“A cascade of bad economic and political news knocked President Barack Obama off his game today, and prompted him to revive his 2008-style criticism of his predecessor, and also to suggest that investors, consumers and even the media are responsible for today’s stalled economy.
The blame-game rhetoric – which pollsters say is counterproductive – came during the White House’s joint press conference with Germany’s chancellor, Angela Merkel. “It is just very important for folks to remember how close we came to complete disaster,” he told the watching TV cameras and reporters.”
Via Weasel Zippers
“The global economy has become so incredibly unstable at this point that it is not going to take much to plunge the world into a horrific economic nightmare. The foundations of the world economic system are so decayed and so corrupted that even a stiff breeze could potentially topple the entire structure over. Over the past couple of months a constant parade of bad economic news has come streaming in from Europe, Asia and the United States. Signs of an impending economic slowdown are everywhere. So what “tipping point” will trigger the next global economic downturn? Nobody knows for sure, but potential tipping points are all around us.”
“Project 60 takes advantage of a federal program that grants permanent residency to foreign nationals, in this case, Chinese. This program comes with special tax exemptions to the foreign firms moving here. American companies do not get the tax exemptions; So much for the Constitution and equal protection. Idaho is struggling financially and it is widely known that America is broke, so why tax breaks for the Chinese? China wants to limit its exposure to America’s debt. China needs to maintain its trade deficits, so it does not collapse like a house of cards. In order to accomplish this, China must unload currency and excess dollars. Buying Idaho is a good way to accomplish this. But, do not worry, China is looking at buying Ohio, Michigan and Pennsylvania as well. China will not allow its currency to become stronger, so it must eliminate some of America’s IOU’s. What better way to do this than buy America?”
“The New Jersey Supreme Court says people posting in online message boards don’t have the same protections for sources as mainstream journalists.
The court ruled Tuesday that New Jersey’s shield law for journalists does not apply to such message boards.
The case involved a New Jersey-based software company named Too Much Media. It sued a Washington state blogger for defamation and wanted her to reveal sources she cited on message board posts.”
Via Activist Post
OPEC Stand Off As Saudi Arabia Tries To Help Obama’s Reelection Chances By Hiking Crude Output; Iran, Venezuela, Iraq Not Convinced
“Contrary to ongoing wideranging skepticism, Saudi Arabia continues to posture that not only does it have substantial excess capacity, but that it will bring it online any… minute…now. After all, Saudi owes the US a big favor (i.e., lower gas prices) in exchange for America’s (or rather its Fifth Fleet) continued presence in Bahrain, which even those living in a cave know has been under a full media blackout to keep the ongoing religious tensions under wraps and keep the Saudi-Bahrain border safe (not to mention the Ghawar oil field). So even as Saudi had promised to hike its output as Libyian production went offline only for it to be discovered that the country had in fact lowered production, so now too the song and dance has hit fever pitch. Reuters reports that “Saudi Arabia is planning to lift oil output sharply in June, whatever policy OPEC adopts this week, in an effort to rein in high fuel prices. Riyadh expects to lift production by more than 500,000 barrels a day in June to its highest for three years, a senior Gulf industry official familiar with Saudi oil policy told Reuters.” We can’t wait to hear how Saudi’s unilateral plan to boost Obama’s reelection chances is met by other OPEC members such as Iran, Venezuela, Iraq and Libya. “Worried about the impact on economic growth of inflated energy costs, Saudi will act alone if necessary to keep a lid on prices now at $114 a barrel for benchmark Brent crude.” Wait, isn’t OPEC a “cartel”, or a place where unilateral decisions are not allowed, for precisely this reason? Of course, at the end of the day, with recent Wikileaks disclosure that Saudi Arabia admitted it has overstated its reserves by some 300 billion barrels, or 40% of total, this latest ploy to push gasoline prices lower into the summer season will have a half life that is shorter than the SNB’s FX intervention attempts. “
Via Zero Hedge
“The financial system is on the brink of collapse after trillions in bad loans were issued by greedy bankers. If you were a U.S. political figure, would you: “
“A.) Tell everyone to suck a lemon, and (maybe) let the economy implode.
B.) Fire the bankers who made the bad loans, prosecute the guys who broke the law and guarantee a portion of the loans in a grin-and-bear-it show of good faith.
C.) Reward the bankers who made the bad loans with billions of dollars in bonuses and guarantee every loan with U.S. taxpayer money (with interest, because we borrowed the money from China). “
Via The Street