Maybe the Economic Solutions are Straight Forward and Simple

To me it would appear that the macro factors pushing inequality and a weak economy resulting in declining purchasing power for the middle class on down are:

1. Technology eliminating  jobs…
2. Global job transference to cheaper offshore labor…
3. Inadequate Employment Transition Education Programs…
4. FED policy trying to make up for weak Congressional Fiscal action…
5. Federal Tax policy that in focused on trickle down economics rather than grass roots initiatives …

So what can the average person do?   The 2016 Election process starts next Monday in Iowa, Vote for candidates that will:

1.  Seek Radical changes in educational funding…

2.  Seek Radical changes in tax policy…

3.  Seek a complete shakeup of the Washington establishment..

3.  Then combine those factors and seek a Domestic Employment Initiative on the Scale of WWII reconstruction like the Marshall Plan for the U.S.  As Wikipedia says  “The aftermath of World War II was the beginning of a new era”  We will need to have a new era in the U.S. and Global economy after the next two years reset.  The new President and Congress in January 2017 will have their hands full.  The problems that the US faced in 2000 and 2007 were not the kind of problems that a FED who was providing cheap money could solve with even cheaper money.  These problems needed to be, and now have to be, solved by Fiscal Initiative.  The changes needed to overcome the dislocations created by Technology and Globalization have to be overcome.

And on the markets this morning, a big surprise by Japan overnight, going to negative interest rates.

So what do we see Wall Street do to try and save their baked in scenario of higher Stocks and Oil, and lower T-Bonds and Currency.  Well they have opted out of trying to mess with the big markets because the forces are to strong. That means T-Bonds and the Dollar are up strong, kind of destroying the Wall Street story.  On the other hand this is the last trading day of the month, so Stocks and Oil are being bid up to make the monthly numbers look better.  Deflation and a weak economy are consequently being ignored.  You know what that means for us to do.