Huge Market Correction Coming? Oil Headed Lower?

     A few months ago I predicted that the DOW would experience a several thousand point pull back within the next year, and it appears that may be around the corner, as the market dips over 229 points at the time of this writing.  Many are giving reasons such as; the market is getting ahead of itself, or the earnings are good, but not great.  The reality is what most of us know, and feel, and that is the economy has never really recovered to anything that resembles the recent past.  So why would the market surge from just over 6000 to over 15000 during Barak's administration?  Quoting Alan Greenspan, 'Irrational Exuberance'. 

     When we see companies like Cisco laying off workers, and Walmart missing earnings estimates by a couple billion dollars, it is a sign that things are much worse than the market has shown.  Our government has been printing money as if it really did grow on trees, but none of it has made it to the lower-end consumer.  Jim Cramer of CNBC said, "We have to deal with the four walls of the corporate canvas, and they are simply not able to turn this macro positive into micro earnings gains."  This from the former hedge fund trader who is never shy about sharing his opinion.

     If I was to make an educated guess, I would say that the government paper that is entering into the economy through the banks, is actually flowing from the banks into commodities and other hard assets.  The banks have been unwilling to lend to the average consumer, and it is well known that banks don't like to leave money just sitting pat, so oil and other necessities of life seem to be the only good investments.  The chart to the left shows that since Obama took office, when government spending began to skyrocket, the price of a barrel of oil went from $66 in January 2009 to over $107 today.  

     With my own money, I would put it in Gold, Silver, or another hard currency.  The longer we put off the needed huge correction, by voting in huge spenders, the worse it is going to be when we are forced to face the reality.  Think of your kids.

By Jeffrey Brandon Lee

Quote of the Day: Earl of Darthmouth and Samuel Adams

Quote of the Day:
From: Paul Revere's Ride
by David Hackett Fischer

"Keep the measure secret until the moment of execution, it can hardly fail of success...Any efforts of the people, unprepared to encounter with a regular force, cannot be very formidable."

-Earl of Dartmouth to General Gage







"We may all be soon under the necessity of keeping Shooting Irons."

-Samuel Adams to Stephen Collins

Quote of the Day: Charles Stanley

Quote of the Day:

Dr. Charles Stanley

"Colossians 3:15 urges you to 'let the peace of Christ rule in your heart.' Regardless of the pressure you may feel, wait for peace.  You may seek confirmation from others, but be careful that their confirmation is in keeping with what God has said in his Word.  Perfect peace is God's verdict when you have His mind and His way.  Don't budge until you get God's peace.  This is the final confirmation of a wise decision."

Baghdad, Iraq: Not the Peace Obama Promised

     We were told by the incumbent administration that the violence in Iraq was because of the mistreatment by our soldiers and our 'occupation', but the murderous last month in Baghdad would suggest otherwise. Once again, we have Al Qaeda claiming responsibility for 'scores' of deaths achieved through bombing and IED's.  So where is the peace we were promised once we left the region?  Is an Iraqi life worth less, now that Obama said they're living in peace now?

     Once again, as in Egypt, we have extreme Muslims blowing up their fellow countrymen on their holiest holiday.  The Iraqi government will have only one choice, and that is to react to this kind of action the same way as Saddam Hussein did, and it appears they're doing just that.  As one reported writes,"Maliki said security forces had arrested more than 800 suspects and seized large amounts of explosives and weapons since the security campaign started last month."  I'm sure the Iraqi government is going to treat these prisoners the way the American government would, and would never torture them to get information.  Yeah right.

     The Obama administration has made a huge mistake in nearly every action they have taken in the Middle East, and the main reason for this is their lack of understanding regarding Islam.  When facing a militant foe, you must use the same or greater force to contain them.  We in the 'West' will never be able to sit down with radical Islam and negotiate a peace.  The only option is to contain and pray for the second coming of Christ, which will bring the peace we desperately need.

By Jeffrey Brandon Lee

     

Egypt and Radical Islam's Bloody Quest

     As our President Barak Obama touted that he had brought peace to the world, especially Egypt and Libya, the reality is much darker than this.  History has shown us over and over again that when Muslim extremists are empowered, or take power, they will not relinquish it without a bloody end.  This is precisely what is happening in Egypt.

     While some in the press want to label today's violence with titles such as the AP's Hundreds reported killed as Egypt smashes protests, the reality is found later on in the same article.  Interviewing a Muslim Brotherhood fighter, on the way to attack the police, the author quotes the combatant as saying,  '"If I have to die, I will die," said the father of one child carrying several bottles of beer he said he intended to use as firebombs.'  FIREBOMBS!  Does that sound like a person who is engaged in peaceful protest?  The news media is in a constant battle to defend the Muslim extremist in a futile attempt to pacify them, but as the protesters once shouted, "We are all Osama, Obama.". 

     The sad, but true, reality is that there can never be peace with someone who's religion will not allow them to live peacefully with other religions.  They may quiet down for a period of time, while methodically planning out their next step, but in the end they will strike again!  

     In the 13th century Marco Polo witnessed the fanaticism that is Islam, when a young Muslim ruler pointed to a man on a minaret tower and motioned for him to jump.  The young man jumped to his death without a second thought.  The young ruler went on to tell Marco Polo that they cleverly brainwashed the young Bedouins into believing in 70 virgins, and a heaven of milk and honey, if they would submit to their authority. So NEVER let the news media trick you into thinking this is a modern development of the Muslim faith, because the reality is moderate Muslims are the exception, and not the rule. 

By Jeffrey Brandon Lee