Markets and EconomyAN UNUSUAL MACRO VIEW

The IMF meeting in D.C. is over. So what? Not so what. Because there are only two economies supplying demand in the world, the U.S. and China, (India is an export economy right now) something needs to be done for the weak sisters of the EU who are running double digit unemployment rates.
Europe has become the Alfred E Newman of Mad Magazine fame. "What, me worry? With the US growing at 5% and China at 7% plus, (with their currency pegged and linked to the dollar) there is no need to change anything in Europe." The rest of the world is "supposedly" growing at 4.6% and this is supposed to be OK with the ego maniacs in the IMF. Nobody mentions that 5% of a one hundred million dollar economy containing 50 million people is not the same thing as an economy of $11 trillion growing at 4.6% with 300 million people. Oh, and another very small thing; if China and the U.S. were excluded from the data the world growth rate would be close to zero. Or even a minus number. Two billion five hundred million growing above 5%, when you include India. The EU is sicker than anyone wants to see.

With the U.S. economy growing at about 5%, the manufacturing sector experiencing its fastest growth in five years, consumer confidence on the rise, new-home sales up 8.9% in March, Wall Street clocking up big profits and paying out-sized bonuses, smiles returning to the faces of Silicon Valley options holders and pricing power returning to board rooms, and the inflation rate now up to 2%, the G-7 ministers know that Greenspan will have to move rates up. Their hope is that he will do so later rather than sooner, and by tiny increments. They are likely to get at least one of their wishes. And so it goes without a peep regarding EU unemployment. The slobs still expect uncle sucker to cover their sorry asses.

Our markets? Still in a trading range in spite of all the data. Keep in mind that the "trading" of a billion plus shares each day is being done by gamblers looking to scalp a few 1/8ths and mutual fund fakers trying to look good by "locking in" profitable stock trading practices instead of buying stocks which pay dividends and passing these dividends on to their customers. Fuck them. Use your market generated info. Look for buying opportunities in new companies (not Google) with new products and hope the war in Iraq finally goes well. Rates will rise, and this is GOOD for the economy, especially for seniors with savings accounts. The JOBS number comes out on Friday and don't try to read the tea leaves.

Why stay out of Google? Use the search engine. Is it breaking? Do you get the info you used to get? Do you get result after result that is propaganda for the industry of company you are looking for? This is a company that will face big competition and will have to upgrade big time. Their news site is very poor and can't possibly compete with Yahoo as things are right now. This is an old company that needs a new model. Stay the fuck away from it. They need to pump a hundred million to fix their engine. Use Google to look up "9-11 Moms", a group that has been completely outed as a front for Kerry and the Left. You will see only praise for pages. This is what the "search tool" has degenerated into. Keep your hand on your wallet. Given a choice between buying heroin or Google I'd buy the heroin. At least with the heroin you'll feel good for a while.

Friday is another big day. I'll say 300,000 plus new jobs and don't let all the Lefties jumping out of windows land on you.