Expect Government Spending to Goose Stocks
Today I want to talk about the short-term outlook for the market, but before I do, let me say that it still amazes me to listen to the gross contradictions coming out of the mouths of our lawmakers. If I thought they had a clue, I'd ascribe these comments to a perverted cynicism, but I don't think they have a clue.
Take, for example, Rep. Chris Van Hollen (D., Md.), the top Democrat on the House Budget Committee. He says that budget cuts would be "bad for job growth." Yet in the very next sentence he says "there's no disagreement on the need to reduce the deficit." Well, budget cuts are deficit reduction, so how do you say one thing is bad, yet the other is good? The statements are not only contradictory but completely irrational. That's the real frustration in all this. We are in the grips of an irrational dogma, and I've often said that an irrational belief system is like a disease within a body: If you don't eradicate it, it can kill you....452 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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