The Market On Monday

Good morning. It is 75 degrees and sunny here in Upstate NY. I hope you had a good weekend. I hope everyone that had a birthday this last weekend, enjoyed the comforts that festive occasion can provide. Everyone is enjoying the sunny weather including our rescue cat Tra-la who has now made the screened in porch her favorite spot. She stealthily sits there and imagines herself pouncing on chipmunks.

At 7:55 a.m. futures are so low they may cause fainting, oil is down, and the dollar is mostly up. The trifecta for a percentage point or two or three drop at the opening bell is in.

The investment journalists are pointing to debt fascination or is it rumination as the source of today's futures stinker. There is debt in Europe, debt in the USA, everywhere there's debt.

Somewhere along the line Obama will raise the debt ceiling. The last chance option where the GOP disavow any culpability seems more and more likely. Something must happen, obviously. The GOP method of slashing and burning will force the country into more recession. Its very simple. Contraction is not an option right now. Part of the GOP's strategy is to further tank the economy and help guarantee Obama's demise in 2012. Don't forget that an authoritarian is willing to undertake any means necessary in order to assume power. Hey if a few more million go unemployed and a few more million find themselves without enough assets to retire, well that isn't a problem. That's just the type of sacrifice that needs to be made for the good of the GOP.

CNN: Stocks: Under pressure from debt worries

...gold, which hit a new intraday record high of $1,602.50 an ounce in early trading.


Late Friday, European regulators said 8 banks will need 2.5 billion euros ($3.5 billion) to survive a serious downturn, and that 16 other lenders passed but should raise more money.