Emerging Markets vs. U.S.Markets

Good news from multinationals about their emerging market performance is lifting stocks this morning. Three M and Caterpillar both are boasting about sales and are lifting prospects about their emerging markets stakes. Both companies are not optimistic about U.S. domestic sales. Asia is where the jobs are being created.Our job market is being sucked lower because of the industrial revolution over there and the following creation of the new Asian middle class. Industry here is moving jobs over there. Our middle class is disappearing like the jobs.

This will put enormous pressure on the financial system here because of the huge debt load that has to be serviced. Also race, gender, cultural relations will heat up because of immigration,affirmative action and entitlements that are part of the non-competitive business paradigm that exists in U.S. Let's also not forget the roving lawyers with their monoply and cartel powers that make doing business in America such a crap shoot. But the biggest threat will come from the approaching trade wars

"Too Big To Fail ": Not True

When a politician says ," It's too big to fail", what he means is ," My part in the scheme of central planning has turned up another losing result that if allowed to fail will cost me and my fellow politicians our jobs. ". Like the communists, socialists and aristocracies of ancient history the U.S. has become a costly central planning nightmare.

" It's too big to fail" also means we are too lazy or too dumb to change. " Too big too fail" also means that money is the ultimate goal. And so today the Federal Reserve announced an additional $800 billion bailout and government guarentees . This is targeted to backing credit cards, student loans and toxic mortgage purchases. And how will the government pay for all this? The printing press will be smoking.

It's not that easy. The outcome will be a falling dollar and at some point hyperinflation will come around. The foreign buyers of our debt are already looking elsewhere.