Debt and Lack of Leadership Breakfast Links

Wow, I leave for the last part of the week to take daughter #2 to college and the buyers dry up. S&P is down another 8 points this morning. ($ES_F $SPY). Jobless claims were above 400k yesterday and I really can’t think of a reason to buy. FYI, there were a total of 7 passengers on my daughter’s flight from Chicago to Charlotte ($BAK) yesterday. 7.

Steven Moore writes a good opinion piece on why economics is so screwed up worldwide. Milton Friedman famously said all economics is micro. That’s why it is the tougher academic course. Less wiggle room. No “fairness” in micro.

Clearly, in the US Atlas is shrugging. Choosing between expansion or staying pat, businesses are staying pat. Or, cutting back. Soon they will just choose to go out of business.

Here is a bright spot in the economy. More regulators. Stigler won a Nobel Prize for showing the mathematical relationship between more regulation and its cost.

Several trades confounding traders. The Euro won’t break. Brent Crude won’t break. US Treasuries won’t break.

Maybe this is why we should stop funding NASA.

Peak solar. Solar power is unreliable.

I don’t know why Boehner and Reid are being lumped in for “lack of leadership”. I always thought the President was the ultimate leader of the nation.

  • donw

    I think businesses memories may be short, but not that short.  In ’08 commercial paper and sources for day to day funding dried up pushing businesses to the edge.  I think that may be a good part of the reason why businesses are carrying so much cash.

    • pointsnfigures

      That is a very good point.

  • Anon

    Treasuries won’t break because dollars need a home.  The safest place for dollars is treasuries.  Ask Bill Gross how he feels about selling the low tick.