Posted on 04/23/2014 6:20:12 AM PDT by Kaslin
The great rotation to value has commenced in the stock market. And it's likely the thing that's needed if this bull market is going to continue.
A parallel rotation to value is also occurring politically. And it's likely the thing that's needed if this Republic is going to continue.
“Within the broader stock market there was a large rotation, out of growth and into cheap, or ‘value,’ shares,” writes FT.com. “Expensive shares had their worst performance against cheap ones since 2009. The other ‘factor’ popularised by academics Eugene Fama and Kenneth French – momentum – also had a terrible time. Momentum refers to the tendency of rising shares to keep going up – but they did not live up to the name. The reversal has been so large that now the highest-momentum stocks in Europe are cheaper (based on price to book value) than low-momentum stocks, according to Alla Harmsworth at Nomura, for only the third time in 25 years.”
It’s kind of like that in politics too.
After a weekend of unprecedented violence in Chicago-- you know, a city where the politicians of told us crime is going down-- current mayor and former Obama Chief of Staff, Rahm Emanuel, has shifted from momentum himself into “values” mode.
"Every child deserves a childhood, regardless of where they live,” said Emanuel during a press conference this week according to the Chicago Tribune. “But to do that, our city and community, the neighborhoods that make up this city, cannot live by a code of silence. They have to live by a moral code…. It's whether you have values."
Getting past the fact that Emanuel and other Democrats in Chicago little value the lives of those people most affected by the violence, values help, but so would better policing.
Voters seem to agree.
A recent poll by the Illinois Observer shows Emanuel down by 8 points to a possible challenger, quite a poor showing for an incumbent. It just shows you can fool some of the Chicago voters all of the time, all of the Chicago voters some of the time, but every 50 years or so…yeah.
Since 2009, the stock market has regained everything it lost in the Great Crash, and over the last 18 months has moved to new highs.And the market has done it by valuing the most expensive, highest momentum stocks.
The only thing that mattered in this market has been the direction of earnings not the value of earnings.As long as earnings or revenue have gone up, so has the market.
In part that's because we've made money cheap.And we've also cheapened it, a distinction that is probably lost on many economists, but shows up well at the pump and at the grocery store.
A look at the broader stocks in the Russell 2000 shows that value stocks are outperforming the highfliers-- quite a change from previous periods.
In politics we have spent the last six years also valuing the most expensive, highest momentum politicians. They too have been fueled by cheap money, and thus have cheapened everything that they have touched.
The only thing that matters to the media-- and often to the public-- has been the momentum of legislation rather than the value of it.
As long as legislation, or actual laws—hard to tell the difference between the two these days -- had momentum, the stock of the politicians packaging them has gone up as well.
The twin drivers of fear and greed fuel the stock market. For a long time now greed has been in the front seat, and fear has just been a backseat driver. And despite frantic attempts by the folks at the Federal Reserve to assure the markets that money is still cheap, investors are starting to value profits as well as fear takes hold.
Simultaneously, politics has been driven by Hope and Change, twin concepts that have been supercharged by a public relations effort as slick as it has been lacking in substance.
Hope has only made a cameo appearance, with the real stunt driving being done by Corruption. Change has made no appearance at all.
The banks are all bigger, the campaigns are more about money, and $4 trillion worth of spending has failed to produce the jobs needed to sustain our recovery. If it wasn't for expensive mismanagement, the Obama administration—and Democrats in Chicago-- would have no management at all.
And as the poll numbers show for Obamacare, voters are beginning to appreciate the concept of no management at all.
For both the stock market and for the political market, these switches back to value are both healthy and also the natural order of things.
So we can only hope that those politicians who claim to value the values voter, doesn't screw things up, economically, politically, or, God bless, Providentially.
Let us pray.
Values??? Democrats know one value: Big Government run by Leftists.
Right, Ted-----CHICAGO NEWSPAPERS EVEN HAVE A SPECIAL "Homicide Watch" SECTION----to "celebrate Chicago values."
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CHICAGO MAYOR RAHM EMANUEL STRONGLY DEFENDED "CHICAGO VALUES"
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Just recently, Mayor Rahm Emanuel gracefully plied into the controversy created after Alderman Proco Joe Moreno (1st ward) publicly announced his opposition to Chick-Fil-A opening in his ward b/c the Christian company demurred WRT homo-marriages.
Mayor Rham chuckled while doing a graceful plie: "It's easy to do business in Chicago when you know 'the rules.' Chick-Fil-A can open in our town as long as it adopts 'Chicago Values.' "
(1) weekly cash pay off to the alderman;
(2) hire six of the alderman's friends who work only random days of the month,
(3) BIG AL from the Mayor's office picks up all cash in brown paper bags at CFA's back door,
(4) Chick Fil A staff trained by Chicago PD to shoot 10-12 customers per month,
(5) Any CFA customers actually killed must be registered to vote as Democrats at the autopsies,
(6) $100,00 campaign contribution to Obama,
(7) free food to Jesse Jackson, Jr, who is now "convalescing in jail," b/c he screwed up buying Obama's Senate seat....and free sandwiches to ex-Gov Blago now in jail for running an auction to sell Obama's Senate seat to the highest bidder.
(a) they took control of the US Census;
(b) Obama placed his COS Rahm Emanuel in control of the US Dept of the Treasury (the IRS).
THE SMOKING GUN---WSJ REPORT--On Jan 20, 2009 Timothy Geithner was appointed Obama's Secy of the Treasury. But within three weeks, the Obama White House tightened its grip on Treasury. Obama put his COS, Rahm Emanuel, in charge of Treasury---Rahm Emanuel's dual role was an unusual move.
When he got to Treasury, WH COS Rahm Emanuel was so involved in the inner workings of the Treasury that the phrase "Rahm wants it" had become an unofficial mantra among subservient govt staffers, prostrate in obeisance, scurrying to accede to Rahm's wishes, according to Treasury government officials. Reported by WSJ / 05/31/09
More here: http://online.wsj.com/article/SB124113406528875137.html
THIS MADE ME LAUGH OUT LOUD shortly after quitting his powerful WH job as Obama's COS, Rahm held a presser declaring he "just remembered" he really, Really wanted to be Mayor of Chicago. Then Rahm announced he had magically "raised" $10 million for his campaign in "just a matter of weeks." (waiting for hysterical laughter to die down). Ya gotta wonder how much Wall Street Rahm wired offshore when Obama put him in charge of the entire US Treasury.
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Rahm Emanuel takes over Chicago / May 16, 2011
EDITED EXCERPT .... an exciting time in the inbred world of Chicago Democratic politics.... Democratic don, Richard M. Daley ruled for 22 years, inheriting the mayoralty from his father, Mayor Richard J. Daley who held on for a generation. Now the ex-chief of staff of Chicagoan Barack Obama (once a state Senator, now president) was installed. US Treasury Secy Tim Geithner was there, and so was Chicagoan David Axelrod, an O team player.
BTW, Mayor Daley's former chief of staff, Valerie Jarrett, hired Obama's wife, Michelle, to work in Chicago City Hall. Jarret is now ensconced in Washington, as Obama's chief policy advisor.
In Chicago gangland vernacular, "chief policy advisor" means "wire-transfer artist".
Mayor Emanuel's innovative ways commenced early on---his organization was getting $50G's for the best seats at the inauguration (mmmm........that accounts for another couple million scammed from Treasury).
The mayoralty (and its--cough--"benefits") is a job Emanuel has coveted since he was a machine go-fer back in the 1980s.....before he became Bill Clinton's national campaign finance chairman and then a dual role as senior White House aide and Goldman Sachs lobbyist and then (gasp) becoming a multi-millionaire, thanks to a measly few months at a local investment firm...then a (gag) Congressman for four terms---then White House chief of staff for Obama that helped create the 2010 Republican House landslide.
SOURCE http://latimesblogs.latimes.com/washington/2011/05/rahm-emanuel-new-chicago-mayor-tim-geithner.html
<><> Rev Jeremiah's Wright's beloved daughter was recently caught pilfering from a $1.25 million state grant which financed a tax-exempt, not-for-profit work and education program called "We Are Our Brother's Keeper," owned by Regina Evans, former police chief of Country Club Hills, and her husband, Ronald Evans Jr.
<><> 6/8/13 Regina Evans (above) pleaded guilty to fraud and money laundering charges related to the misuse of a $1.25 million state grant to a non-profit organization she ran with her husband, Ronald Evans Jr.
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BACKUP---October 11, 2011 ---- Police Chief Regina Evans Resigns
COUNTRY CLUB HILLS, Ill. (CBSLOCAL.COM) Country Club Hills Mayor said that negotiations were underway to clear the way for the resignation of police Chief Regina Evans, in office for about two years,
<><> Regina Evans was on disability leave since August 2011,
<><> it was earlier reported that Illinois AG's office is suing the 2011 nonprofit group run by Regina Evans over its handling of state job training grant worth more than $500,000.
<><> Evans also signed off on invoices for a controversial summer camp where the campers — including the children of some aldermen who voted for it — got paid to attend (in Chicago, this is called "redistribution of income").
<><> Most recently, Evans came under fire from city officials for overseeing a 2011 part-time police program where 10 part-time police officers were hired last year. A news report revealed that many of the part-time officers had questionable backgrounds, and a city report on the program showed the officers weren’t qualified to do police work. They since have been ordered to turn in their guns and badges.
The SouthtownStar contributed to this report, via the Sun-Times Media Wire.
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SO THAT'S WHERE OBOBO GOT THE IDEA FOR HIS LATEST SCAM? --- "My Brother's Keeper" rears its ugly head in Washington.
WASH/POST---Community lenders’ network commits to lend $1 billion in support of Obama's ‘My Brother’s Keeper’ / By Zachary A. Goldfarb, March 6, 2014
A network of (ahem) community lenders is committing to lending (?) $1 billion in support of President Obama’s “My Brother’s Keeper” initiative that aims to boost the life chances of young African and Hispanic men.
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Yawn.....just goes to show: there's always a sap-happy Lib/Prog willing to say they're "for" their fellow-man---and hoping to make a buck on it.
The Hebrew term for “keeper” as in “My Brother’s Keeper” is “shomer.” It effectively means protective custody behind a wall or hedge of thorns, as one would “keep” a flock of sheep.
"I gotta get outta here. Valerie just wired $50 million federal bucks to the
Chicago Sewer Authority account. I gotta create backdated invoices and line
item payments to phantom employees on the Chicago payroll so Obama's
slush fund will be fattened up when he retires."
Values?
Rahm has values?
When did this occur?
Must have been after he and “BathHouse Barry” cavorted at the queer bathhouse called Man’s Country.
Progressives and values?
They value the junior-high-school way of doing things, the satisfaction of their demands, the fulfillment of their desire for power and the destruction of anything that stands in their way; the Constitution.
IMHO
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