Wednesday, December 21, 2011

Instant Recovery

Greetings good citizen,

As one might have expected, today’s markets aren’t anywhere near as ‘robust’ as yesterdays. Seems almost ALL of the ‘month over month’ gain in the housing market was ‘rentals’ (which aren’t the same kind of ‘economic driver’ that single family homes are.)

Silly (nearly 400 point) ‘mistake’, eh?

How sad is it that Wall Street is too chicken shit to come out and admit yesterday’s rally was purely a show of support for the Tea Party?

Because if the sleaze-balls DID admit that they drove up their personal wealth by 400 points over the scuttling of the middle class tax cut, Manhattan would be a cinder this morning.

Better the ‘fairy tale’ about housing…

But wait! Is that another ‘green shoot’ popping up over there?

Stock Buybacks Rise for 9th Consecutive Quarter

BOSTON (AP) — America's biggest corporations continued to spend more money on stock repurchases in the third quarter, with buybacks rising 49 percent compared with a year ago.

Standard & Poor's on Wednesday said stock repurchases by companies in the S&P 500 totaled $118 billion in the July-September period. That's up from nearly $80 billion in last year's third quarter. Buybacks also rose compared with this year's second quarter.

Exxon Mobil Corp. was the company that spent the most on buybacks at $5.5 billion.
Buybacks have increased each quarter since the second quarter of 2009, when the financial crisis sent buyback spending down to $24 billion.

Buybacks reward investors by increasing the value of remaining shares, and per-share earnings results. Shares are taken off the market, and earnings are divided among fewer shares.

How’s that for an ‘economic recovery’ without investing a cent or increasing the labor force? All you have to do is reduce the number of outstanding shares and you’re instantly ‘profitable’!

This tactic also produces marvelous CEO bonuses too!

I need not detail the ‘red flag danger’ this presents to our floundering civilization. It is exemplary of the False economy the ‘one percent’ has been passing off as ‘proof of prosperity’ for decades now.

An economy built on ‘creative accounting’ will collapse…eventually.

And the bad news is, we have arrived at that tipping point, the one where all of the lies become transparent.

Perhaps we can belabor the obvious and invoke that old ‘third time is the charm’ axiom as it appears the third consecutive ‘jobless recovery’ is trying to tell us something.

Which is to point out that after the bastards shrink government down to the size where it can be drown in a bathtub…there will be nobody around to defend you.

And guess who is the next one in line for the ‘bathtub treatment’?

Thanks for letting me inside your head,


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