C.R.E.A.M. - Bailout is Failing

After falling nearly 700 points within the first 30 minutes of trading, the Dow Jones industrial average regained some ground, but continued to bounce between positive and negative territory. It is down about 5.8 percent, or 498 points around the noon hour. It fell below 8,000 briefly today for the first time since March 2003 after falling below 9,000 for the first time since June 2003 yesterday.

The broader Standard & Poor's 500 fell 6 percent and the tech-heavy Nasdaq fell 5 percent.

Wall Street is facing deepening fears about the financial crisis and its spillover to other parts of the economy. Traders have shrugged off drastic government efforts to address the problem, from a global rate cut to plans to buy bank's toxic mortgage debt. The Bush administration is now hammering out the final details of a plan that would allow the government to inject cash into banks in exchange for ownership stakes.  Read Article Here.

Bush Wants Decisive Action...Again

Appearing drawn and frustrated, Bush said in remarks at the White House that this is a "critical moment" for the U.S. economy. He noted that yesterday's single-day loss on the stock market, estimated at more than $1 trillion, was greater than the highest estimated cost of his administration's bailout plan.

"The consequences will grow worse each day if you do not act," Bush said, addressing dissident lawmakers. He added a moment later: "Our economy is depending on decisive action from the government...This is what elected leaders owe the American people."

"Our country is not facing a choice between action and the smooth functioning of the free market. We are facing a choice between action and the real prospect of financial hardship" that will be felt across the board, Bush said.  Read Article Here.

I am glad that Congress stood up to Pres. Bush and his cronies.  The last thing that the nation needs is decisive action without fully understanding the long term consequences.  Isn't decisive action what got the US in Iraq? Afghanistan? Illegal Wiretaps? The Patriot Act? This mess in the first place?  To quote Mr. President, "fool me once, shame on—shame on you. Fool me—you can't get fooled again".

Fence for Nothing

The officials, speaking at a Congressional hearing and in interviews, brought to light the latest in a series of problems confronting the effort to more closely monitor the border and stop people from crossing it.  Full Article Here.

I think that this whole border wall/fence is stupid.  If for no other reason immigration helps our economy and is actually more of a strain on the Mexican economy.  The best and brightest are usually leaving so it drains their economy of the ambitious and intelligent, and helps boast ours.  Hopefully with either candidate this idiotic project will be stopped.  Its good to know it is, at least currently, out of money.

Pretty Much What We All Expected

Here is a shock: the Bush Interior Department is corrupt and in bed with the Gas Companys.

The investigation separately found that the program’s manager mixed official and personal business, and took money from a technical services firm in exchange for urging oil companies to hire the firm. In sometimes lurid detail, the report accuses him of having intimate relations with two subordinates, one of whom regularly sold him cocaine.

The culture of the organization “appeared to be devoid of both the ethical standards and internal controls sufficient to protect the integrity of this vital revenue-producing program,” one report said.  Read Article Here.

I think the sex and cocaine part is a nice touch.  I think this could help Obama's demand for change and that the government is on the wrong track.