Saturday, January 30, 2010

Every picture tells a story don't it?

From Investors Business Daily:
With the economy posting its best gain in six years, you'd think stocks would rally too. And so they did on Friday — for about an hour. Then it was all downhill. Why? Ask Lincoln.

It was old Abe who said you can fool some of the people all of the time, and all of the people some of the time, but not all of the people all of the time.

To which we'd that add you can't fool the stock market very much any of the time. It simply has too much going for it: millions of investors all over the world poring over every scintilla of evidence that could influence market direction.

And that includes government policy as well as market and economic conditions. And right now, the market seems to be saying: "It's the policies, stupid." Specifically, the socialistic policies that the Obama administration keeps pushing at Americans who know that's not the way this great country was built.

It isn't just the efforts to socialize medicine or nationalize the car industry or control banks or punish both consumers and industry for climate variations that have little to do with it either. It's every initiative that comes out of this White House.

We got another raft of them in last Wednesday's State of the Union address. Sure, there were good ideas here and there, and we made a point of highlighting them in this space Friday. But most of the others will do little to strengthen the country or the economy, and we're surprised the president's more experienced advisers allow them to be advanced.

But maybe that's the problem. Such advisers are few and far between in this White House. The chart below, which we've run before, shows that this crew has less real-world experience than any other administration since at least Teddy Roosevelt's.

Small wonder, then, that this White House is so anti-business, and that stocks have turned south. None of this gets by a market that is hypersensitive to such realities.
John Hinderaker at Power Line notes:

President Obama's lack of private sector experience is probably his single biggest weakness. The fact that he does not value such experience in his top advisers shows a serious lack of judgment. One would think that if Obama wants to run automobile companies, banks, insurance companies and who knows what else, he would want to have someone on hand who has done it before.

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