The market is calling for a rough 2nd half to 2010.

Well, if the market was reading ahead six months when it started the rally last March, then this current reading by the market fits those calling for a rough 2nd half to 2010.

Cities and states are just now really laying off and cutting spending as they see tax revenues continue to fall. It is what those cities and states do that will have more of an impact on the economy and employment than what the fed does. That means the 2nd half doesn’t look good at all.

Then add the Alt-A, Option ARMS, Commercial real estate problems and the lower credit ratings for some government bonds, the problems in Europe that we export to and a possible stalling of the global economic recovery and we could really get hit hard.

We are a part now, whether we like it or not, of a global economy and we are going to be seeing what happens here more and more dependent on what happens around the world than here. We continue to see business and jobs leave and we continue to see our deficits and needs for loans rising.

http://www.marketwatch.com/story/us-stock-market-finds-some-cheer-in-job-details-2010-02-05#

No wonder our own government accountants say this is “unsustainable” and we face the loss of our standard of living and domestic tranquility.

Middle Class No More, Families Struggle to Fight off Homelessness
http://news.yahoo.com/s/huffpost/20100204/cm_huffpost/450045;_ylt=ApfYQwtX5Po62LuPY265sgBH2ocA;_ylu=X3oDMTMxOG1jMW9yBGFzc2V0A2h1ZmZwb3N0LzIwMTAwMjA0LzQ1MDA

- JanPaul

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• When your own government accountants are the biggest doom and gloomers, you better pay attention.
• The Federal Reserve is reported in several articles to have said in one of their meetings, “No net new jobs for 5 years.”
• I own a business. I see first hand what the recession has done to people’s spending habits.
• Double Dip Recession Risk Is Near: CIO

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