12. It's okay to play with kids but don't baby them. Just because your 7-year-old niece is playing quarterback doesn't mean you can't intercept her screen pass and run it back for a touchdown. She's got to learn sometime not to throw into triple coverage.
13. The count is five "Mississippi." And it's a full four syllables-not a rushed "MISS-IPPI" and knocking grandpa to the ground.
14. But if you are old enough to have grandchildren, and you sack the quarterback, and do an elaborate sack dance, you will be worshipped forever.
15. Keep the Tebowing to a minimum. The fad is already old. 16. No, you don't get to be "permanent QB." Not if you want anybody to like you.
17. No show-off football lingo. No screaming "trips left" or "zone blitz." Uncle Dale doesn't want to play the "nickel package." He wants to get this stupid game over with, have a vodka and stand in the kitchen eating stuffing with his hands.
18. But there's always one control freak who wants to diagram elaborate plays. Just listen to whatever they say, and forget it immediately.
19. There are only two plays you need for touch football: "Everybody Go Out" and "Everybody Go Deep."
20. No, that running play never works. Ever.
21. Don't throw the ball too hard. This is the mistake a lot of touch football QBs make. They see an opening, and they chuck it 99 mph like John Elway, and peg Aunt Frances in the neck.
22. A little pass interference never hurt anyone. Don't be a wimp. 23. If you throw six interceptions in a row, let someone else play quarterback, or sign with the Washington Redskins.
24. Three-minute halftime. Don't kill the momentum. Anything longer, and aging muscles seize up. Remember: if Daddy sits, Daddy is d-o-n-e.
25. If you're playing on a city street, please don't dent the blue Honda, or I will find you.
26. If you're a random guest at Thanksgiving, it's your job to be good at touch football. Lie and say you "played a little" at Alabama and pray you don't completely embarrass yourself.
27. If you find yourself surrounded by middle-aged men in blue jeans and a quarterback who keeps getting picked off, you're not with your family. You've accidentally walked into a Brett Favre Wrangler spot.
28. Punting is okay, but it's hard. You know that weird fact about how hippopotamuses kill more people than lions or tigers? Well, punts are the hippopotamuses of touch football. Botched punts break more windows and hit more cars than any other play in the game. You can look it up. Be careful.
29. Goes without saying, but if it snows, it's a classic.
30. Take it easy. You don't want any injuries that can't be treated with a bag of frozen peas.
31. If you win your game and stand undefeated, please let LSU know you're available to play in the BCS championship.
32. When you think about it, there's really only one rule for Thanksgiving touch football: Take your shoes off before going in the house, or Mom is going to kill you.
Happy Thanksgiving !! |
