Skip to comments.Ominous futures this morning. Are companies 'Going Galt'?
Posted on 11/13/2012 11:45:35 AM PST by 2ndDivisionVet
The futures dont look so hot this morning before the opening bell. As of 8:50 a.m. EST, Dow futures are down nearly 70 points. S&P and NASDAQ futures look pretty much as bad, down nearly 9 and 20 points respectively.
While yesterdays action seemed relatively benign, it wasnt, as lots of sectors were getting hammered but, due to low semi-holiday volume, this wasnt readily apparent. Our utilities got hit so hard we had to exit via percentage stops, and well probably need to pare back what energy and banking issues we still have today.
The fiscal cliff again is the looming issue on the front burner. Euro-instability doesnt help, either. But one other thing thats begun to surfaceafter the election of courseis the inevitable resumption of the Democrats twin pincer movement on American businesses and employees. And those are, should you need a reminder, the Administrations continuing War on Coal, in the context of its War on Fossil Fuels; and the looming effects of Obamacare on business bottom lines.
As weve already mentioned, utilities are getting smithereened, this in spite of spectacular yields. Prior to this, coal stocks took a beating. All this negative activity is tied in with the War on Coal, waged somewhat by proxy by EPA rulemaking regulators run amok. Although the once burning issue of global warming climate change has in our view been completely discredited by the academic worlds collective email-gate, the Warmists are proceeding ahead anyway toward a utopia where energy is produced by anything but fossil fuels at a cost nobody except the leftist utopian masters can afford...
(Excerpt) Read more at communities.washingtontimes.com ...
Guess these business guys shouldn’t have backed Obama.
Go pay your taxes - the moochers need the money. :)
In before the idiots that will tell you this isn’t “going Galt” because it’s not exactly like Rand’s book.
It's time to punish the rich.
Anybody who has ever raised a kid knows how this works...you can tell them til your blue in the face about how bad the consequences will be if they make bad choices, but in the end they always seem to have to learn it the hard way.
This nation has just touched the hot stove...
Well, there is a limit to self sufficient hidden valleys in Colorado and inexhaustible free energy motors.
I’m forging Rearden metal plowshares for bartering as fast as I can.
Only the rich that didn't support Baraq.
“Well, there is a limit to self sufficient hidden valleys in Colorado and inexhaustible free energy motors.”
Indeed, and those valley dwellers have to concoct SRBMs capable of taking out the non-producing pestilences in Denver and Boulder (especially Boulder.)
Then the state can lead the nation back to productivity.
I think we are going to see an interesting phenomenon.
Huge dumps of stock that do not result in the stock market dropping. But how can this be?
The market indicators are based on a limited number of companies. If these companies do not move, it strongly limits how much the rest of the market can move.
So let’s say you have billions of dollars, and you can *invisibly* put money into, or take it out of the market indices.
No matter what the rest of the market did, you could at least create the illusion that nothing was happening.
Ah, you might say, but nobody could do this *invisibly*.
Well, almost nobody. The federal government and the FED can do this, with no one the wiser. Their transactions are invisible.
For much of the last four years, market volatility has been very limited. At times, volume has been relatively tiny, seemingly nobody buying or selling.
But at the same time, tens of billions of dollars of stock has been dumped by people entirely leaving the market. Under any legitimate circumstance, the indices should be half of what they are right now.
Yet the indices just sit there, for the most part. As if somebody with many billions of dollars has been buying up that stock and doing nothing with it.
Why not? After all, it’s not *their* money they are using.
So true, I’ve always described democrats as believing what’s up is down and what’s down is up, if you tell them not to touch the stove, it’s hot, they will.
Naw, we’ll just seed the clouds as they pass over and flood them out. ;^)
Hasn't the S&P 500 about doubled in the last 4 yrs?
They should. When the slaves rebel - their masters starve.
Weepy creepy Boehner needs to send everyone in the House home for Christmas and tell Obama they’ll be back after he is inaugurated. And leave a number where Obama can leave a message.
Obama certainly doesn’t mind that most of the Wall St. tax increases will come out of the hides of Jews. Incredibly, they voted for him and other Democrats as usual, totally disregarding his obvious anti-semitism. Investment houses will soon start to crumble under the hundreds of new regs in the Dodd-Franck bill.
By then, every politician in the country will be on a plane and heading for some far away private island.
They won't come back until after the chaos dies down. (Then they'll be the first to remind us how they worked feverishly from their island mansions to save us - then they'll ask us for donations and our votes).