Tuesday, May 1, 2012

FIVE BANKS FAIL


Five banks have failed in the worst banking news since April 2011.  Palm Desert National Bank, Plantation Federal Bank, InterBank, HarVest Bank, and Bank of the Eastern Shore have gone under, bringing the total number of bank failures under Obama to 411. 

COMMENTS:
This is another in a growing and ominous pile of indicators that add up to a painfully bad economy lurking just around the corner. Everyone needs to pull in their spending horns.   

TODAY’S QUERIES & ANSWERS:
Q. I read over the weekend that orders for durable goods are down, but that the Fed may be printing more money.  Won’t that just fuel inflation on top of all of this bad economic news?  (Gary ~ Phoenix, AZ)
A. Yes it will, and most economists are saying that is the worst thing that could possibly happen right now.  We have continued high unemployment, under-employment and lowered incomes; inflating prices will worsen the crisis.  By the way, Goldman Sachs is now forecasting more layoffs and less hiring.  Someone in Washington is not doing a good job of managing our way out of this situation. 

Q. Another environmental expert has come forward to say he misled the world on global warming and wants to apologize.  He says Al Gore has it wrong, too.  What’s your opinion?  (Zula ~ San Jose, CA)
A. We don’t understand the climate and what makes it tick, so how can we forecast global warming or cooling?  Al Gore is the only global warming advocate left, land he’s full of hot air. 

Q. The Obama Administration has again defied Congress and is releasing $147 million in Palestinian aid.  Obama is also doing everything he can to prevent Israel from attacking Iran, including caving in and allowing Iran to proceed with its nuclear program.  How much more of this is Israel going to take?  (Don ~  Palm Desert, CA)
A. Look for an Israeli strike before the November elections, contrary to Obama’s demands.  This is very dangerous diplomacy built solely on a foundation of unprincipled politics.  

TODAY’S QUOTE:
Climate is what we expect, weather is what we get.” ~ Mark Twain

TODAY’S VIDEO:  


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