Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
INTEL Bargain Teck Stocks Trading at 15.5% Discount Sale - 7th Dec 21
US Bonds Yield Curve is not currently an inflationist’s friend - 7th Dec 21
Omicron COVID Variant-Possible Strong Stock Market INDU & TRAN Rally - 7th Dec 21
The New Tech That Could Take Tesla To $2 Trillion - 7th Dec 21
S&P 500 – Is a 5% Correction Enough? - 6th Dec 21
Global Stock Markets It’s Do-Or-Die Time - 6th Dec 21
Hawks Triumph, Doves Lose, Gold Bulls Cry! - 6th Dec 21
How Stock Investors Can Cash in on President Biden’s new Climate Plan - 6th Dec 21
The Lithium Tech That Could Send The EV Boom Into Overdrive - 6th Dec 21
How Stagflation Effects Stocks - 5th Dec 21
Bitcoin FLASH CRASH! Cryptos Blood Bath as Exchanges Run Stops, An Early Christmas Present for Some? - 5th Dec 21
TESCO Pre Omicron Panic Christmas Decorations Festive Shop 2021 - 5th Dec 21
Dow Stock Market Trend Forecast Into Mid 2022 - 4th Dec 21
INVESTING LESSON - Give your Portfolio Some Breathing Space - 4th Dec 21
Don’t Get Yourself Into a Bull Trap With Gold - 4th Dec 21
GOLD HAS LOTS OF POTENTIAL DOWNSIDE - 4th Dec 21
4 Tips To Help You Take Better Care Of Your Personal Finances- 4th Dec 21
What Is A Golden Cross Pattern In Trading? - 4th Dec 21
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - Part 2 - 3rd Dec 21
Stock Market Major Turning Point Taking Place - 3rd Dec 21
The Masters of the Universe and Gold - 3rd Dec 21
This simple Stock Market mindset shift could help you make millions - 3rd Dec 21
Will the Glasgow Summit (COP26) Affect Energy Prices? - 3rd Dec 21
Peloton 35% CRASH a Lesson of What Happens When One Over Pays for a Loss Making Growth Stock - 1st Dec 21
Stock Market Sentiment Speaks: I Fear For Retirees For The Next 20 Years - 1st Dec 21 t
Will the Anointed Finanical Experts Get It Wrong Again? - 1st Dec 21
Main Differences Between the UK and Canadian Gaming Markets - 1st Dec 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Financial Markets and the U.S. Orwellian Non Farm Payrolls Report...

Politics / Market Manipulation Feb 05, 2011 - 12:32 PM GMT

By: Jesse

Politics

Best Financial Markets Analysis ArticleThe weather ate the recovery.

Now we know why the Wall Street demimonde had been pimping the unemployment number as 'the key number to watch' as compared to actual jobs added earlier this week.  Although at the time they never really said why.


The weather was too bad for people to go to work, but it didn't matter when it came to registering for unemployment benefits. And over 500,000 unemployed people apparently disappeared in snow drifts, and are no longer counted in the labor force, thereby improving the percentage of remaining people who do not have jobs.   It's a shrinking denominator thing.

So, there are plenty of new jobs out there. The people just could not get to them because of the snow.

Even J. Bradford DeLong,  stalwart Democonomist from Berkley, was a little put out by this report.

"I want a trained professional to analyze this. It is not unusual for the series to do something odd around Christmastide. It is not unusual for the series to diverge. Not this much."

And Brad is not the overly fussy sort, because a few years ago he said that Alan Greenspan had never made a policy decision with which he disagreed.

The trained professionals trotted out on financial television say that this means that the recovery is here. Wait until you see next month's numbers. Yada-yada. And it is time to buy stocks.

Here is my own trained professional opinion of how to analyze this report, and Obama's economic policies in general.   We can't stop here. This is bat country!

O tempora. O mores. O Bernanke. O Bama.

From the Cafe commentary on 2 Feb:

"Now it is fairly well known that the unemployment rate is a less important metric, since people stop being counted as unemployed when no longer receiving unemployment benefits, or when they take a menial low paying job. And in a prolonged downturn you can therefore have improvements in the unemployment rate without any real improvement in overall unemployment like the labor participation rate and the median wage, which are the key indicators of a sustainable recovery.

So it makes me wonder what antics the government and the pigmen might have up their sleeve to rattle the swill bucket for mom and pop to get back into stocks, and most likely once again at a top."

Here is another trained professional opinion from another era:
"...there must be an end to a conduct in banking and in business which too often has given to a sacred trust the likeness of callous and selfish wrongdoing. Small wonder that confidence languishes, for it thrives only on honesty, on honor, on the sacredness of obligations, on faithful protection, and on unselfish performance; without them it cannot live. Restoration calls, however, not for changes in ethics alone. This nation is asking for action, and action now."

Franklin Delano Roosevelt, First Inaugural Address, 1933


By Jesse

http://jessescrossroadscafe.blogspot.com

Welcome to Jesse's Café Américain - These are personal observations about the economy and the markets. In providing information, we hope this allows you to make your own decisions in an informed manner, even if it is from learning by our mistakes, which are many.

© 2011 Copyright  Jesse's Café Américain - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Comments

JEK
09 Feb 11, 14:20
Market Manipulation

It is so frustrating to me to see what I consider to be clear market manipulation and then to hear it vehemently denied. I have come to the conclusion, that the essentials that used to drive the market have been replaced by a master puppeteer who is toying with market logic. Isn't that what Obama promised when he took office, stating that he was tired of Wall Street dictating what happens on Main Street. How better to accomplish that goal than to make the market irrelevant. How does one accomplish this? Easy, when you have hundreds of billions in a slush fund. When the news is bad, simply inject megabucks. When it is good, back off and regain some of the spent bucks from the bad news day. If all else fails, simply print more money.


B.
09 Feb 11, 20:08
Manipulation? Depends what you think QE does.

"They" tell us QE makes mkts go up and economic activity increase, why do folks believe them? - even very wealthy hedge fund managers - that's the manipulation. Mkts go up and the economy accelerates all because the central bank cash some folks out of the governments bonds? Now there's a tall tale......


Post Comment

Only logged in users are allowed to post comments. Register/ Log in