ebworthen

Wall Street Breakfast: Must-Know News

"EDF/Constellation deal at risk" - the French backstabbing us yet again. They probably don't like the competition either, since we are going the government ownership route.

I'm amazed at the lack of analysis behind the 3.5% GDP figure. See Karl Deniger's take on it here on SA; a lot the pop from CFC and FED stimulus. Trillions in yet to be earned or collected tax revenue market steroids is not real recovery.

"Junk bond rally becomes self-fulfilling...The growing cash flow enables shaky companies to head off default - adding more fuel to the rally." - OOOOPS! Bubble part deux. I'll bet they're investing in life insurance default swaps and FED backed banks; if there is another crash any losses will be made up with taxpayer money at 0% - again.

"Private Sector Must Lead the Way - Geithner" - yeah...right. Just like the enabler telling the addict "This is the last time, you have to do it on your own next time. I won't do this again...now here...take this $5,000 and go do the right thing." uh-huh. What a circus that was to watch Barney Frank's soliloquoy about how Congress has always been doing the right thing and that they will protect the taxpayer. Then Geithner, the tax cheat, saying the FED needed more authority to protect the taxpayer. It was only missing an organ grinder, some peanuts, and clowns (wait, I think the clowns were there).

Overbought Stocks

Art Kashin said it this morning on CNBC when asked about the past year and where things are right now: "I've been doing this for almost 50 years; stocks are overvalued and overbought."

Just take a gander at the markets and how high they are above their 50 day SMA beyond crossing the 200 day SMA; it's like looking at your fat Uncle on the top of a ladder trying to hang up the Christmas lights. Timothy Geithner is trying to hold the ladder; and Obama is supervising and saying "more lights, more lights".

This is a cotton candy market, fluffed up sugar sold at a premium.