Barring an unforeseen miracle, Congress' supercommittee will concede tomorrow it has failed in...


Barring an unforeseen miracle, Congress' supercommittee will concede tomorrow it has failed in its efforts to produce $1.2T in deficit cuts. With even a fig-leaf deal now unlikely, talks are focused on "how to shut this turkey down."

Comments (97)
  • Financial Insights
    , contributor
    Comments (928) | Send Message
     
    How is this possible? Now, adults that are serving the public cannot compromise? They are all children. They are all scared to do anything, because if they do something they are not supposed to they might get voted out of public office, lose their insider trading privileges, and 6 figure salaries. They are all babies. Last time I checked, they were supposed to be working for the good of America, not for just their districts and themselves.
    20 Nov 2011, 02:10 PM Reply Like
  • D_Virginia
    , contributor
    Comments (2278) | Send Message
     
    Actually, they ARE supposed to be working for just their districts.

     

    At least, that what they're incentivized to do, as they are elected by just their districts.

     

    The theory has always been that the various best interests of the various districts would organically add up to the best interests of the nation -- but the past few decades, it seams that theory might be a bit flawed.
    20 Nov 2011, 02:55 PM Reply Like
  • Origa
    , contributor
    Comments (607) | Send Message
     
    If this story is true, then it is over, your politician well newer again regain control and do the needed political comprimise needed.

     

    The US Debt problem is so huge, that the US government, have been crushed, in their attempt to solve it.

     

    After November 2012 Elections, and lets say that neither political partner wins the needed 60 senate seats, and a super majority, then you political theater will continue.

     

    If the GOP Wins 60 Votes, then I believe that the GOP will cut the government size into a more manageable size.

     

    But then you will only pay taxes to keep the War machine running, all other agencies will be changed so much, if you believe the GOP presidential candidates.

     

    Can you failed government actually begin to address some of the problems, yes they can. They should stop going for the big plan and instead start small, take a part of the system and say, that will be reformed and close one or more tax loopholes.

     

    The US Government could begin with one part of a big branch of government and say, that will be reformed and then also a small part of the tax code gets reformed. And then contunie with another small part and etc etc etc.

     

    The most important part, is to start, but to believe that they actually could do it, is simply wishful thinking. Why.

     

    To many senators are well over 60 years old, and know the political game inside out, and the amount of "bad blood" between the parties seems to be, that it cannot be cured in 2012.
    20 Nov 2011, 04:35 PM Reply Like
  • dvdcunni
    , contributor
    Comments (8) | Send Message
     
    if they sink the ship it doesn't really matter that they secured the best room on board for their constituents. it is in the best interest of the consituents that the ship not sink.
    20 Nov 2011, 05:52 PM Reply Like
  • William Schumann
    , contributor
    Comment (1) | Send Message
     
    The stalemate in Congress over the "budget" reflects a larger loggerhead between the two main factions in the US regarding key fundamental differences between them as to how the country should be run. Picking the path forward is not something therefore that can be split down the middle.
    As a result of the strong credit of the US the country has been able to borrow to appease both groups at the same time providing the gap between both social support spending and low taxes.

     

    The ability to borrow has been a boom for politcians as both sides can bring home the bacon while both groups keep to their own path. How to solve issues regarding the underlying financing itself is a real problem as the two groups would have to pick a single path.

     

    The markets have stepped in to force a decision. But which one? more tax revenue, or is it less spending or is it both? neither one involves more borrowing which made past decisions easier to make since both groups could have it their way at the same time.

     

    The american people are more pragmatic in that they expect some sort of fix to come out of Washington - or are the people as divided as their represenatives?

     

    is one group to get control of the reins and force the other group down their path? that seems to be what is at stake with the presidential election.
    20 Nov 2011, 08:32 PM Reply Like
  • lewis3232
    , contributor
    Comments (7) | Send Message
     
    I see you are a student and doing your part to succeed. I really feel bad for what the politicians have done to this country. If things keep going this way we will have to have the American Spring !!!!! Keep up the hard work your doing to make something out of yourself.
    20 Nov 2011, 08:52 PM Reply Like
  • phazer99
    , contributor
    Comments (31) | Send Message
     
    I believe that special interests and big money are corrupting the system, and that these people who are supposed elected representatives of their districts are now working for the special interests. They are frauds.

     

    Therefore, we are under a tyranny, not a democratic process.
    20 Nov 2011, 09:40 PM Reply Like
  • mP1
    , contributor
    Comments (386) | Send Message
     
    Not quite i would say an oligathy.
    20 Nov 2011, 09:41 PM Reply Like
  • DRich
    , contributor
    Comments (4819) | Send Message
     
    >Andrew Mann ... You say "... they were supposed to be working for the good of America ..." . Now that is really funny. It's good that the Super has flubbed. Maybe the Congress can get back to functioning perfectly like it has been doing along and serving the only Americans that count.
    20 Nov 2011, 11:28 PM Reply Like
  • SA reader
    , contributor
    Comments (176) | Send Message
     
    In this case I think it was more of 180 degree ideologies clashing and people just not wanting to lose. A draw looks better to them. But in most people's mind, a draw is worse than a loss or win. Incompetence is an "incomplete", worse than an "F".
    21 Nov 2011, 12:29 AM Reply Like
  • Dibber
    , contributor
    Comments (1375) | Send Message
     
    Anyone opposed to spending cuts at a time when next year's deficit is $1.5 trillion doesn't care about financial solvency. Gov't spending shouldn't be an end in itself. That makes no sense.
    21 Nov 2011, 01:01 PM Reply Like
  • elmerfike
    , contributor
    Comments (2) | Send Message
     
    Pathetic, inexcusable, and ominous.
    20 Nov 2011, 02:16 PM Reply Like
  • apberusdisvet
    , contributor
    Comments (3061) | Send Message
     
    If you look at the uber partisan nature of the Committee, it is obvious that this was set up to fail; no Dem wants to face re-election having agreed to entitlement cuts and no Repub would dare increase taxes (although increasing revenue by making the tax code fairer was offerred). It will now be up to the Dictator-in-Chief to issue more Executive Orders to bypass Congress. My, how our Constitution has been thoroughly and so casually dismissed.
    20 Nov 2011, 02:17 PM Reply Like
  • Teutonic Knight
    , contributor
    Comments (3264) | Send Message
     
    Some say that the make-up of the Committee forestalls its failure. A vote of 6-6 along party lines means a dead-lock. Whereas, a vote of 7-5 means that the guy/gal voting for the 'other side' would be branded as a maverick and a black sheep.

     

    Hard to arrive at unanimous consent. No win situation. Automatic cuts are the way to go, it is like Pontius Pilote washing his hands. The budget is now a cooked turkey.

     

    Happy Thanksgiving!
    20 Nov 2011, 02:20 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    I hope the President enjoyed his Asian vacation - I guess he knew his "leadership" on the issues wouldn't have made a difference.
    20 Nov 2011, 02:24 PM Reply Like
  • Good Captain
    , contributor
    Comments (460) | Send Message
     
    Obviously CW you have overlooked the skillful leadership from behind that the President's been engaged in.
    20 Nov 2011, 03:16 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    The Republicans specifically asked him to stay out of the process so as not to politicize the committee's work. Now it seems they are forgetting that request and want to blame him for staying out.

     

    The Asian trip was extremely productive for the USA.
    20 Nov 2011, 07:49 PM Reply Like
  • Dodiddly
    , contributor
    Comments (3) | Send Message
     
    You must be joking my Good Captain. It's not that I dislike Obama the man but he has been a most horrible president. There is no skillful leadership involved here.
    21 Nov 2011, 07:25 AM Reply Like
  • Good Captain
    , contributor
    Comments (460) | Send Message
     
    Yes Do, I was being sarcastic towards the abilities of our 44th President as you surmised.
    22 Nov 2011, 04:03 PM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    Total lack of leadership from the president.
    This is exactly what Obama wanted so he can continue in reelection campaign mode.
    The lefties can say what they might about Reagan but he and Tip Oneil always worked things out.
    20 Nov 2011, 02:24 PM Reply Like
  • D_Virginia
    , contributor
    Comments (2278) | Send Message
     
    Tip O'Neill behaved reasonably when all was said and done. As did Reagan.

     

    The same cannot be said of the likes of Boehner, Pelosi, McConnell, and Reid.

     

    There is far too much extreme partisanship (and extreme positions) on all sides. Reagan would be branded a raging liberal by today's so-called conservatives.

     

    But go ahead, keep thinking the "righties" will solve all the world's problems. Let me know how that works out for you.
    20 Nov 2011, 02:47 PM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    D-V
    I am sure it will be better than Obama.
    20 Nov 2011, 03:20 PM Reply Like
  • D_Virginia
    , contributor
    Comments (2278) | Send Message
     
    I know you are sure. You were sure before he ever held office. :)

     

    Only time will tell.
    20 Nov 2011, 03:22 PM Reply Like
  • Windsun33
    , contributor
    Comments (4419) | Send Message
     
    Miss Piggy would be better, but that is not saying much.
    21 Nov 2011, 12:26 PM Reply Like
  • Dibber
    , contributor
    Comments (1375) | Send Message
     
    Difference between 80s and now is that Democrats are currently fighting for government spending as an end in itself ... at a time when next year's deficit is $1.5 trillion. That position is truly astounding if you think about it.
    21 Nov 2011, 12:48 PM Reply Like
  • Windsun33
    , contributor
    Comments (4419) | Send Message
     
    I think that over the past 10 to 15 years that there has gotten to be a total disconnect from reality in DC and many states among politicians.

     

    Getting reelected has now become the ONLY priority, but I suspect that there will be a huge turnover of incumbents next election on both sides of the aisle.
    21 Nov 2011, 12:54 PM Reply Like
  • Good Captain
    , contributor
    Comments (460) | Send Message
     
    True enough D_V, but time is increasingly stocking Wyo's "arguments" quiver full. When Chris Matthews publicly wonders where Obama's head is during these difficult times, I count that as an admission against interest.
    22 Nov 2011, 04:09 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4709) | Send Message
     
    Instead of a tingle up his leg he must be getting a chill down his spine.
    22 Nov 2011, 08:03 PM Reply Like
  • mike.kanty
    , contributor
    Comment (1) | Send Message
     
    This was a farce from the get-go. Not a single decision maker in the entire system. Blue or red the whole system is an open sore and the world again will vote with its pocketbook. Markets are set up to get crushed again in a week that is historically strong for the bulls. Happy Thanksgiving!
    20 Nov 2011, 02:31 PM Reply Like
  • Bear Bait
    , contributor
    Comments (803) | Send Message
     
    What will happen if a deal is reached? Nothing. What will happen if a deal is not reached? Nothing. The only thing we have learned is that the two sides can't agree on anything. I still feel my party (Republican) is still the main hang up on this deal. Premarket trading will begin in about 3 hours and we will see how futures react. I can't trade until 7 am tomorrow. Byt then it will bb to late.
    20 Nov 2011, 02:50 PM Reply Like
  • Eric Stalee
    , contributor
    Comments (88) | Send Message
     
    Actually, you are incorrect. 'What will happen if a deal is not reached?" Hello one more possible negative downgrade of U.S. credit. Although it should probably have a credit rating of 'Z-' anyways.
    20 Nov 2011, 03:14 PM Reply Like
  • D_Virginia
    , contributor
    Comments (2278) | Send Message
     
    And what happened the last time U.S. credit was downgraded? Nothing. :)

     

    Actually, yields went /down/.

     

    As wacky as the U.S. and its so-called government is, the bond markets still seem to view it as the safest haven out there.
    20 Nov 2011, 03:16 PM Reply Like
  • Eric Stalee
    , contributor
    Comments (88) | Send Message
     
    The question is, how much longer? China doesn't seem to think the U.S. is too great. Considering they're getting rid of their stockpile of U.S. dollars as fast as they can and buying gold instead.
    20 Nov 2011, 03:27 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    I don't agree. I think failure was already programmed into the market thinking. There may be a bounce down for a day or so, but basically the markets will truck along based on Europe issues and economic reports, which have not been too bad, all said. Majority of companies are reporting gains. Nov. is traditionally a down month and Dec. will be up. Washington will continue to suffer along, as long as legislators continue to try to dictate to the other side instead of live with compromises.
    20 Nov 2011, 07:53 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    China can rot. Their system is so corrupt that nobody respects any numbers coming out of China. Do you believe their corporate reports?

     

    Actually, they are not buying gold, else the dollar would crash, which is not happening. They won't admit it, but China is highly dependent on the US markets. We have a lot more leverage than we think.
    20 Nov 2011, 07:55 PM Reply Like
  • FCARONE
    , contributor
    Comments (596) | Send Message
     
    Remember the trite saying "The more things change the more they remain the same" ? Well that's what we are witnessing. The only way to change the situation is to get all incumbents out, including Obama. But that's a tall order given that the people have virtually no power to influence congress or the president. But there is one thing we can do to hopefully start change. Let's cease to call members of congress with the honorable titles of " Senator or House Member". Lets call the " politician" or better yet" PCPG" ( politician corrupted by power and greed). We need to show our contempt for what they did and are still doing to this great country. They have dishonored their office and do not deserve the honor and dignity that goes with their position. If you don't like these suggested titles, make up some of your own and distribute them to your friends and contacts via the internet. God bless America and let's hope he helps us out of this mess.
    20 Nov 2011, 11:03 PM Reply Like
  • Eric Stalee
    , contributor
    Comments (88) | Send Message
     
    @ Skier; China is forming new partnerships with economies that have nothing to do with the U.S. Brazil, Russia, India, Japan, South Africa are countries that China is pushing for contact and trade agreements with. China's market IS going to crash because of the dropoff in U.S. demand. However, unlike the U.S., China will recover very quickly (2 to 5 years at most is my target) through its new partnerships with other countries. China has already formed an intricate partnership with Russia (as well as Kazakhstan, Kyrgyzstan, Uzbekistan, and Tajikistan) through the Shanghai Cooperation Organization that allows free trade between China and Russia. The two countries have also conducted joint military operations. In addition, Russia has recently matched its fiscal year to that of China's. Economic growth in Russia is set to expand (and it already is) tremendously over the next 30 years. With that growth, China will grow as well. China is too shrewd to go down, and stay down with the U.S., as evidenced by the push from China to form new trading partnerships. The U.S. along with the Eurozone are the places that are going to rot and continue to rot for years. The Eurozone will probably recover semi-quickly (8-12 years perhaps), however, the outlook for the U.S. is not so great. The U.S. will definitely recover eventually, however with the recession of 2008 that happened and the bad macro data in the coming months on the horizon for the U.S. it seems the outlook is saying its going to be a long, long road for recovery (my guess is 20 to 30+ years). Also remember that the U.S. dollar is not going to keep its World Reserve currency status much longer. I remember reading a comment made about 10 years ago from a government source (sorry, don't remember the source's name) that the U.S. currency had, at most, 20 years left of its reserve status. Tick-tock.
    22 Nov 2011, 03:49 AM Reply Like
  • David Urban
    , contributor
    Comments (1031) | Send Message
     
    At least we can thank Congress for making pizza a vegetable.

     

    Nice to know our priorities are in order.
    20 Nov 2011, 03:04 PM Reply Like
  • joemarolla23
    , contributor
    Comments (48) | Send Message
     
    I AM NOT SURPRISED TO READ THAT THE SUPER COMMITTEE FAILED TO FIND 1.2 TRILLION DOLLARS IN CUTS BY THE GIVEN DEADLINE ESPECIALLY WHEN WE ARE ON THE VERGE OF ANOTHER CREDIT DOWNGRADE. SO NOW ,THE U.S. WILL DEFINATELY GET ANOTHER DOWNGRADE WHICH IS BULLISH FOR GOLD AT A TIME WHEN THE CENTRAL BANKS ARE STOCKING UP HEAVY ON THE YELLOW METAL AND SILVER AS WELL. I WILL LEAVE THE REST UP TO YOUR IMAGINATION.
    20 Nov 2011, 03:08 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    WHY ARE YOU SHOUTING?
    20 Nov 2011, 03:24 PM Reply Like
  • Financial Insights
    , contributor
    Comments (928) | Send Message
     
    Keep in mind this is 1.2 trillion over 10 YEARS!!! How can you not cut spending by 1.2 trillion over ten years? That is a ridiculously small number compared with the projected fedeeral budget over the next ten years. Cut everything, raise the retirement age, hell, get rid of social security for everyone under 21, and instead set up DC plan for those people.
    20 Nov 2011, 03:16 PM Reply Like
  • Rdavid
    , contributor
    Comments (21) | Send Message
     
    Especially when spending is projected at $46 trillion over 10 years. They only need to reduce that number by 2.6%.
    20 Nov 2011, 05:12 PM Reply Like
  • J 457
    , contributor
    Comments (1000) | Send Message
     
    This means nothing for now. If no deal they still cut in 2013. The cuts are insignificant anyway. 1.2 trillion reduction over 10 years...120 billion a year. Who cares, when we're running 1.4 trillion ANNUAL deficit. Keep your eye on EU, that is where the market moving action will take place over next few weeks. SPX inverse to USD. EUR goes down unless ECB prints, and for now Germany won't allow it. In the interim, they can't fill the bonds auctions. Its all come to a head last week and this week.

     

    Re gold, it will also go down. Not because its not worth current price, but because it is a hedge. What do you do when you have redemptions, need money, and have no cash? First you'll dump your MOMO stocks, and then you'll dump your hedge- your gold. Some of these funds won't have a choice- they are down -15-25% or more in 2011. If market drops significantly, gold will go down with it, as will silver and all commodities. Be patient and stagger your orders over at least a few weeks.
    20 Nov 2011, 03:25 PM Reply Like
  • apberusdisvet
    , contributor
    Comments (3061) | Send Message
     
    Yes: paper PMs might fall, but no one is selling actual physical. All the CBs are buying and the Asians are going all in. PM producting nations are increasingly limiting exports of finished metals. Hmmm. If you cannot connect the dots, buy sovereign bonds and be a sucker like the rest.
    20 Nov 2011, 04:10 PM Reply Like
  • DVW
    , contributor
    Comments (156) | Send Message
     
    So, what happens when a central bank decides to sell their physical gold because they need the money? How big is that gold market, anyway?
    20 Nov 2011, 06:45 PM Reply Like
  • J 457
    , contributor
    Comments (1000) | Send Message
     
    Apberus; I agree with your sentiment in that PM is the choice over paper. I don't trust GLD or SLV, as when push comes to shove, can you collect you PM, or will you be left with a paper statement instead.

     

    However, if we have another liquidly crisis, funds will sell their PM if backed into a corner. Retail investors can hold tight, but the value of their holdings would temporarily decline. Depending upon your opinion and belief, that could be a buying opportunity. Unfortunately, I don't think anything is safe right now. Cash, PM, equities, bonds, money markets- everything now has some level of increased risk, even a seemingly "risk-less" investment vehicle.

     

    Looking for down market until ECB decides to print, at which time USD will have gained enough traction for FED to introduce another MBS purchase program in Dec/Jan.

     

    Support broke at 1,220. 50dma broke. Down to 1,160-80 and below. I will start buying SPX at 1,100 to 1,080 range and below. Materials, industrials, energy, and financials in 2012 once the global QE money starts flowing.
    20 Nov 2011, 11:02 PM Reply Like
  • WMARKW
    , contributor
    Comments (10765) | Send Message
     
    The central bank of the US does not theoretically own the US gold hoard. It is supposedly owned by the Treasury. However, in practical terms, I suggest there is not gold in Fort Knox, nor is the supposed US Treasury hoard of 8 thousand tonnes really owned by the US treasury. It's been stolen by the world banksters.
    20 Nov 2011, 11:49 PM Reply Like
  • tclark13
    , contributor
    Comments (142) | Send Message
     
    BBB here we come! AA first of course. Not all at once, lol!
    20 Nov 2011, 03:38 PM Reply Like
  • mP1
    , contributor
    Comments (386) | Send Message
     
    Why does America have a federal government. It seems to me as an outsider Washington takes lots and gives very little to the average American. On the other hand Washington finances a lot of extremely expensive projects - eg wars that are bleeding America dry. I think its reasonably safe to say that all states would be significantly better if they collected taxes themselves removing Washington from the loop. Its time to split America, unity has not been a benefit for a long long time.
    20 Nov 2011, 04:33 PM Reply Like
  • Agbug
    , contributor
    Comments (1192) | Send Message
     
    Can't be done. We send x amount of dollars to DC and as if by magic they come back inflated by the current 40% deficits being run up. Food stamps - 40% kick back, unemployment funds - 40% kick back, defense spending - 40%. Some resource rich states would gain, others would lose big, but it would be an interesting excercise.
    20 Nov 2011, 10:41 PM Reply Like
  • mP1
    , contributor
    Comments (386) | Send Message
     
    Cant but should... It seems lately that big federations or unions are well bad, take the USA federal government, European Union and Big Banks.
    20 Nov 2011, 10:50 PM Reply Like
  • enigmaman
    , contributor
    Comments (2798) | Send Message
     
    There were never going to be any cuts, nor any revenue raising this was a stage set up for the benefit of the Democrats, political theater to give Obama the ability to say " by refusing to raise taxes on the RICH the Republicans stopped the super committee from making significant progress to reduce our deficits" They just want to protect the rich, corporations and Wall street at the expense of the middle class. Its really just that simple.

     

    According to the Democrats and confirmed by the budget Obama submitted with not 1 penny of cuts, they do not believe we have a spending problem, they believe the problem is the rich are not paying there "Fair Share"
    20 Nov 2011, 04:45 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    Actually, no. Obama believes that his mandate is to work to press for policies that will create more employment, now, not 5-10 years from now after the deficit is back down. He believes that Republican policies are focused only on debt reduction which he and most Dems think will worsen the unemployment numbers. I am not really sure what the Republicans think about job creation. They say that they favor small business, yet their proposals have little to do with business. Nothing they propose will help my business at all, so I am really not sure what they think except to oppose anything the Dems propose.
    20 Nov 2011, 08:01 PM Reply Like
  • sam_sawyer
    , contributor
    Comments (137) | Send Message
     
    Skier99 you figured it out!
    20 Nov 2011, 10:51 PM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    skier
    "his mandate is to work to press for policies that will create more employment, now,"

     

    Please enlighten me and list a dozen or so examples.
    The stimulus was supposed to get UM to 8%, that really worked out fine... Biden called the summer of 2010 "the summer of recovery", that really worked out fine.
    I obliviously am missing the talking points so please help me out.
    21 Nov 2011, 08:11 AM Reply Like
  • Tack
    , contributor
    Comments (15971) | Send Message
     
    A general observation:

     

    As I read around SA, I find numerous articles and comments proclaiming without equivocation that:

     

    Italy will fail
    Spain will fail
    Germany will fail
    UK will fail
    The EU will fail
    Japan will fail
    China will fail
    U.S will fail
    What's left?

     

    It seems the greatest problem we face is a sea of defeatist losers, who see all problems and challenges of life as hopeless and insurmountable. Why even bother to stick around?
    20 Nov 2011, 04:59 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    Tack,

     

    This is what happens during the "winter" season and the Fourth Turning assuming you believe in this stuff.

     

    http://bit.ly/v6do7b
    http://seekingalpha.co...

     

    I find it interesting and a fascinating read but I happen to be one of those people with time on their hands and a restless mind.
    20 Nov 2011, 05:12 PM Reply Like
  • Mobywhite
    , contributor
    Comments (409) | Send Message
     
    I agree Tack. However, I love it because it creates opportunities you can capitalize on.

     

    It's amazing that as intelligent as human beings are the vast majority of people simply follow the pack.
    20 Nov 2011, 05:28 PM Reply Like
  • TruffelPig
    , contributor
    Comments (4184) | Send Message
     
    Well, that is always the same small amount of doomsters posting this. There are more bulls here, but they are not that pathetically crying the hole day proclaiming doom. They will all go home with the tail between the legs when doom won't come.
    20 Nov 2011, 05:49 PM Reply Like
  • jamesbwood
    , contributor
    Comments (306) | Send Message
     
    Through puts and shorts, "doom" is also an opportunity. Someone is making money on the way up, and the way down - why not you?
    20 Nov 2011, 08:10 PM Reply Like
  • mP1
    , contributor
    Comments (386) | Send Message
     
    Australia is doing reasonably well all things considered. Being so far away from Europe and NA has its benefits.
    20 Nov 2011, 09:27 PM Reply Like
  • J 457
    , contributor
    Comments (1000) | Send Message
     
    Tack,

     

    What an ironic statement, as one could easily interpret your statement as naive and disconnected from reality. Yes, it is unfortunate all the smart MBA educated boomers of the 70's didn't "face" the "problems and challenges" of life during the last 30 years and instead decided to ignore basic economic fundamentals and run the USA straight into the ground.

     

    If you spend more than you make, you become insolvent. Was it "hopeless and insurmountable" to face the problems when the country was outsourcing millions of jobs and closing down thousands of American factories, increasing debt by the trillions, ignoring dependency on foreign oil, ignoring social security and medi-care funding deficits, pension deficits, aging infrastructure, the de-industrialization of America, everything made in China, and on and on..

     

    Now, after we're 15 trillion in debt with 1.4 trillion annual deficit and 600 mm annual trade gap, you want a pep talk about how rosy things are and how people are generally pessimistic. That is probably easy for you to say, as your generation was the pinnacle of blind success, at the ultimate cost of wide-spread failure for several future generations. What's your legacy? Did you "get yours" and at what price.
    20 Nov 2011, 11:26 PM Reply Like
  • WMARKW
    , contributor
    Comments (10765) | Send Message
     
    While not a gloom and doomer, as an observer I breathlessly await any signals that the US and the EU will get their stuff together and make something good happen. However as a pragmatist.....I expect nothing until some external force knocks these pathetic political electrons out of their orbit.
    20 Nov 2011, 11:53 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3360) | Send Message
     
    Simpson-Bowles should have been the Default remedy for a failure of the Stuper-Committee. (spelling intentional)

     

    Failure should have created automatic adoptions of all it's provisions, rather than sequestration.

     

    But since Obama, ordered Simpson-Bowles formation, he would have to take the blame.

     

    And, we can't have that can we?

     

    http://bit.ly/t3ya0b/
    20 Nov 2011, 05:44 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    Actually, Simpson-Bowles is very close to what the Dems on the super-committee did propose, but it was rejected out of hand by the Reps who opposed the tax increase portion.

     

    But you raise an interesting point about the sequestration thing.
    20 Nov 2011, 08:03 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    Skier,

     

    Do you enjoy just making things up?

     

    Obama submitted a budget this year that was voted down 97-0 in the Senate which is perhaps the most bipartisan vote we have had since Kyoto went down under Clinton.

     

    Stop reading the Huffpost and you might find out there are two sides to every issue not just the Democrat one.

     

    He is the President and the CEO which makes him ultimately responsible for both success and failure.

     

    Whining just shows weak and ineffective he really is and not surprisingly given his life experiences his lack of success was entirely predictable.

     

    NOBAMA 2012!
    20 Nov 2011, 09:33 PM Reply Like
  • enigmaman
    , contributor
    Comments (2798) | Send Message
     
    Skier- can you provide a link to the Dem super committee team proposal.
    21 Nov 2011, 07:37 PM Reply Like
  • dancing diva
    , contributor
    Comments (2677) | Send Message
     
    Yeah, but if Obama had any balls he'd have pushed through Simpson-Bowles a year ago when it was first announced and we wouldn't have had to go through all this nonsense.

     

    But of course that would have pissed off the unions and other monied backers. Gotta love a man who can say with a straight face that he wants to do what is right for America and then screws most of us.

     

    The moment of truth has arrived. The majority of Washington has been bought and paid for.

     

    http://bit.ly/uNKtaJ
    20 Nov 2011, 06:01 PM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    "Yeah, but if Obama had any balls"

     

    And therein lies the problem.
    20 Nov 2011, 07:20 PM Reply Like
  • Dibber
    , contributor
    Comments (1375) | Send Message
     
    very well said
    20 Nov 2011, 06:17 PM Reply Like
  • Tas 2010
    , contributor
    Comments (272) | Send Message
     
    Just a contrarian thought:

     

    If the super committee fails (and they will) the market will most likely sell off for a few hours. At that point, the budget battle is known. There will be no more super committee to disappoint. There will be no budget cuts. The market hates uncertainty. Once everything is known then the market is priced to that metric. Once this noise is off the table, the market might just put in a tradeable bottom.
    20 Nov 2011, 06:47 PM Reply Like
  • bfmartucci
    , contributor
    Comments (3) | Send Message
     
    Too simple. Maybe in a "normal" market, but there is still too much uncertainty overseas - and besides, this is a relatively minor news event in the scheme of things, one which has already been largely discounted by the market. Most realistic (read: cynical) politicos and market watchers never expected anything from the supercommittee, which is why it hadn't been in the news until late last week and why even now no one's freaking out about it.

     

    The S&P could very well bounce this week, or it could break down below 1200 temporarily; flip a coin. Scratch that; it's probably more likely to be another down week because the risk of some unexpected occurrence out of Europe over what will essentially be a four-day American market holiday will deter traders from taking long positions into Wednesday's close. The supercommittee's official 'failure' will certainly bear some of the blame for Wednesday's selloff, but it'll mostly be about old-fashioned known unknowns.

     

    Regardless of the market's short- or middle-term trendline (up or down), however, for the next few quarters volatility will continue to be a constant and 'tradeable' bottoms and tops are going to be a bit squishier than we might like. Look for low-beta yield and single-stock success stories, natch.
    20 Nov 2011, 07:37 PM Reply Like
  • Skier99
    , contributor
    Comments (73) | Send Message
     
    good comment. The fact is that the US economy is so vastly much stronger than the Eurozone that the supercommittee failure will probably be sneered at by the markets. Sure, there may be a couple of days of vibrations, but no big deal. We are seeing really good numbers coming out of the US economy right now, and Dec. will surprise us on the upside.
    20 Nov 2011, 08:06 PM Reply Like
  • WMARKW
    , contributor
    Comments (10765) | Send Message
     
    Just a reminder, we don't have a budget....and haven't had one for what....2 years?
    20 Nov 2011, 11:55 PM Reply Like
  • Davephd
    , contributor
    Comments (1039) | Send Message
     
    Perhaps it's time the Fed started thinking about selling off some of the humongous amounts of federal lands, forests, and the National Parks to pay the debt.
    20 Nov 2011, 08:35 PM Reply Like
  • Frankj78
    , contributor
    Comments (454) | Send Message
     
    They would be a drop in the bucket. And if this administration can't approve a pipeline through the mid West, there's no way selling federal lands would take place.
    20 Nov 2011, 10:14 PM Reply Like
  • moreofthesame
    , contributor
    Comments (739) | Send Message
     
    You would have to clarify what you mean by "Fed" The Federal reserve or the Federal Government.
    21 Nov 2011, 03:26 PM Reply Like
  • Bubba1
    , contributor
    Comments (243) | Send Message
     
    I guess I just don't see this as a big problem. Perhaps I am missing something here? It was pretty much expected that the super committee would fail given the make up of the committee members. The Democrates keep singing the same old tired story ...tax the rich, as if this were a viable solution. There just aren't enough of these super rich to make much of a difference. If you took all of thier money it still would not help unless you get spending under control. Sequestration does not hit until 2013 and lots can happen until then. The congress and the Presidency will go to the Republicans and then they will have their chance to clean up the budget mess.
    There is little hope of real change until we get rid of Reid, Pelosi and Obama.
    20 Nov 2011, 09:08 PM Reply Like
  • Papaswamp
    , contributor
    Comments (2236) | Send Message
     
    The whole super committee succeeded or failed is hilarious. $1.2 Trillion over 10 yrs starting in 2013 won't do squat. Between now and 2013 the debt will have increased over $1.5 Trillion….thus 10 yrs worth of cuts will not negate less than a year and half of over spending. Heck Q3 debt increased by $447 Billion.
    20 Nov 2011, 09:26 PM Reply Like
  • rjj1960
    , contributor
    Comments (1415) | Send Message
     
    We need Marshall law in this country, what a joke. No one wants to make sacrifices, what so ever.
    20 Nov 2011, 10:02 PM Reply Like
  • Frankj78
    , contributor
    Comments (454) | Send Message
     
    The supercommittee was nothing more than misdirection. If the Simpson-Bowles recommendations weren't acted on, why did anyone think this committee, split 50-50 between the parties would agree on anything? (Not saying anyone on this message board was so naive to think they would come up with a solution.).
    20 Nov 2011, 10:18 PM Reply Like
  • Dibber
    , contributor
    Comments (1375) | Send Message
     
    Especially when John Kerry is the Democrat doing the negotiation. Has there ever been a piece of consequential bipartisan legislation with his name on it?

     

    Republicans offered Simpson-Bowles as the compromise ... the solution Obama's own debt commission came up with. That should have worked.

     

    For some reason the Democrats seem to want government spending for the sake of government spending. It's really weird.
    21 Nov 2011, 08:58 AM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    Dibber
    It is easy to understand
    A great percentage goes to unions and a great % of that comes back to the democrats in the form of political contributions.
    21 Nov 2011, 09:03 AM Reply Like
  • FCARONE
    , contributor
    Comments (596) | Send Message
     
    I heard John Kerry's interview this morning on CNBC. He said that an agreement is possible if the Republicans would accept higher taxes on the wealthy. That's the only issue standing in the way of an agreement. All other issues were agreed to by all the super committee members. He went on to say the biggest obstacle is the Grover Norquist " No tax increase pledge" that the Republican super committee members signed. If this is true, the onus is on the Republicans. They should recant their pledge and move forward with a compromise that averts another congressional failure and a further degradation of the country's future financial and social prospects.

     

    The point that is particularly galling to me is that the Republicans who signed the Norquist "pledge" have effectively signed away their own volition to legislate on behalf of the country. The basically signed away their right to legislate and compromise to a two bit lobbyist.
    They did this to curry favor with Norquist so he would support their re- election efforts and possibly contribute money to their re- election fund. Its just a sell out of the country for personal gain, financial and political.

     

    I strongly suggest that any legislator who signs any pledge that limits their ability to legislate and compromise should be impeached. Additionally, they should not be elected to any future public service offices as they are not worthy to hold office. Any thoughts on this suggestion?
    21 Nov 2011, 12:17 PM Reply Like
  • wyostocks
    , contributor
    Comments (9105) | Send Message
     
    fcarone
    "I strongly suggest that any legislator who signs any pledge that limits their ability to legislate and compromise should be impeached."

     

    They take a pledge to uphold the constitution. Should we impeach for doing so or not doing so?

     

    What is so wrong for a person having strong beliefs and sticking to them as opposed to blowing in the wind. I guess you prefer a politican to check the daily poll numbers and then go vote accordingly.
    21 Nov 2011, 12:22 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    Why would you believe John Kerry?

     

    http://bit.ly/vDpfkJ/~ebolt/history398/joh...
    "They told the stories at times they had personally raped, cut off ears, cut off heads, taped wires from portable telephones to human genitals and turned up the power, cut off limbs, blown up bodies, randomly shot at civilians, razed villages in fashion reminiscent of Genghis Khan, shot cattle and dogs for fun, poisoned food stocks, and generally ravaged the countryside of South Vietnam in addition to the normal ravage of war, and the normal and very particular ravaging which is done by the applied bombing power of this country.

     

    We call this investigation the "Winter Soldier Investigation." The term "Winter Soldier" is a play on words of Thomas Paine in 1776 when he spoke of the Sunshine Patriot and summertime soldiers who deserted at Valley Forge because the going was rough.

     

    We who have come here to Washington have come here because we f eel we have to be winter soldiers now. We could come back to this country; we could be quiet; we could hold our silence; we could not tell what went on in Vietnam, but we feel because of what threatens this country, the fact that the crimes threaten it, not reds, and not redcoats but the crimes which we are committing that threaten it, that we have to speak out."
    21 Nov 2011, 12:53 PM Reply Like
  • Convex Strategies
    , contributor
    Comments (442) | Send Message
     
    Stop "occupying Wall Street," and protest in DC.

     

    The immaturity shown by our elected leaders is at least as bad as the lack of ethics shown by some working on Wall Street.

     

    Not to excuse some of Wall Street's actions, but it comes from the top down. The government poured the liquor, and the bankers drank it.

     

    Wake up.
    20 Nov 2011, 10:50 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4709) | Send Message
     
    I am pretty conservative and liked the Tea party when it began, now I see what a bunch of ametures they are and have becomed disallousioned with their brinksmanship. I will support Mr. R.
    21 Nov 2011, 12:24 AM Reply Like
  • muchbusiness
    , contributor
    Comments (245) | Send Message
     
    Brilliant
    21 Nov 2011, 01:12 AM Reply Like
  • Matthew Davis
    , contributor
    Comments (4709) | Send Message
     
    indeed
    21 Nov 2011, 05:46 AM Reply Like
  • nocnurzfred
    , contributor
    Comments (706) | Send Message
     
    Looks like what we see across the country. Well paid legislators greasing the palms of their staffs with overtime pay, OT meals, maybe even hotel allowances. Maybe this past weekend our illustrious super committee ran around town collecting on the extra pay they provided their subordinates. And they will get to do it all over again in a couple months. By the way, what is 1.2 Trillion over 10 years anyway? Should have been charged with finding 6 Trillion, minimum. Explain this to your grandkids this holiday season. Oh, they are taken care of, right?
    21 Nov 2011, 02:55 AM Reply Like
  • Spin
    , contributor
    Comments (244) | Send Message
     
    The President needs to take a leadership role. He needs to tell all his department heads to trim their next year's budget by 6%. He needs to encourage workers through bonuses to suggest money saving ideas. This is not a difficult problem when leaders step forward.
    21 Nov 2011, 07:45 AM Reply Like
  • FCARONE
    , contributor
    Comments (596) | Send Message
     
    It's time to consider impeaching the Republican's who signed the Grover Norquist " no tax pledge". No legislator should preemptively sign away their right ( and obligation) to make future decisions as conditions warrant. Its a betrayal of their office, their constituents and the country in general. Let's get them out of office and then go after the rest of the corrupt politicians in congress. The best government money can buy practices must stop now.

     

    As for Obama, he does not deserve another term , no matter how good his intentions may have been. He said on a number of occasions that he would readily sacrifice a 2nd term re- election by making hard, and possibly unpopular decisions for the benefit of the country. Sounds great., but alas its a ploy. He shy's away from decisions and supports dead end policies that waste money and detrimentally meddles in various markets ( real estate and Wall Street ). He supports expanding an already blotted government that we cannot afford! He spends a ton of time raising money for his re- election and campaigning ( which includes the divisive practice of denigrating the Republicans at every chance he gets to do so). Time to send him the message that his day's in the office are also coming to a close.
    21 Nov 2011, 12:22 PM Reply Like
  • muchbusiness
    , contributor
    Comments (245) | Send Message
     
    Funny how you only mention raising taxes. Do you think spending cuts are a possibility?
    21 Nov 2011, 04:16 PM Reply Like
  • Dibber
    , contributor
    Comments (1375) | Send Message
     
    I think its time to impeach Senate Democrats who haven't bothered to pass a budget in 3 years. That's a dereliction of duty.
    21 Nov 2011, 04:24 PM Reply Like
  • Eric Stalee
    , contributor
    Comments (88) | Send Message
     
    @business; Yeah, there do need to be cuts, but apparently touching military spending for cuts is taboo even though its the biggest part of America's spending. Cut military spending in half and you cut the annual spending by 1/6th. That's a giant chunk of spending cut out. But again, nobody in Congress is willing to cut military spending it seems. And cuts are only part of what's needed. Taxes do need to be raised to the level they were before Bush, but there also really does need to be some sort of super-revamp of the entire tax code. Perhaps use pre-bush era tax rates temporarily to give time for changing the tax code. Of course if we put Congress up to that one we all know how it will turn out.
    22 Nov 2011, 04:11 AM Reply Like
  • Davephd
    , contributor
    Comments (1039) | Send Message
     
    Looks like everyone just has to sell those hard assets and get into paper promises from the fed that are guaranteed to loose you money to inflation. Well, at least they will be able to wipe their buts with them down the road.
    21 Nov 2011, 12:50 PM Reply Like
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