The Only Way the Republicans can Win in 2012
With durable orders down today the pressure is turning up on the air waves for the Fed to get QE3 in place. The S&P is flirting with the important 1315 area and getting ready to do a spin down to the longer-term support level at 1185. Insiders are selling. We are on the edge of turmoil. If we could see inside the markets we would probably see that the Treasury/Fed’s emergency stock buying program is trying to hold a backstop operation at the 1315 level like they successfully did at 1050 level in September 2010.
The Republicans best shot is to push for a depression and keep the Fed on hold. Then they can pin the blame on the Obama Administration. They are probably not that smart and will push for more inflation also. So watch the markets to see what happens as the S&P SPINS DOWN TO 1185.