449. Grocery Price Watch

Walmart plays hard ball with its food suppliers (see link), but commodities still continue to increase squeezing profits from BOTH the suppliers and Walmart. As I mentioned in previous posts, Walmart is capturing more customers during the consumer-weary period. Yet, check out these increases this week at Walmart:

Strawberry Jam,     up 11.6% in 2 months
Peanut Butter,        up 42.4% in 4 months
Cranberry Sauce,   up  29.3% in 4 months
Canola Oil,            up 9.6 % in 7 months
Butter,                    up 7.2% in 1 month

Those PPJ sandwiches are getting expensive.

448. New Greecy Bond Certificates look good

According to this article, Greece may have escaped for another few months by swapping bonds for new longer term bonds at the expense of investors. tomorrow the official word will come, but this article claims more than 75% of the investors have already signed up. I fortunately am not involved, but I was in the CIT Group deal, where after 2 years with new bonds and common stock offered, I got away with gains. Unfortunately, Greek bonds do NOT have a common stock to bank on for gains. It was the common stock that helped me tremendously. Some times you win, some times you lose. Cut your losses before they become larger losses. It seems that the Greek investors realized that too.

447. Speaking of Walmart

Now that Walmart raised their tortillas 62% it can afford a 9% raise in its stock dividend. Guess I'll have to look again at its stock. lol.

446. Does anybody care about FOOD inflation?

Everybody notices when the price of gas goes up or down a penny or two, but when have you ever seen a news article re a package of Walmart-brand tortillas going up $.60, or 62% since last week? Or a package of cod going up $.50, or 12.6% in the last two weeks? I drive little; probably less than 60 miles per week, or about 2.5 gallons. If the price of gas goes up 10 cents per gallon, that's 25 cents! Far less than the 60 cent rise in lousy tortillas. Heck, between the tortillas and cod, I spent over a month of gas rises in Walmart's grocery store. Now, this isn't a complaint about Walmart (not much that is) since the equivalent items at other grocery stores are about 30% higher than these! Do you realize that people who shop the other grocery stores (except for buying ONLY sale items) spend between 30-70% more per item? Does anybody care but me (only because wife cares)? Take a reasonable budget of $350/month (two old adults). Had I shopped other than Walmart, I would have increased that monthly budget to at least $525. That's $2100 per year. Geez. I have better uses of $2100 than to eat it!

Here's an exercise for you. If you save $2100 per year and add a 7% return per year to the savings, how much will you have in 15 years? Would you believe $42,295.00? Can you think of something to do with that rather than eating it?

It's time to look at inflation and get your mind off the pennies at the pump. Sure, they add up too. But every time gas goes up, the cost of transportation (TRUCKS, Trains, planes) go up more dramatically costing the food distributors even much more exponentially. Guess who pays for all this? Check your grocery prices more closely and you'll see. Want to save money, stop eating; or at least learn how to shop cheaper. Whereas the average return in the stock market may be something around 8-9%, MUCH more can be saved by just switching stores, like up to 50% returns. Think about it.

445. You just can't help STUPID

Check out this article re the government converting foreclosed homes to rentals. I'll assume you're stupid too and need to be told that ALL foreclosed housed today ARE already available to investors who want to pick up a cheap house at the quoted 20% discount! Duh! So, WHY does the government come out with another program that makes it look like THEY ARE RESCUING something? And, do they think rentals don't lower the prices of houses in that neighborhood? OBlunder and crew are throwing sh*t at you to see if it sticks. If it sticks, you are in the same boat as them -- STUPID.

444. OBlunder wants to win Republican Nominee!

Have you noticed lately how OBlunder is changing his mind and tossing out "ideas" he fought against the Republicans on for over 3 years? Here is an example: Now OBlunder FINLALLY wants to cut the corporate capital gains tax to 28%! How novel! Guess his head is on the chopping block and he finally realizes it. PURE POLITICS! Will the Democrats bend with him? Still too high for me though. But, this way he can get the Democrats to kiss his ring and flower his path.

443. USA Today checks AP sensualism AGAIN re Nukes

Apparently, the Associated Press, my favorite scandal rag, ruffled panties again saying OBlunder was going to cut nuclear weapons by 80%. The USA Today, releases the information that was provided. Now, how can the AP even think that? It's interesting that they are poking Left and Right for whatever scandal sells. Of course, there is always that chance they are right since they are talking about OBlunder who continues to suck us down the black hole he made.

442. What a Pussy Boehner is.

The ship's sinking; lighten the ship and throw off the lifeboats! Boehner continues to kiss butt instead of addressing the long-term future of America. So much for Republican leaders too! crew the payroll tax cuts. The working middle class does NOT need a few more pennies take home. They need to learn to SAVE. And, if they can't do it themselves, don't rob from the seniorsSS trust fund (AND theirs). Congress needs a major overhauls -- both parties. Time for the old folks who are theircollecting a LOT of bucksto give away the family's jewels to jump overboard so the ship can at least stay afloat.

441. More Europe Woes

Now it's time for Moody's to downgrade a few EU countries UK, France, Austria.  The UK has been fairly bad off for a year with France hanging onto its AAA with rhetoric and bosom buddies with Germany's Merkel. Now downgraded by Moody's are: Italy, Spain, Portugal,Slovakia, Malta, Slovenia (get out your Atlas). One has to wonder what the U.S. market would do if Europe ever turns around -- it sure is holding its own for now and seem to still point upward.

440. Greece still sitting on its thumb

Caught between a rock and a hard place? How about being the rock! Greece continues to delay any ACTIONS, yet alone plans to increase austerity programs. I feel most of this downside is already in the markets, but continued news on this will provide the volatility we are looking for to continue to invest in the market. Enjoy the bottom fishing when you can.

439. Go Nuclear

A positive step toward future energy independence has finally been taken with the approval of the first nuclear power plant in 30 years. Now we have to wait for the government again (Dept. of Energy) who guaranteed a $8.6B loan. Again the government throws out its anchor to slow the process down until 2Q 2012.

438. "...irresponsible behavior is what gets rewarded in America"

The title says it all. OBlunder and crew disses the homeowners paying their mortgage by awarding banks for their sloppy deals. Hold your ears; this will be another loud backfire! We can just not continue to use taxpayer money to bail people out or mitigate the pain of penalties for misbehaving. Let's get out of this "I'm your Mommy" mentality that teaches people to misbehave.

437. Reagan Quotes

A fitting number of quotes by Ronald Reagan to clearly explain the government and individuals who are out to make government big.\ can be viewed here.

436. It's about time States cut the government pensions

Finally, some states are willing to cut lawmaker pensions. Do you think any of the states in the deep red are among them? Right -- NO. Over a year ago I posted something about government pensions in California, or was it about Life Guards? Any way, I believe it was about police and fire fighters who actually get more to retire than to remain active. Come on people. I don't see more than 17% of my final salary with a major, major I/T company after 23 years of service.

435. END the GOP race (fight)!

This article re Romney now attacking Santorum says it all. Well, what it doesn't make clear is that the endless spats between GOP candidates is killing the GOP nominee! I just can't believe the GOP candidates can't agree that the Media is against them and will play them to rescue OBlunder from the fire! WHY does Santorum, who won't see more than 15% of any votes even want to stay in the race? WHY? It's NOT his money! Are people dumb, or what? I liked Santorum until he started taking cheap shots at the leader, which are stacking up as huge open sores when Romney runs against OBlunder -- NOT in the primaries. Stop it Rick! Gingrich, you too need to go. It's already past time to SUPPORT the GOP nominee. And Paul, you are the biggest jerk I've seen -- what are you going to do with your followers? KEEP OBlunder in office, that's what! I remember why I stayed out of politics in the past and focused on MY goals regardless of who is in the White House and Congress. I think I shall return.

434. SSDD - Greece

Same old denial by the Greeks. The possibility that Greece doesn't fail is hopeless in my book. It's time for Merkel and other EU powers to cut the cord. It's obvious that all austerity measures they imposed over 5 years have failed and the labor unions aren't going to take any more. What have the REALLY TRIED! If you state something and don't enforce it, it won't happen! Duh!

433. Merkel has cajones - good girl

Unlike Oblunder (see post #422), Merkel (for Germany,the rich European Country) won't just hand out money to the dying nations (Greece, Portugal, etc.) without demonstrated actions (RESULTS OBlunder!). Leadership is NOT bought OBlunder! Demand results like Merkel. Granted, she may give a little, but at least she argues the right path. I applaud her in her leadership. Final results may still be letting Greece fail -- I believe she has the cajones to let it fail so the other countries have a shot at surviving. A leader MUST be able to make a tough decision.

422. Please STOP the handouts and adding debt!

Here we go for round 2 (or is it more) ? according to this article, both parties want to extend the payroll tax cuts (less Social Security tax out of paycheck) and extend unemployment even longer. Payroll tax cut hurts the Social Security Trust. Seniors today won't be affected, but all you people working will in the future! You can pay me now, or pay me later. Do you really want a hand out, a few pennies, today, and sacrifice your future handouts when you will need them?

I see this going nowhere once again. Same issues, same arguments. SSDD. They will run this into Presidential election period and make it a major issue. Meanwhile, they'll keep extending it to make it look like they (each party) really, really cares! Meaning, they don't want to lose any votes despite not really caring. Where are the cajones and truth you clowns in Washington? At least one party, the Republicans are arguing that DEBT DOES matter and we can't afford to hand money out without a way to pay for it. But, watch! They will keep extending it 2 months by 2 months; handing it out anyway without a way to pay for it! Both parties need to be cleaned out -- can the bums who are leading others to "filibuster" our desires and needs.

421. Quote and Advice for OBlunder

It's one thing to feel you are on the right path, but it's another to think your path is the only path.
                        
 -- Paulo Coelho, novelist

420. Wie Will Take Over

The EU is scary! Members officials now want to take over Greece. Well, the control over Greece's budget since their leaders don't seem to be getting the job done. Does the EU think it can do it better? That they have more knowledge than Greece itself re their environment? I am sure Greece is responding like any other country in a ditch. Take the U.S. for example. Our OBlunder pushes Obamacare and compliance and then gives exceptions to players as he chooses! Anything different than Greece backing off some of there directives a little after discovering the initial plan might be too optimistic? Isn't this "wish" by the EU to take over like our Federal Government taking over a state's budget? What an uproar that would be. Just let Greece default as it will NOW and get it over with.  Too big to fail? I just watched a movie last night, Sanctum, where a diving team gets trapped in a deep underground cave in New Guinea. Several decisions had to be made to let others die to give the remaining a chance to live. It was based on a real expedition. Unfortunately, only one individual did survive. They didn't go killing off each other on purpose, but they did have to let severely injured ones die or help them die. A few made conscious decision to allow themselves to be drowned to give life to others. This movie had life and death decisions. Greece will not be dying, only defaulting and limping back for a while once the debt is shed. An embarrassment to the EU? Yes. But that's only politics again! And not wanting to tarnish ego! Let Greece win or fail on its own. Giving them an initial shot to recover was probably right, but continuing to throw pennies at them when it's hopeless is not. Better to bail out other countries that have a higher probability of succeeding.