I bet you hear on TV how the market “looks forward.” When it is going down the market is telling us that tough times in the economy are coming, and when it is going up it tells us that things for the economy are looking up.

This is a myth.

Here is the proof. What was the market telling us at 14,000 on the DOW? It was hitting all time highs so by the pundits logic it would mean that the economy was looking good going forward. Uh Oh!

What happened next was a precipitous drop to well below 7,000 on the DOW and the worst recession (depression) than most have seen in their lifetimes. So, how prescient was the market at 14,000 exactly?  

There are many examples of this, but this is the latest that everyone saw.

Here is the truth. In the short to medium term, the stock market has almost nothing to do with the real economy at all. It can go up and down violently with no real correlation to REAL economic strength or weakness. There are countless reasons why this happens and of course you can pick out individual stocks that have their own unique story.

Sometimes the market is accurate in forecasting the future and sometimes it isn’t. It all depends on a variety of factors so each case has to be looked at separately. Just know that the market as a forward looking indicator is not always a good barometer of current or future economic strength.

If you believe the health care bill being pushed by Max Baucus will not add to deficit and will keep costs under control then you need to run, not walk to the nearest psychiatry facility and commit yourself. Please stay there until you are better, and get well soon.

When asked whether she was worried about how her resignation as Governor of Alaska might effect her political career, Sarah Palin responded, “Politically speaking, if I die, I die. So be it.”

She is not afraid, which is one of the reasons I like her. She knows everyone in the media is literally out to destroy her both personally and professionally and she is now ready for the onslaught.

Do what is right and if it does not go the right way, at least you can sleep well knowing you did it right. I am willing to go down guns blazing with someone like that.

Remember when the “expert” pundits on TV said a few months ago when she resigned that she is finished and how she has no future? Well, a weird thing happened on the way to obscurity. Within 48 hours of the date announcement, and before there was even a cover, Sarah Palin’s book “Going Rogue” rocketed to number one at both Amazon and Barnes and Noble.

It comes out in a little over 6 weeks and is already number one!

This reminds me of the time when Larry King asked Jerry Seinfeld if “Seinfeld” got cancelled. Jerry humorously reminded Larry that there is a big difference between being cancelled and being number one.

Take it from me, Sarah Palin is far from being cancelled.

Here is a great chart that a blogger has been updating as the months pass. It illustrates what is happening vs what the White House predicted in light of their massive “stimulus” package.

You can see just how wrong the super geniuses in the White House have been. The problem is that this mistake cost us a trillion dollars in the failed stimulus bill alone.

Today the “official” unemployment rate has risen to 9.8%. It would be alot higher if it was not for the BLS using a smaller number for the labor force. They do this because so many have given up looking for jobs at all.

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