Shared Sacrafice

The price of Gold and silver soars while all investors try to move their money to safer stocks.

http://www.washingtonpost.com/business/markets/gold-silver-surge-as-investors-take-their-money-out-of-riskier-assets/2011/08/08/gIQAje1q2I_story.html

So today Dow closed down 634.76 points  I think that has got to be one of the largest drops in history.  No matter how they try to explain it away it basically comes down to the fact that there is no confidence in America's ability to survive this President.

It's not that the our current President is a bad president, ineffective maybe, but not bad.  While I can say I don't agree with his handling of the economy and dealing with Congress, but I can say I understand.  Obama was never meant to win the Democratic Nomination let long the election.  So when he won he stepped into a Congress that basically was not ready for "His Style of Leadership".  This is evident when you hear people asking why he didn't get more passes when he had a Democratic Congress.  Congress was not ready for Mr Obama!

Regardless of his ineffective leadership and having half the Congress stating that their only mission is to get him out of office and see that he was a one term President, he could have still been a little more assertive.  He appeared to come to the table already in a position to compromise instead of pushing the American Agenda which widely known, it's JOBS for those that haven't been keeping up.

This only facilitated the crazy conservative right in their mission to see him fail "By Any Means Necessary", well that got half of what they wanted.  Now the world has no Confidence in our government ability to do their job, but they missed the even bigger picture.  They were trying to kill Medicare, Medicaid, Social Security and other government programs designed to help those that could use a help in lieu of easing the burden on Corporate America and the wealthy. 

So when they passed the Debt Ceiling bill they though they had a victory.  Then it happened, all the threats about the countries credit rating and confidence in America became obviously clear, no one was satisfied with the state of America.

So for every action is an equal and opposite reaction, ask Newton about that one if you don't know.  What was the reaction:

• Gold has nearly doubled in price since the start of 2009
• Bank of America’s stock, down nearly 18 percent to $6.72 shortly before 3 p.m
• Ninety-nine percent of the 500 components in the Standard & Poor’s 500 index are down
• Alcoa, Caterpillar, Bank of America and J.P. Morgan Chase are the biggest losers in the Dow Jones index
• Bank of America down 20 percent, Citigroup down 17 percent, Goldman Sachs and J.P. Morgan Chase down about 9 percent and Morgan Stanley down 14 percent.
• The VIX, an index of market volatility known commonly as the “fear index,” spiked to more than 42 points

No one has jumped out of a window....at least not yet or that I have seen, but they are hurt. So we now have Shared Sacrifice.  The Market is down so Wall St is unhappy, which in turn effects Business Stock due to the wild sell off which in turn get the attention of the stock holders.  So now everyone is sharing in our inability to govern our country.

And it gets better AIG is suing BofA for the mortgages and the European economy is so crappy they have to consider whether they want to continue to use the Euro.  When the economy is so bad that you start eliminating currency that's a big thing.

And why all this you may ask? 

Simply because Congress didn't want to get rid of the Corporate Jet Tax when this country is suffering or the Oil Subsidies during a time when they have record earning or get that 2% of the country to pay a little more.  So as I sit down and watch the mayhem unfold I'm reminded that those who struggle from day to day will continue to struggle and yeah it hurts a little more.  With the loss millions of dollars over the past week and a half they would have been much better off had they push for their Congressional lackeys to go for the big deal.

Shared Sacrifice gotta love it.