deflation, but

[Palouser]

Every once in a while I have an especially good cup of coffee and get carried away!

[sw363535]

enjoyed.

But WJB  was just a politician needing votes.  No votes here in farm country.  He would probably be pandering to the urban and printing money as fast as he could.

But at least he had a way with words.  Hard to find that these days.

[Palouser]

WJB certainly isn't coming back but it's hard to say he wasn't on the right track. Hard currrency is absolutely arbitrary. [yet frequent panics and recessions were common in that era]

He'd be appealing to the urban voter for sure! The rural vote is minor if you subtract the commuters and retired looking for a little piece of heaven. The ONLY thing keeping the 'red state' phenomena alive is our sytem of representation in the Senate and rural welfare. We now need a representative for the middle class that is the reincarnation of WJB and he better come soon because our way of life is falling apart rapidly and there's no cure with our current political structure. Lower real wges isn't a cure, and neither is increased productivity becauase the worker no longer shares in that. We are a service economy and yet we depend on wage workers to keep things patched up. And yet a wage earner (oh yes, many have been reclassified as 'management' so they can legally be worked for an infinite number of hours) can't access the loopholes that corporations can to pay the lowest marginal rate of taxes.

This won't continue forever. Where did you go WJB (and Joe DiMaggio).

[bruce MN]

Not WJB but 100 years plus later some of those same sentiments linger: http://www.politico.com/story/2014/11/elizabeth-warren-liberal-donors-112888.html

[Palouser]

Elizabeth Warren may be the only person who's been hated by all sides and was right about the crash before it happened. She's been Republican and Democrat. She is probably the only progressive I know that has consistently stuck to her guns and defied anyone to shut her up.

Republican's hated her because she knows all about the darlings on Wall Street and what they did and will do again. Obama administration types didn't like her because she wasn't afraid of pointing out Geitner's two faces, coming from Wall Street and was definitely part of the great mortgage sausage machine that encouraged dubious motgage practices needed for the grind into securities - and then on Bush's and Obama's clean up team. Greenspan just wanted her to be shut up. Now he's the one saying he didn't see it coming even though he frustrated any attempt to regulate the sausage machine we are going to pay for for many years.

In short, Warren understands markets, Wall Street and politics - and she still won't shut up.

[hardnox]

Said (somewhere) that I was giving the buck allowwance for a new high.

So far so good, nice poke up and reversal in the works. That view kind of assumes a sideways lower correction in the USD (and upward in the comms) for a few weeks.

Doubt that the grains will have as much correlation with it as things like oil and gold.

[timetippingpt]

Palouse...I am just not understanding what it is you want your government to do to "save the middle class"?

I don't drink coffee anymore so am hardly able to keep up with your post, but you have this recurring theme that the congress will do nothing to help the middle class. What would help them? Lower SS wage taxes that are paid to wealthy retirees? No SS tax until age 35?

Not argueing just really want to understand what you think would help. And don't say print more currency as obviously that policy we have well implemented and the banks are lending it 100% back to the fed...I call it the currency carry trade. 🙂    You and I have always been on the same page about the abuse from the market makers and unlimited, unregulated, market participation shifting the price curves. So help me on this one.

TIA

[hanktbd]

Time,

Can't speak for Palouse but going to stick my 2 cents in here RE helping the middle class. Going back about 40 to 50 yrs there were a lot of blue collar and lower level white collar jobs where an individual with good work ethics could provide a decent living for his family while the wife stayed home to run the house and help the children grow up drug and ink free until they finished school and moved out on their own. Those days are mostly gone and and while some of the changes have been for the good, it feels like many of our tax, labor, and environmental laws have gotten to the point of stupid, driving good jobs out of the country, and thereby continue to shrink the middle class. Legislation that would reverse those trends while still maintaining reasonable protections for the environment and workers as well as reasonable tax revenues to run the government is what comes to my mind when I hear the phrase elected officials helping the middle class.

[hardnox]

Said I'd look for an actionable trigger to revisit my assessment that we'll see a decent correction in the DX and CRB for a while- high (DX) or low (CCI/CRB).

Japan is in recession, the EU all but in name and China, well, hard telling what constitutes a recession there and also hard to trust their numbers. That leaves the US to carry the ball and data is surely a bit mixed.

New highs/lows would signal to me that the deflationary tendencies are really grabiig hold a lot faster and harder than I'd thought. Not that I don't think there's a deflationary wave coming anyway, just see markets too stretched right now.

In the Big Ones the market will sometimes put a gun to your head.

[sw363535]

Anxious for clarification as well.

Another issue heard commonly -----Not Palousers issue---- or at least I am not going to take time to research the author -------

The comment heard often that the Fed prints the money and the banks sit on it and won't lend it out.  Always gets a double take from me.  Really......... How on earth could anyone get in line ahead of Congress and the bureaucracy.  The printed money and the loan back to Congress is in light speed.  Is the federal government both the problem and the solution.

Most Legislation written in the last 30+ years has been totally without the restraint of budget.  Ya gotta wonder when someone just keeps asking for more.