Putin Calls Obama?

A lot has been made of the call that President Putin made to President Obama yesterday.  The media is claiming that Putin called Obama to discuss ideas about how to peacefully resolve the standoff in Ukraine.  However, my sources indicate that Vladimir Putin had simply dialed the wrong number.  He really was trying to dial Wen Jiobro, Chinese Premier. 

GM Halts Sales of Chevy Cruze

What's up at GM?  It has just announced today that it has instructed dealers to stop selling 2013 and 2014 Chevrolet Cruzes.  The unsettling aspect is that GM gave no reason for the halt.  Could it be the massive recall due to the ignition switch problems, linked to at least 12 deaths, or the potential bankruptcy fraud?  By the way, whatever happen to those Chevy Volts?  Are they still around, or did they all catch on fire?  The last I heard about the Volt, besides catching on fire, was that GM was losing $59,000 on every one sold.

$SLV's Critical Price Support Remains at $18

Stock Market Prognostication

 

Those of you that have been following my blog for several years know that I consider September 13, 2015 as a potential date for an economic/financial meltdown for global financial markets. (Go back and read my blog from November 19, 2012 entitled, “Mark this Date for Potential Economic/Financial Disaster.”)  September 13, 2015 marks the end of a “Shemitah (Sabbatical) Year”, which occurs every seven years and starts on September 25, 2014.  By the way, the greatest stock market crash, point wise, occurred on September 29, 2008, which was at the end of a Shemitah year.  Also, the stock market crash caused by the events of the infamous “9/11” tragedy occurred on September 29, 2001, which was at the end of a Shemitah year.  By the way, all these market declines occurred at the “end” of a Shemitah year.  Are these dates all coincidental with severe financial market crashes?  I don’t think so!  You may want to do your own research on what is meant by a “Shemitah Year” and its significance. 

What is very interesting for the upcoming Shemitah year is that it ends on September 13, 2015, which is the same date of a partial “lunar eclipse” and Yom Teurah.  Why are eclipses significant?  Usually, they portend to significant global events.  I guess a major stock market crash would be considered a significant event.  Also, from a Scriptural perspective, Genesis 1:14 states: “And Alahim (God) said, Let lights come to be in space of the heavens to separate the day from the night, and let them (moon and sun) be signs and appointed times, and for days and years.”  As a matter of fact, 2015 has three lunar eclipses [April 4 (Passover), September 13 (Yom Teruah, or Rosh Hashana), and September 28 (Sukkot)] and one solar eclipse on March 20. 

Will this prognostication of a market collapse occur?  Who knows, but at least we will know by the end of 2015.

Do You Know the "Net Worth" of the U.S. Government?

According to the "Government Accountability Office (GAO)," the U.S. Government has a "net worth" of a minus $16.91 trillion.  The U.S. Government's assets in 2013 amounts to $2.97 trillion, which includes cash, financial assets, land, highway system, etc.. Its liabilities amount to a total of $19.88 trillion, which includes the national debt and loan guarantees.  If the U.S. Government was a household, its FICO score would  be 350.  But then again, no one seems to really care about the underlying financial health of our country.  In other words, none of this economic/financial rants matters to anyone until, unfortunately, it matters to everyone.

The Process of Addition Under the Common Core Curriculum

Now, let me see if I understand this new math curriculum under the "Common Core." In the above example, we all know, hopefully, that "7 + 7 = 14."  However, according to the above example, that second "7" is allocated between two numbers, "3 & 4."  Therefore, one should then add the "3" to the original "7," which yields "10."  Then, add the "4" to the "10" and arrive at 14, which is the correct answer.  I believe I fully understand this new math curriculum.  Saying that, I will go ahead and stick with the old way of adding two numbers together.  What about you?

Comparing the 1929 Blemish to the 2014 Giant Pimple

Are You a Sub-prime Borrower? Hopefully, Not!

According to the Corporation for Enterprise Development (CFED), 56% of Americans have a sub-prime FICO score of 660 or lower.  In 2006, the percentage of Americans with sub-prime FICO scores was 48%. 

A FICO score of 660 or lower is just one measure that is used to identify a sub-prime borrower.  Other measures used to identify these sub-prime borrowers are as follows:

1. Two or more 30-day delinquent payments in the past 12 months, or one 60-day delinquency in the past 24 months. (In other words, don't miss that credit card payment!)
2. A foreclosure or charge-off in past 24 months.
3. Bankruptcy in the last 60 months.
4. Qualifying "debt/income" ratio of 50% or higher.

FICO points system ranges from 300 to 850.  The following categories indicate what those ranges are from "Poor Credit to Excellent:"

1. 350 to 619: Poor Credit
2. 620 to 659: Sub-Prime Credit
3. 660 to 720: Prime Credit
4. 721 to 750: Prime Plus Credit
5. 751 to 850: Excellent Credit.

Point & Figure Chart Look of Silver ($SLV)

SLV's Exponential Moving Averages Are Still Bearish

Lemmings Love This Market

Investors are currently more invested in risk assets (stocks) than at any time over the past 34 years, inclusive of 2007.  And, we know what the investment strategy of small, retail, investors is.  That is, buy high and sell low. 

No Bears Here!

The following chart definitely reflects that all those lemmings (BULLS) see no economic and/or financial problems on the horizon.  In other words, there is not a bear to be seen.  According to those bulls, the only thing to do is "BTFATH." If only investing was that easy.  Then again, it has been for the past five years. However, all those so-called gains are delusional, at best, if you are still invested in this irrational market.

GM Channel Stuffing

How do you increase profits? If you are GM, you simply "channel stuff," which means that you book a car sale when it leaves the factory on its way to a dealer.  Now, that car becomes the dealer's problem by increasing its inventory of unsold cars.   As of the middle of February, 805,769 cars were in dealers' inventory, which is the largest ever.  Good luck in selling all those cars.  (See the following bar-graph.)