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Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (135337)	8/1/2013 11:50:27 AM
From: RetiredNow	Read Replies (1) \| Respond to of 149317

Trickle down economics doesn't work. I think we all have seen enough history to know that in our bones. So it does perplex me why Bernanke continues to believe that trickle down economics works, with his QE and ZIRP, which only benefit the top 1%. I guess the 99% are still waiting for their bit of the trickle down from that giant bankster scam. Anyway, on another note, manufacturing is surging. After 3 quarters of crappy, sub 2% GDP growth (Q4 Final = 0.1%, Q1 2nd Est. = 1.1%, Q2 Preliminary = 1.7%), it's nice to see some good data for a change...the only thing I'm wondering about in this report is the declining prices. Does that mean manufacturing surged due to discounting prices to pull demand forward? I hope not. Other than that, this was a blowout report. I hope this spreads to the rest of the economy. FYI, I have been selling off my bond portfolio over the last 3 months and averaging into emerging market and developed international stocks. Am looking to bring my stock allocation from a 20% current to something closer to 50% allocation by end of next year. I figure that with tapering most probably coming our way, since the deficit is coming down and they don't need to finance as much deficit spending, we may see a nice swoon in stocks either in the Sept/Oct time frame this year or in the Feb-May timeframe next year, after Bernanke's replacement takes the lead. If it's Summers, then I'd bet we see a bigger swoon, because Summers doesn't believe QE is an effective tool. If it's Yellen or some other Bernanke clone, then the swoon will be smaller, because Yellen is likely to taper down at a very slow rate over a long period of time. That's my guess.