ThinkFast: August 16, 2007
ThinkFast: August 16, 2007
The ongoing mortgage crisis has caused global markets to continue in a downward spiral. Yesterday, the Dow Jones industrial average closed below the 13,000 mark for the first time since April. “And markets in the United States were expected to open lower again today.”
The White House has proposed limiting the much-anticipated appearance of Gen. David Petraeus and Ambassador Ryan Crocker to a private congressional briefing, “suggesting instead that the Bush administration’s progress report on the Iraq war should be delivered to Congress by the secretaries of state and defense.”
Sen. Ron Wyden (D-OR) said he would “indefinitely block” the nomination of John Rizzo to become the CIA’s top lawyer because Rizzo “did not object” to a 2002 memo authorizing torture techniques “equivalent in intensity to the pain accompanying serious physical injury, such as organ failure.”
Rudy Giuliani expressed his opposition to the creation of a Palestinian state at this time. Giuliani said “too much emphasis” has been placed on brokering negotiations between Israel and the Palestinians. “It is not in the interest of the United States…to assist the creation of another state that will support terrorism,” he said.
Many of Mississippi Governor Haley Barbour’s associates have profited from Hurricane Katrina. $15 billion or more in federal aid has flowed into the state. “Among the beneficiaries are Barbour’s own family and friends, who have earned hundreds of thousands of dollars from hurricane-related business.”
Katrina-related mental illness is double pre-storm levels today. “About 14% have symptoms of severe mental illness. An additional 20% have mild to moderate mental illness. … The big surprise: Post-traumatic stress disorder (PTSD), which typically goes away in a year for most disaster survivors, has increased: 21% have the symptoms vs. 16% in 2006.”
Three federal appeals court judges hearing challenges to the NSA’s surveillance programs yesterday “appeared skeptical of and sometimes hostile to the Bush administration’s central argument[s].” “Is it the government’s position that when our country is engaged in a war that the power of the executive when it comes to wiretapping is unchecked?” Judge Harry Pregerson asked a government lawyer.
Center for American Progress President John Podesta said Bush is “running into a brick wall in Congress.” “The places where he could find common ground, he’s in a ‘just say no mode,’” he said. “I find that kind of surprising given the place he’s at in his presidency.” Podesta also pens a Washington Post op-ed encouraging the Bush White House to take a few lessons from the Clinton White House.
The toll in a horrific quadruple bombing in Northern Iraq reached at least 250 dead and 350 wounded on Tuesday evening, local officials said, “making it the deadliest coordinated attack since the American-led invasion of Iraq in 2003.”
And finally: Graham packin’ heat. Yesterday, a military correspondent for the conservative National Review spotted Sen. Lindsey Graham (R-SC) “dressed in his desert khaki uniform” and “armed with 9mm Beretta pistol in a shoulder holster” at the U.S. Embassy in Baghdad. Graham, who is an Air Force Reserve JAG officer, was carrying a weapon just as “every servicemember in and out of uniform does” in Iraq.
What did we miss? Let us know in the comments section.
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Rudy Giuliani expressed his opposition to the creation of a Palestinian state at this time.
Good. Go Rudy!
August 16th, 2007 at 9:34 aminteresting read :
http://www.truthout.org/docs_2006/081407D.shtml
August 16th, 2007 at 9:35 amThree federal appeals court judges hearing challenges to the NSA’s surveillance programs yesterday “appeared skeptical of and sometimes hostile to the Bush administration’s central argument[s].†“‘Is it the government’s position that when our country is engaged in a war that the power of the executive when it comes to wiretapping is unchecked?‘ Judge Harry Pregerson asked a government lawyer.â€
…and then the Admin appeals to the Supreme Court, who, in a 5-4 RATS decision rule in favor of NSA.
August 16th, 2007 at 9:36 am“Sen. Ron Wyden (D-WA) said he would “indefinitely block†the nomination of John Rizzo to become the CIA’s top lawyer”
Go Ron! He’s my representative and a damn good one, too. Unfortunately TP has it wrong. He is (D-OR), not (D-WA).
August 16th, 2007 at 9:37 am“The big surprise: Post-traumatic stress disorder (PTSD), which typically goes away in a year for most disaster survivors, has increased: 21% have the symptoms vs. 16% in 2006.â€
PTSD typically goes away in a year because the disaster was over a year ago. Unfortunately with Katrina victims, the disaster is continuing.
August 16th, 2007 at 9:40 amGood for Wyden, Bad for Rizzo and Barbour and the cowboys Bush and Graham.
August 16th, 2007 at 9:41 amThanks bilbo — we corrected it.
August 16th, 2007 at 9:41 amAnd finally: Graham packin’ heat. Yesterday, a military correspondent for the conservative National Review spotted Sen. Lindsey Graham (R-SC) “dressed in his desert khaki uniform†and “armed with 9mm Beretta pistol in a shoulder holster 
Who’s he going to shoot? He’ll never leave the green zone.
Graham’s a wuss, who would most likely piss his pants before he could draw his pistol.
OTOH, he is the type that would take a handgun to a bomb fight.
August 16th, 2007 at 9:45 am“Thanks bilbo — we corrected it.
Comment by Faiz”
You’re welcome. Nice to see you paying attention. So, while we got you here, tell us when TP is going to be coming up with their Registration system!
August 16th, 2007 at 9:46 amSadness and no surprises in ThinkFast today. The BA wants a chance to spin any information from Petraeus and Crocker before it gets out anywhere. PTSD victims from Katrina are increasing while Barbour’s family and friends are making money from Katrina hand over fist. Sectarian violence continues in Iraq in a big way, which will be ignored by Fox Noise because it’s become so routine.
Business as usual. Sigh.
August 16th, 2007 at 9:49 am“And it’s not just the forward-deployed combatants who carry weapons with them everywhere they go here. Rear-area soldiers at the big camps and FOBs all carry their weapons with them to the chow hall, to the gym, to the PX, to Burger King and Subway and Popeye’s Fried Chicken.
It’s kind of crazy to see at first … weapons everywhere (I even once saw an Iraqi man trimming hedges with an AK-47 strapped to his back). But then you get to the point that you just don’t pay any attention to it anymore … except when you see a United States Senator packing heat.”
(From the (linked) NRO article)
“Remarkable country, Iraq…”
August 16th, 2007 at 9:50 am(paraphrased) General Casey
nice try, bilbobaggins… might work…
about graham – pretty cool he got to play dressup!
August 16th, 2007 at 9:52 amand on location! … man, i bet he was all poofed up!
as usual…
Yep, they’re sending Petraeus on his way… mark my words.
August 16th, 2007 at 9:53 amBilbo — all I can say is we’re on a timeline to complete reforms to our comments section in about a month. But I’ve been told before that this would get done and it hasn’t happened. I’m more optimistic now, but I don’t want to raise expectations.
August 16th, 2007 at 9:53 amKatrina-related mental illness is double pre-storm levels today.
Sorry to nitpick but you might want to fix that headline a bit. It’s not possible for there to have been Katrina-related mental illness before there was a Hurricane Katrina.
August 16th, 2007 at 9:54 amI’m a great follower of ThinkProgress, but I don’t agree with this post, why would you put the spotlight on the downfall of the markets when you didn’t do the same when it was going up ??
August 16th, 2007 at 9:55 am#17 ~ Because it’s going lower again today. If you’re worried about trend, then it’s notable that the markets are basically at the same level as when Clinton left office (after 8 years of growth).
August 16th, 2007 at 9:58 am#17, we should be expecting the market to do well in this country. When it’s not doing well, we should pay attention more closely and figure out what’s going wrong and whether changes need to be made.
August 16th, 2007 at 9:58 amI’m a great follower of ThinkProgress, but I don’t agree with this post, why would you put the spotlight on the downfall of the markets when you didn’t do the same when it was going up ??
Comment by Manuel — August 16, 2007 @ 9:55 am
Because when markets go up incrementally it isn’t news. When markets in Tokyo and Hong Kong tank for four days in a row due to the collapsing housing bubble in the U.S., that’s news.
August 16th, 2007 at 10:00 ami know very little about “the markets”, but it seems that when it was
August 16th, 2007 at 10:02 amgoing up, that affected, positively, a very few lucky people…
this going down will affect, negatively, many many more…
not?…
The White House has proposed limiting the much-anticipated appearance of Gen. David Petraeus…
has there been much coverage about the WH writing it’s own report?
August 16th, 2007 at 10:06 amolbermann covered it last night… angrily…
…
“it seems that when it was
going up, that affected, positively, a very few lucky people…”
Comment by katy
Developers and real estate agents, selling land and housing at inflated prices, convincing buyers of the “wise investment”.
After the sale, they are nowhere to be seen….
And they are not “lucky”, they are criminal.
August 16th, 2007 at 10:08 amGraham ‘Cracker’, just like Bush, is living out his childhood Old West fantasy. The obnoxious fact that real people are getting killed just adds to the adrenalin rush.
The article quotes Graham as saying, “Tom, we’re winning this thing out here.”
How can you say this when your view of the invasion is from the Green Zone?
August 16th, 2007 at 10:10 amThe article quotes Graham as saying, “Tom, we’re winning this thing out here.â€
500+ dead yesterday, & we’re wining this thing?
Bush doesn’t need Rove when he’s got Graham Cracker.
August 16th, 2007 at 10:12 amThe article quotes Graham as saying, “Tom, we’re winning this thing out here.â€
Comment by Zimzone
This is what jumped out at me:
“this thing out here.”
Talk about being removed from reality….
calls it a “thing”
and it is “out here”
He’s not sure what it is, or where…..
August 16th, 2007 at 10:14 amWhere’s Darth Cheney these daze?
Probably burning the midnight oil planning and plotting his next NeoCON wetdream of an Iranian provocative event to whip this country into total submission.
Enter the Chimperor with no curiosity about the world but the one of the worst dictators the world will ever see.
Got Martial Law?
August 16th, 2007 at 10:14 amDonaghy enters plea of guilty to charges
By Shira Springer, Globe Staff | August 16, 2007
Former NBA referee Tim Donaghy, admitting he bet on games and gave inside information to gambling associates, pleaded guilty yesterday to two felony charges stemming from the scandal that rocked the league earlier this summer.
[...]
Appearing in federal court in Brooklyn, N.Y., Donaghy spoke quietly as he told US District Judge Carol Bagley Amon that he is seeing a psychiatrist for his gambling addiction and taking an antidepressant and anxiety medication.
IT’S OFF TO REHAB WITH YOU!
and worse:
August 16th, 2007 at 10:14 am‘Likely’ Vick will accept plea deal in dogfighting case
Contra Costa Times – 3 hours ago
Facing the possibility of a new indictment that includes racketeering charges, Atlanta quarterback Michael Vick will most likely join his three co-defendants and agree this week to a plea deal with prosecutors in his federal dogfighting case…
http://www.contracostatimes.com/49ers/ci_6637789
…
this going down will affect, negatively, many many more…
not?…
Comment by katy
ssshhhh, katy. You are gonna tell everybody what big scam the whole macroscopic economy is.
August 16th, 2007 at 10:14 amIs a 3% drop in the stock Market big news? I still think the buried story about sub-prime loans is the people who got them and maintained them. Bush, Barbour, Stevens, and Blunt. The GOP stooges that play together share the pork together. It’s a family affair.
August 16th, 2007 at 10:16 am500+ dead yesterday, & we’re wining this thing?
Comment by Zimzone
It is Republican math:
3,500 dead americans
August 16th, 2007 at 10:17 ammmmmm…
Ok, the whole post:
Rep math:
3,500 dead americans
1,000,000 dead Iraqis.
See? Good.
August 16th, 2007 at 10:18 amWhen the bubble burst on the real estate boom, developers pulled their money out of new housin & real estate projects. They needed to “park” their money somewhere, and blue-chips fit that need. Hence the rapid rise of the Dow Jones . Now bad loans are adversely effecting the stock mkt.
August 16th, 2007 at 10:19 amAbout the whole market thing:
Dont worry, the owners of Dow Jones and Corporations will put their money in some other country when US economy is going down.
August 16th, 2007 at 10:20 am“Act now!
August 16th, 2007 at 10:22 amPrime Texas Gulf coast waterfront property!
Low down payment, easy financing!
(Some cleanup required, mineral rights
[sand, oil, ground glass] not included)
Oh for Jeebus sake, tell the whole story you liars.
Rudy said no Paleoswinian state without them agreeing to recognize Israel in return.
The Dow closing for the first time since April? It REACHED 13000 in April; I dont recall TP cheering that achievement, now Im supposed to imagine you in tears because it fell under that number?
The Dow was under 7000 after 911, that we reached 13000 since is HUGE news, then again, success for America means doom for the DFL Doom&Gloom Party.
August 16th, 2007 at 10:23 amComment by Raven — August 16, 2007 @ 10:08 am
i have a cousin who is a realtor… on the state standards board… she wrote last xmas that her state led the nation in foreclosures, due to predatory lending and r.e. practices…
August 16th, 2007 at 10:23 am“interesting and amazing the things people will do to their fellow man just to earn a buck!”, she wrote…
yep…
#21
Not.
August 16th, 2007 at 10:26 amFor those of you with no business acumen whatsoever (99% of libs), the stock market is a long-term thing. If you want to treat it as day-trader would, go ahead, but the incredibly high level it has reached speaks otherwise.
August 16th, 2007 at 10:26 amBTW, the reference to DJ falling under 13,000 in April was a hoot considering it set a record by reaching that level in the same month. It made history and because it didnt sustain itself at such an incredible level, the left points to it as a failure. Huh.
August 16th, 2007 at 10:29 am#23
Those agent don’t set the price. Real estate has been a very good investment over the years.
“After the sale, they are nowhere to be seen….”
What do you think that they owe the person who bought the property when all the signs said it was a good investment?
August 16th, 2007 at 10:29 am“interesting and amazing the things people will do to their fellow man just to earn a buck!â€, she wrote…
yep…
Comment by katy
I’ll allow I was using a broad brush with my statement, and that undoubtedly there are realtors with scruples.
August 16th, 2007 at 10:31 amIn my experience, I’ve never met one who didn’t distort, cover up, and generally rush through the process, often with errors.
#39
They want the market to go down. It’s all about politics for them and not about economics.
August 16th, 2007 at 10:32 amWhat do you think that they owe the person who bought the property when all the signs said it was a good investment?
Comment by Tracy
Oh, they usually take their signs with them, they could at least patch the divots in the grass….
August 16th, 2007 at 10:33 amonly a couple of reasons for the Right to toot its horn about the economy, and the biggest one,the stock market, is going down the crapper. God the Republicans F up everything they touch.
August 16th, 2007 at 10:36 amGen. David Petraeus has been touted as the only one who can determine progress in Iraq and they want to deliver his comments by proxy? NO “F”ING WAY!
August 16th, 2007 at 10:38 amGood Morning all, heard on the new’s this morning, wally world (Wal=Mart) is complaining on their sale’s being way down….It seem’s even cheap crap isn’t selling these day’s…The public is complaining on gas and good’s costing to much. Who would of thought…..Blessings, we realy need them.
August 16th, 2007 at 10:43 amNot only do they want to deliver Petraeus’ comments by proxy, but they want to limit the amount of time he spends talking to the public. I am guessing “the surgeâ„¢” isn’t working as well as planned.
August 16th, 2007 at 10:43 amThe White House, inspired by the VP, are control freaks. No one can tell them what to do or tell them what they just did. Ole Commander Pitchafit stomps his little boots and no one can tell him bad news. Like Scott Horton said, Bush is becoming the Kaiser. The cloud over the White House is more like a black hole.
August 16th, 2007 at 11:01 amThe White House is a repulsive repository of delusion.
August 16th, 2007 at 11:08 amGood Morning all, heard on the new’s this morning, wally world (Wal=Mart) is complaining on their sale’s being way down….It seem’s even cheap crap isn’t selling these day’s…The public is complaining on gas and good’s costing to much. Who would of thought…..Blessings, we realy need them.
Comment by Sharon
They have also been hugely impacted by all the crap coming from CHina being recalled or in the process of being recalled. Which in the case of Wal-Mart is EVERYTHING in their f’ing stores!! They are China’s main store front in North America. I remember the old days when Sam W was so proud of the “made in the USA” slogan. Guess it went the way of the DoDo bird.
August 16th, 2007 at 11:12 amGo Ron! He’s my representative and a damn good one, too. Unfortunately TP has it wrong. He is (D-OR), not (D-WA).
Comment by bilbobaggins — August 16, 2007 @ 9:37 am
To be pedantic, he’s not your representative, bilbobaggins. He’s your senator. And mine, for that matter. So, unfortunately, is Gordon Smith.
My representative is Earl Blumenauer.
August 16th, 2007 at 11:13 amBTW, the reference to DJ falling under 13,000 in April was a hoot considering it set a record by reaching that level in the same month. It made history and because it didnt sustain itself at such an incredible level, the left points to it as a failure. Huh.
Comment by Lanaschop — August 16, 2007 @ 10:29 am
Interesting that al the wingnut morons on CNBC were touting the Dow reaching 36,000 by now. Your ignorance of economics is only enhanced by your stupid, fact-free posts.
August 16th, 2007 at 11:20 amAh, the perfect crescendo for this admin: a recession.
And the people shall storm the halls of Congress
August 16th, 2007 at 11:21 amAnd demand an impeachment
If he’s got nothing to hide, why won’t he answer questions?
Barbour, 59, who is running for re-election this year, turned down an interview request. His spokesman, Pete Smith, declined in an e-mail to answer questions.
http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aG1fHyzJA56A
August 16th, 2007 at 11:25 amheard a bit of the news on this morning’s today show…
about the storms at and heading for texas…
the price of gas going up as a result…
some refineries STILL not fixed since katrina/rita…
and what were those record profits used for?
August 16th, 2007 at 11:28 am???
As for the content of the looming report, anyone who has ever used the Microsoft Excel spreadsheet program knows what’s coming next. Americans should expect to see the old “Fill Right” trick. That is, when producing a long-term financial model or forecast, the Excel user in the absence of research, data, or just common sense, simply copies the value or formula from one cell (for, say, monthly or quarterly sales) to all the succeeding cells (months or quarters in ensuing years). The result is an impressive looking spreadsheet, but one whose projections are baseless and without foundation.
As the interim surge report made clear in July, President Bush like any failed CEO has been relying on the old fill-right gimmick since the Iraq war commenced. Starting in 2003, Bush simply selected the cell containing the phrase “We’re Making Progress” and filled right…
For a screen shot and more details, see:
August 16th, 2007 at 11:33 am“White House to Author ‘Fill Right’ Iraq Report for Petraeus.”
“Sen. Lindsey Graham (R-SC) “dressed in his desert khaki uniform†and “armed with 9mm Beretta pistol in a shoulder holsterâ€
girls play GI Joe?
August 16th, 2007 at 11:57 amNeoCON wetdream of an Iranian provocative event to whip this country into total submission.
Enter the Chimperor with no curiosity about the world but the one of the worst dictators the world will ever see.
Got Martial Law?
Comment by Kay — August 16, 2007 @ 10:14 am
Darth is on vacation in Wyoming.
August 16th, 2007 at 11:58 amThe ongoing mortgage crisis has caused global markets to continue in a downward spiral. Yesterday, the Dow Jones industrial average closed below the 13,000 mark for the first time since April. “And markets in the United States were expected to open lower again today.â€
Gee, too bad we didn’t privatize Social Security, because then everyone could watch the money they put into that go in the tank, too. I wonder how long the middle class is going to be content to watch their retirement accounts dwindle before they start calling for somebody’s head.
August 16th, 2007 at 12:13 pm#44
Comment by Raven — August 16, 2007 @ 10:33 am
What do you think that they owe the person who bought the property when all the signs said it was a good investment?
August 16th, 2007 at 12:25 pmI write a financial blog.
Let me ask a question: Were the mid and late-1990’s a good time to be invested in the stock market?
Think about it for a second before answering.
My answer would be “Yes. Absolutely.” Yours?
Do you realize that the stock market had significant market corrections in that period? For example, in 1998 the SP500 corrected over 19% in the summer months. Yet, 1998 was a good year for the stock market.
Corrections in the stock market wash out the weak hands and daytraders, and present a long term buying opportunity for those with longer-term horizons. I believe that latter category is most of us, as we save for retirement, college savings, or a new home purchase in 5-10 years.
Many of you decry the growth rate after the 2001 recession. I’ve always wondered why that is. Booms lead to busts. The 1990’s dot-com boom led to a stock market bust and recession. The 1997-2005 housing boom has led to a recession in real estate. Booms are bad things. Moderate growth is better. We have moderate growth in the economy. It is sustainable and doesn’t lead to pain. When I hear the GDP is moving between 2.5% to 3.5%, I know that nothing is getting too crazy out there.
Regarding the credit markets, as I blogged about yesterday, all we are seeing now is a regression back to normalcy. The days of borrowing 103% loan-to-value with a no-money down, stated-income, negatively amortized mortgage to buy a home to cover the house price and closing costs are gone. Folks will need a down payment and a good credit record, and will need to prove their income and asset levels. That’s the way it used to be. That’s the way it should be.
If you’re concerned about the stock market, then it’s not a question about the prices of stocks. It’s more about a question of your risk tolerance and your asset allocation and diversification strategies. Stock markets routinely pullback and correct. The long term growth rate of the stock market is between 8-12%, depending on what start date and end date you use. Investing in America continues to be the best way to save and to grow your net wealth.
I view today’s market as a bargain. I’m 100% invested, and am beginning to rotate out of some index funds into some companies that I think are positioned well for the future and whose stock prices have fallen to very attractive levels.
I won’t give specific names here, but let me ask you another question or two. Do you think that it’s the end of solar energy in the US? Do you think it’s the end of portable electronic equipment in the US? Do you think that well-run large banks with diversified investments will continue to do well and benefit from the consolidation and elimination of competition (those small mortgage companies)? Do you think that nobody will ever need health care again?
Fear creates opportunities.
August 16th, 2007 at 12:26 pm#53
Where did you dig up that BS 36,000 number from?
August 16th, 2007 at 12:27 pm#44
Comment by Raven — August 16, 2007 @ 10:33 am
What do you think that they owe the person who bought the property when all the signs said it was a good investment?
Comment by Tracy — August 16, 2007 @ 12:25 pm
they could at least patch the divots in the grass….
Comment by Raven — August 16, 2007 @ 10:33 am
August 16th, 2007 at 12:30 pmGraham: “Tom, we’re winning this thing out here.â€
Has he defined what he means by “winning” yet? Has any Republican defined what winning in Iraq means? Or is it just a powerful emotional and intuitive feeling that comes over you when you are deep in the throes of Chimp worship?
August 16th, 2007 at 12:33 pm#64
Never mind. LOL!
August 16th, 2007 at 12:34 pm#66
August 16th, 2007 at 12:44 pmHey, you’re finally starting to lighten up!
basically, the entire repuke party disgusts me
August 16th, 2007 at 12:53 pm#67
Joking aside do you have a real answer?
August 16th, 2007 at 2:17 pm#67
BTW you usually do pull your the for sale sign out of the yard after you sell a house.
August 16th, 2007 at 2:21 pmOk, the whole post:
Rep math:
3,500 dead americans
1,000,000 dead Iraqis.
See? Good.
Comment by Juan C
August 16th, 2007 at 5:01 pmhey at least we are doing our job in term of helping out in man made global warming
#71
If there was such a thing as man made global warming happening today. Remember I said “man made”, i.e. that global warming is completely being caused by man.
August 16th, 2007 at 5:03 pmyou know if we block out the sun a little more, maybe we could cool the earth- like the fear back in the 70’s due to pollution. not that we got rid of the polluted clouds, more sunlite gets in an heats up more
August 16th, 2007 at 5:47 pmThis surge was supposed to facilitate political progress. No political progress has been made. There is no oil law. Shiia militias have not been disbanded. The Sunnis have left the cabinet. Political progress can’t be forced through the barrel of a gun.
August 16th, 2007 at 5:52 pmThe Barbour bloodline is full of crooks and racists…
…imprison and execute them…
…make them examples…
August 16th, 2007 at 7:46 pm