Third Post

Friday July 6, 2012

The world is down again. This time on a "surprise" low jobs report.

Every time a company announces they’re laying off hundreds of workers their stock goes up as they are streamlining operations and becoming more profitable. The whole point of the "austerity" kick is to get rid of workers ( cut costs ya know ). So, every time a jobs report comes out there are less people working.

Where is the surprise?

China and England cutting rates did nothing for the market. Again, no surprise.

What the market is waiting for is some sign that someone is willing to actually underpin the Euro - to guarantee that when the Italian gov’t, for example, sells bonds in Euros they will be paid back - first, at all, and second, in Euros not Lira or whatever is the applicable currency.

The market is still willing to go up given even half a chance.

This must be what they call a "bull" market: any bull will send it higher.

However, no one is waiting to give their money to the bottomless pit. So, certainty, certainty ...didn’t that go off the air about a decade ago?

In life I’ve always found that when a system is ridiculous it’s because the people who set or use the system are making money on it. Obviously, the volatility that is created by all these imagined, rumored and manufactured economic situations is making someone somewhere very rich indeed.

The raft of lawsuits because someone rigged something somewhere cause issues of their own. First, anyone who is doing this and assuming that it ISN’T rigged is just silly. Second, the crash of the market that is created every time another crime is "discovered" does nothing to help the economy.