stock_creeper's  Instablog

Falling home prices and job loss is still good for economy by giving Bernanke a good excuse to never raise rates again. Mainstreet's loss is the economy's gain. Web 2.0, social media, and service sector is where the growth is. The jobs lost between 2007-2010 are never coming back, but the economy is better off without them. Smart is the new rich. The creative class is leading the transition to a productivity, globalist type one civilization where you can have dow 20,000 and record low labor force participation, where the rich will keep getting richer, where the wealth gap will widen to levels never before imagined, where every penny hoarded will be circulated into the economy, if by not by choice but by necessity due to perpetually rising living expenses and inflation lagging wages.

Lets hope those jobless claims start getting worse again, that gas hits $4.4 gallon, that unemployment hits 9% so that Obama's odds of losing are higher than they already are.

I predict today we will start seeing a divergence from Obama's approval rating and stocks. Thanks to increasing angst from mainstreet attributed to perpetually weak job market, Iran tensions, falling home prices and surging living expenses, Obama's polls will begin a steady decline, but stocks will keep surging, thus debunking the liberal assumption that stocks are giving Obama a vote of confidence. It's good that Americans feel increasingly pessimistic and divided about the economy, about their children's future, and political process because too much optimism is bad for stocks. In 2000, for example, optimism was at historic highs and we all know what happened next.

Wall St. would prefer to have Obama lose, thus adding fuel to this huge bull market in anticipation of an increasingly likely Obama defeat.