Thursday, January 20, 2011

Jobless Claims - The Truth

Once again the Government manipulated jobless benefits statistic - and the number which is the headline number read and reacted to all over the world - is much lower than the "unadjusted" raw number.  The reported number was 404,000, which was a decline from the previous week's manipulated number and lower than the market consensus expectation.  HOWEVER, the actual unadjusted number of claims was 550,594.  So there it is.  The golden truth.  Here's the Dept of Labor press release:  LINK

Even more disturbing in that report - and a number which likely 98% of all market professionals and 99.9% of everyone else in this country who at least attempt to stay informed - is the fact that the total number people claiming jobless benefits under all of the programs jumped by over 401,000 from the previous week.  So nearly 1/2 a million more people either can't find work and qualify for a weekly welfare stipend, or just can't be bothered with looking for work since they do qualify for taxpayer largesse.   The total number of capable workers now feasting on part of your paycheck is 9,607,424.
The truth will set you free.


  1. San Gold - TSX. Right at a new 52 week low - not like they are a liar on top of a whole in the ground.

    I hoped we wouldn't see the following scenario.

    Paper gold and shares get the LIVING DAYLIGHTS beat out of them. This drives the price of physical down as well. But the price gets so low there is no more physical to be found.

    So all your investments are in the tank and yet they are so scarce. The greatest of all disconnects....for a time...Times a Time as well? I dunno, but those who wish to preserve the current system may destroy as many others as they can on the way down. It's my sandbox and I make the rules in here. Only I benefit.

  2. Spread the word...print have to undo the brainwashing...

    Ok, so let’s do a brief thought exercise on why I believe commodity
    money is preferable to fiat money. When you have fiat money, a
    government, or in the case of the United States today, a banking
    cartel (the Federal Reserve), is granted exclusive authority to create
    the nation’s money. Laws are used to enforce the use of this money
    otherwise people probably wouldn’t use it. Under a commodity money
    system, where let’s say the U.S. issues dollars but those dollars are
    backed or convertible to a commodity (in many cases gold but it can be
    other things) there is a limit to the amount the government or banking
    cartel can print or issue and this is in relation to the amount of the
    commodity that exists or is available to the government or central
    bank. The current propaganda that is rife throughout economics
    textbooks and the like tell is the notion that commodity money is bad
    since it stifles human innovation in relation to the amount of gold or
    whatever commodity used. They say this is bad and that there should
    be no “limit” on money creation based on something as arbitrary as a
    commodity and that this is bad for growth. This is complete nonsense
    and is used to keep people in the current fiat system where money
    power is exercised most egregiously by the few against the many.

  3. Don't you wish all the academics, politicians, and friends of tbtf had to compete in the real world like you?


  4. In interesting take on gold and silver vs commodities:


    I know the author pretty well and we do not see things the same way here, but would be interested in your take.

  5. William Black continues to collectively summarize the fraud in an easy to understand manner and yet we don't have one god damn honest regulator with the teeth to bite these guys in the ass..its perturbing. Read and pass on .... I wish we had more people like him.

    An Economic Philosophy That Has Completely Failed'

    # Honest accounting is the prerequisite effective financial regulation. The administration stood by while Bernanke, the Chamber of Commerce, and the specialized bank lobbyists used Congress to extort the Financial Accounting Standards Board (FASB) to pervert the accounting rules so that banks would not have to recognize their losses. The administration knows that perverting the accounting rules in this manner harms the public in many ways. Not recognizing losses creates fictional bank income and capital. Banks that are deeply insolvent and unprofitable are able to claim to be solvent and profitable. This allows the banks to evade the Prompt Corrective Action law and makes it more difficult for regulators to prevent expensive bank failures. It also allows the controlling officers to pay the officers tens of billions of dollars in bonuses that the officers have not earned. The same accounting scam makes the administration's (self) vaunted "stress tests" a sham. Obama can end the banks' accounting scams and end these anti-regulatory disasters at any time because banking regulators have the power to impose regulatory accounting principles that would restore honest accounting and restore effective bank regulation. I shouldn't have to keep emphasizing this, but honesty in accounting is also essential to integrity - and integrity is essential to everything.

  6. Is he being sarcastic? I don't have time discuss the many reasons why gold/silver are not even remotely in a "bubble" phase yet. The primary reason being that the money-printing/fiat currency devaluation race is just getting started. Any pm bubble will occur after the supply-of-currencies bubble peaks. And the price of gold will be many multiples higher than where it is today. Go read the Richard Russell comment posted on and the Alisdair Macleod commentary on for some insight.

    Anyone who believes that the metals are in a bubble phase right now has very little understand of the facts and no insight into the definitional characteristics of a "bubblified" asset clase...

  7. If the ppi is understated would that graph be meaningful?

    It seems the only bubble there is the one in the perennial gold bubble callers veins.... that leads straight to their brains... and thus the non comprehension of what gold is trying to tell you.


    Hickey: I've had more than 50% of my assets in gold for the past seven years. Institutional ownership of gold is ridiculously low. It is less than 1%.

    Zulauf: At its 1980 peak of $850 an ounce, gold represented 3% of the market capitalization of global equities, bonds and money-market assets. Today it is 0.6%. The price has a long way to go.

  8. Hot off the presses Dave

    California governor declares fiscal emergency


  9. comments t. I like William Black - he has brass stones for an academic.