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Daily Archives: June 20, 2013


Economic Statistics for 20 Jun 13

Here are today’s statistics on the state of the economy:

Initial jobless claims jumped 18,000 to 354,000. The 4-week average rose 3,000 to 348,250. Continuing claims fell 40,000 to 2.951 million.

The PMI Manufacturing Index Flash rose 0.3 to 52.2 in June.

The Bloomberg Consumer Comfort Index was -29.4 last week, the least negative in 13 months.

May Existing Home Sales rose 4.2% to an annual 5.18 million, a rate that is 12.9% higher than a year ago.

The Philadelphia Fed Survey shows a huge jump in June from -5.2 to 12.5.

The Conference Board’s index of leading indicators rose by only 0.1% in May, suggesting flat economic conditions six months from now.

~
Dale Franks
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Remembering the promises, looking at reality

You remember the grand promises a certain candidate made in 2008.  And in the area of foreign policy he told us how huge a mess it was and how he was going to clean it up and how the world would love us again.  He was going to “reset” relations with Russia and get us out of all these wars.  Oh, and of course, solve the problems in the Middle East.

Yeah, that was then and this is reality:

The [Middle East] is unraveling and American policy is in deep disarray. Our strategic options are getting worse, and the stakes are getting higher. When former President Bill Clinton is warning that his successor risks looking “lame” or like a “wuss” or a “total fool,” it’s a safe bet that the Kremlin and Tehran aren’t impressed by White House statements. Meanwhile the Obama administration seems to be locked into a sterile, short-term policy approach driven by domestic considerations; it is following the path of least resistance to a place that in the end will please no one and is increasingly likely to lead to strategic disaster.

An insightful article by the Democratic-leaning Bloomberg columnist Jeffrey Goldberg offers a deeply unsettling view of a Syria foreign policy process gone off the rails. If Goldberg has the story right—and he usually does—Secretary Kerry and the bulk of the White House security team want the President to authorize a no-fly zone and other strong measures in Syria, in part because they fear that American dithering in Syria is empowering the hardliners in Tehran and that by avoiding a small war in Syria now the White House risks a much uglier confrontation with Iran not all that far in the future. But the Chairman of the Joint Chiefs wants nothing to do with it, pointing to the difficulties and costs of the military mission.

And rightfully so.  It has also really “reset” relations with Russia … to the Cold War era.  Well done, Mr. President.   But that’s not the real problem is it?  It is how we got in this mess in the first place: Amateur Hour at the White House:

As Goldberg tells it, the biggest problem for the administration is that its early aggressive, poorly judged rhetoric that Assad “must” go now makes it impossible to avoid Obama’s looking like an irresolute bluffer if the Butcher stays put. This is the conclusion, anyway, that both Russia and Iran will draw, and they will respond by pushing the US along other fronts as well.

This is an entirely self-created problem; there was absolutely no objective reason for the administration to lay those markers on the table. There was no requirement in America’s foreign policy that the administration bounce in with the categorical demand that Assad step down.

That is absolutely correct.  But as is mentioned further on it was fighting for re-election and didn’t what there to be a wimp factor.  As usual, politics trumped what was best for the nation.

So in every real way, this administration has lived up to few if any of it’s grand promises of 2008.  In fact, if truth be told, the honeymoon is over with Europe.  The proof, as they say, is in the turnout:

When John F. Kennedy delivered his “Ich Bin Ein Berliner” speech in front of the Brandenburg Gate on June 26, 1963, 450,000 people flocked to hear him. Fifty years later a far more subdued invitation-only crowd of 4,500 showed up to hear Barack Obama speak at the same location in Berlin. As The National Journal noted, “he didn’t come away with much, winning just a smattering of applause from a crowd that was one-hundredth the size of JFK’s,” and far smaller than the 200,000 boisterous Germans who had listened to his 2008 address as a presidential candidate.

As for the Middle East … well there’s no love lost there either.  This administration has fumbled everything to do with the region during it’s tenure and has no one to blame but themselves. They’ve totally and without any help, managed to bottom out our image in the area in the same way they’ve bottomed out the economy.  If this guy isn’t the worst president with the worst team we’ve ever had inflicted on us … twice … then I don’t know who might be.   And don’t even get me started on the “leadership” in Congress – from both parties.  They’re absolutely the worst yet.  That may come as small consolation to the administration, but the combination of the two is killing us.

~McQ