economic woes on Indianapolis 500

It is not just Chrysler that is in trouble. Sadly, economic woes on nascar and Indianapolis 500 have hit motor sports hard. Today, gasoline shot up to $2.75/gallon. It will not be long until gas is over $3/gal. That is double the price in January when it sold for $1.49/gal.

Things are running slow in the Speedway, and the checkered flag is not as happy. I believe that the false rally in the stock market created some euphoria, but in the real world, people are without jobs or ways to find new ones. The drop in the price of oil did fuel some speculation about an economic recover, but that hope is rapidly evaporating.

Not sure which automakers and part suppliers will make it to the finish line, but my guess is that cheap chinese parts will be the way of the future. All the govs plans to get things on track are now in trouble as the engine of america - GM cries out for help.

What will happen in Middle East?

Today, iran fired a long range missle (over 2000 km) that can hit israel and europe. I expect the current rise in gas price may cause grief as people see inflation kick in. Long term petroleum prices will increase, this cannot be good news for the stock market.

Future price of oil will go up. The smart money sees turmoil in the Middle East and so do I. This will hit you right in the wallet as gas prices increase.

Torture?

The geneva convention is clear that torture is wrong. The world we work in has been transformed. Debunkers first said they we did not torture anyone, that I was crazy. Then the story changed to it is not torture it is harsh interrogation. Finally, now they admit it did occur, but say it is necessary.

Folks, there is a point where you stop being good and turn to evil if you justify doing bad. The CIA Torture Program is real, and the debunkers are liars.

over 100,000 cases of swine flu in US

Schools are closing as over 100,000 new cases of mexican swine flu hit US. This is not my drill, this is reality. As expected the disease epidemic that started in mexico and move to america is now a global pandemic.

Please do not panic, this flu is killing less than 1% of the people who get it. However, those who do get it are very sick. Doctors report emergency rooms full of people. They say most of these patients are reporting flu symptoms. Respiratory therapists say that pre-existing conditions make victims of H1N1 virus more susceptible to complications from the mexican swine flu.

Please remember to wash your hands, avoid crowded areas, and eat a healthy diet to make yourself strong. Junk food makes you weak and germs from crowded places can cling to your clothes or other objects. Future of medicine is prevention of germs, not a cure.

Chrysler cars drop in price

Dealers are dumping Chrysler cars. OK, now debunkers claim that "everything is fine." Truth be told Chrysler car dealers are saying "everything must go!" And this at fire sale prices. Folks this is reality. Those debunkers that told you we were in an new economic recovery were wrong.

Future of work

What is the future of work? Ok jobs are being now DOWNsize and OUTsource to low cost venues. The days of high wage labor are over. Most jobs will be replaced by robots or by low cost labor from poor countries.

GM drops 1200 dealers

GM will get rid of Pontiac, Saab, Hummer and Saturn. These will join Oldsmobile and Plymouth in the ash heap of history. As for the the debunkers, they will continue to giggle and say - everything is fine.

General Motors Corporation will slash 1,200 dealers in its struggle to survive What we are witnessing is the last gasp of a dying dinosaur. When the GM bankruptcy does take place, many people will be thrown out onto the street.

Falling house of cards

Last year foreclosures were horrible, but this year foreclosure numbers are 32% higher than last year. In about a year over 20 million houses will be underwater. This means that the home owner owes more than the house is worth. The problem with debt is it works against you in a severe recession. Does that sound like economic recovery to you?

Sony lost a billion dollars because people are cutting back on expenses. It will start to close plants because the recovery is seen as a mirage.

What recovery?

Retail sales drop raise worries on economic recovery. Folks you have been sold down the river by some smooth talking banksters, the recovery is a mirage. To put it bluntly, I was right and the debunkers were wrong. Take a low at the dow dropping near 200 points today.

You cannot have a sustainable up trend in the market when earnings are down. People are being let go, and states are saying that sales tax and income tax shortfalls mean that they too must cut people. It is getting ugly out there.

GM execs dump stock

It was another down day for the dow on Wall Street. DJIA component GM shares fell to a 76 year low as execs dump stock. Get ready for falling stock prices as the false rally hits home. This is similar to the false rally of 1931. Do not get fooled into buying at an unwise price.

Do not believe the hype, our economic crisis is still here and median home prices fell nationwide this year. States complaining that sales tax revenue is down and income tax is falling. Sales are still falling, but unemployment is going up.

Credit Card losses hit banks hard

OK even as housing prices are still dropping, another cloud is on the horizon for banks. Credit card losses tied to unemployment are causing banks to grieve. I predict that US unemployment rate will go up over 10%. This means more foreclosures on houses, more repos on cars, and more defaults in credit. Sadly, our severe recession is getting worse.

new russian rocket

Before the collapse of the soviet union there was talk of a new initiative to go to the moon. Well, with a new russian rocket it might be possible. This rocket could land in an open field and does not have to land on water.

Sadly, our american NASA is being scaled back. There is no money to go to the moon. All the money is being used to bail out the banksters.

Truth about housing

In a move that will be long remembered for its foolishness, many claim the severe recession is over. I predicted that in the future I saw green pools and overgrown lawns. The so called "economic recovery" is not real. Things are getting worse. Banks cannot sell houses they foreclosed on. Future homes sales will be even worse.

Those who claim that all is fine do not understand that the unemployment rate is at record 9%, a 25-year high and climbing. At this rate more banks will fail and I predict it shall go over 10%.

What to expect

OK, skeptics say that our severe recession is over so we see an economic recovery. Well, I do not see an economic recovery in the near future, I see total financial collapse.

US retail industry is in record unemployment. Please remember that it is retail that created most of the jobs in the last ten years. The ghost malls are just around the corner - not prosperity.

Farm subsidy cut

Obama will cut payments to farmers. This is important because agricultural products are one of the few things US exports. It is not computer chips made in the Silicon Valley that keep US afloat it is corn chips from Obama's home state of Illinois.

US is world's breadbasket, but if farmers go under it could be the end of the US. Those little green pieces of paper we are printing are backed up with a promise of food. Much of the world depends on US for food, as we are the Saudi Arabia of corn.

Future funny money will face inflation when people find that food prices are going up. It is these agricultural subsidies that keep alive the family farm, but as they disappear so will food off the grocery store shelves.

real flying car

Let's take a break from bad news. The Terrafugia flying car is a roadable airplane and it is real. The vehicle can fly as well as go down the highway. No longer science fiction, it cost $200,000 and what can I say. The future is here.

The great drying

Climate change causes water shortage in Colorado River by 2050. I predict that global warming will make the US more desert like as we move into a hotter and dryer epoch. Millions of acres of crop land and over 50 million residents depend on water taken from the large Colorado River basin, but it is going dry.

Lack of water will force people to move out of deserts regions. I believe John Titor spoke of scarcity of water being a big problem in 2036. Desertification will continue as our warm wet world turns into a dry dystopian desert.

Dollar stores doing well

In Japan during the lost decade after their real estate bubble, the 100 yen stores did well. OK so our dollar stores are doing well. During the Great Depression, dime stores where items sold for a dime did well. There is a pattern here.

Both Dollar General and Dollar Tree are opening new stores. This happens while malls are closing and we enter the "ghost mall" era. Time be a changing, and not for the better.

In other news Warren Buffet says inflation is on the horizon. This cannot be good news to seniors living on fixed incomes. I predict that gold will go up, and the dollar will go down.

GM follows Chrysler

GM will soon follow Chrysler into bankruptcy. Sadly, even the most bullish analysts see an uncertain future for General Motors. This company has already lost {Saturn, Hummer, Buick, Pontiac, Saab, and Opel} This means more workers will lose jobs are the american automobile industry implodes.

Today President Obama said "we simply cannot keep this company or any company afloat on an endless supply of tax dollars." How true. I predicted that this would take place back in 2005. Well, you are now seeing GM go under. Expect unemployment to skyrocket as he nation's industrial base falls apart.

more schools close due to flu

OK as mexican swine flu numbers grow at an exponential rate, we are seeing more on 430 schools closed in a desperate attempt to slow down the epidemic. Approx a quarter million students were sent home. The potential for a pandemic is growing and our fragile financial future could be shattered.