"You know what the news is-- in a minute, you're going to hear the rest of the story"- Paul Harvey
The Markets
Will the lies and mis-leading information ever stop? The answer is no. The stock market is a zero sum game. Somebody wins, and somebody loses. Unfortunately, those who follow the advice of some (not all) of the guests placed on financial TV, they will win, and you will lose.
Wednesday's news was the lies embedded in the CPI data. Yesterday, analysts began recommending Chipmakers and oil stocks.
I cannot make my views any plainer than this. Our economy is in a freefall, and as long as gas prices remain above $3.00 a gallon, consumers will zip up their pocketbooks.
Today's spin on housing starts is absolutely nauseating. The Commerce Department reported today that housing construction rose by 8.2 percent in April , but construction for single-family homes continued to weaken.
The rise in construction of 8.2% were for new apartments that are being built. Does this not set off a huge alarm bell in you mind? Why apartments? It's very simple. Housing is unaffordable, and the people who were once homeowners and have been foreclosed on need a place to live.
I have been looking at several apartment REIT's lately, and here are a few;
Camden Property Trust (CPT)- 5.32% yield
Apartment Investment and Management Company (AIV)- 5.92% yield
AvalonBay Communities (AVB)- 3.39% yield
EQUITY RESIDENTIAL (EQR)- 4.36% yield
Essex Property Trust (ESS)- 3.38% yield
United Dominion Realty Trust (UDR)- 5.25% yield
BRE Properties (BRE)- 4.34% yield
You may want to comb through the preferred stocks as well. You can search for them at Google Finance or at www.quantumonline.com.
Let's discuss oil for a moment.
Oil Crisis
Many people believe they can control their own lives. They really believe we when they pay cash for their homes that they actually own them. The US Constitution, which President Bush said was only a G*ddamed piece of paper", is being thrown out the window.
It's true, if you want to control a nation, and the people in it, control the oil. That's exactly what's happening.
The current oil crisis is setting the stage for the New World Order, the North American Union, and the new North American currency, the Amero.
The collapse of the US Dollar is setting the stage for a new currency. It will be touted as the solution for what ails us.
I think our current energy woes go way beyond a simple supply and demand issue.
