No Wonder There is "Uncertainty," When the Government Controls Everything. Who Knows What's in the Mind of a Control Freak.

The problem with a Weekly Market Commentary prediction is that it does not include or focus on the POLITICAL CLIMATE. It is not just about the Federal Reserve or the Interest rates. Clinton who was president in 1992 was not Obama, the socialist, who is trying to spread the wealth; therefore, depleting the wealth of the country. 

We cannot just look at the Federal Reserve's balancing the interest rates back and forth as the markets will do that automatically, with or without the Federal Reserve. Supply and Demand has always provided the balance. We can't say "Oh, Look, the market went down and then it went back up again, in years passed, and it will do it again."

The question is: When will it bounce back.  It's really a no brainer. 

That time will come when Obama is no longer in power and all of his government regulations prohibiting private company growth are gone. I don't mean the ethical regulations governing out of control financial institutions. I mean the over reaching and under handed bureaucratic arm of the government in their desire to control every cent that every American can spend and on what they can buy.  Big brother government standing on top of you with all of his weight.

What the financial weekly stock market commentary fails to address is the politics driving this economy.  Obama is blindly and mindlessly letting Pelosi and Reid run amok.  The market will never EVER get better if Congress and the White House doesn't Stop Spending.

In 1992, Clinton did completely the opposite of what Obama is doing now to the country. "Uncertainty" will not last if the government allows the economy to grow through capitalistic means by way of the private sector.  Clinton did this. 

But while Clinton was in office, The Federal Reserve regulated the housing financing crisis http://www.federalreserve.gov/pubs/frseries/frseri.htm.

The government had regulations in place to protect citizens from destructive financial practices; but the government changed the regulations to a more socialistic policy trying to give all Americans a way to buy a home, even when they financially could not qualify for the loan; thus the foreclosures we have today.

The government does not regulate itself and adds to the economic crisis; thus, the Tea Party

movement to regulate the government. Our country's 'checks and balances.'

Obama and his policies makers are preventing the private sector from growing by taxing them and using the monies to 1) buy union voters, so this government can stay in power; 2)  increasing government and union jobs. 

There will be no growth with tax increases on the private companies who need the money to hire workers. The workers who won't feed off  the government; but who will put money back into the government and the economy.

Presently the ever increasing  government and union workers are making twice the salary and pension of private sector workers. http://www.usatoday.com/money/economy/income/2010-08-10-1Afedpay10_ST_N.htm

Ditto Greece's problems.http://www.ocregister.com/articles/school-242056-teachers-capistrano.html  Too many promises from the government to pay higher salaries and pensions until the tax dollar ran out. Unions feel they can get more money from an empty coffer by burning buildings and killing people....the wrong people. 

THAT WORKS!

http://www.foxbusiness.com/markets/2010/06/29/greek-unions-strike-pension-labor-reforms/

Presently we have a government who is not cutting spending; we continue to be growing our debt. 

No wonder there is "uncertainty" when the government controls everything. Who knows what's in the mind of  a control freak.
 

The stock market will not grow under these political conditions and I don't care if the Federal Reserve Chairman tinkers around with the interest rate until the cows come home.


  The Clinton Presidency: Historic Economic Growth http://clinton5.nara.gov/WH/Accomplishments/eightyears-03.html President Clinton’s Record on the Economy: In 1992, 10 million Americans were unemployed, the country faced record deficits, and poverty and welfare rolls were growing. Family incomes were losing ground to inflation and jobs were being created at the slowest rate since the Great Depression. Today, America enjoys what may be the strongest economy ever. In 1993, President Clinton and Vice President Gore launched their economic strategy: (1) establishing fiscal discipline, eliminating the budget deficit, keeping interest rates low, and spurring private-sector investment; (2) investing in people through education, training, science, and research; and (3) opening foreign markets so American workers can compete abroad. After eight years, the results of President Clinton’s economic leadership are clear. Record budget deficits have become record surpluses, 22 million new jobs have been created, unemployment and core inflation are at their lowest levels in more than 30 years, and America is in the midst of the longest economic expansion in our history.