Economic Update:

Here is a list of headlines that give you a little feel for where our economy is at right now.  It is always hard to get a real feel for an accurate look at things, so as always I want you to research for yourself as well.  Based on what I see, 2010 is turning into a continuation of 2009 policies.  The new budget is breaking records for new debt, Congress has and will probably again raise the debt ceiling, many states are unable to pay the bills, interest rates are being held down, and the printing presses are pumping out dollars as fast as they can.  

I don't like to make predictions, but many economists much smarter than I say that 2010 will be a rough year for economies around the world.  Nothing has ever been done to address the issues that caused this crisis in the first place, and the current policies in Washington are and will make the problem much worse.  All I can ask is what in the world are they doing?  The actions being drawn up are doing more damage and preventing our nation from economically resetting to a sustainable point.  You would be wise to figure out what you can do with your value dropping dollars.  In case you don't know, the American dollar has lost around 15% of its value in less than a year and it is going to get worse.

President Obama's 2011 Budget: $3,830,000,000,000

Unemployment continues to rise around the country...

Majority of states in the U.S. are now insolvent...

Many states are now borrowing to pay for unemployment benefits and that list is soon to grow to include many more states, and some you may be surprised by.

Commercial real estate losses would wipe out entire banking system

US debt to hit ceiling by end February: Treasury

The US debt is on track to hit its congressionally approved debt ceiling by the end of February.

Business bankruptcies rose 7 pct in January

Reuters – Wed Feb 3, 11:29 am ET  

NEW YORK (Reuters) - U.S. business bankruptcy filings rose 7 percent in January from a year ago, according to a bankruptcy data provider on Wednesday, as the sluggish economy hurt sales and hindered businesses' ability to refinance heavy debt obligations.

Treasury expects to hit debt limit in February

AP – Wed Feb 3, 11:49 am ET   WASHINGTON - The Treasury Department said Wednesday it expects to hit the government's debt ceiling by the end of February, putting pressure on Congress to raise the limit from its current level of $12.4 trillion.

January 2010. By David Caploe PhD, Chief Political Economist, EconomyWatch.com. It was big news when it was announced the US economy supposedly grew at a robust 5.7% during the fourth quarter of 2009. But there are real reasons - both immediate and structural - to be wary of this alleged good news. Broadly speaking, there are at least SEVEN reasons to hold off on breaking out the Champagne to celebrate the "end" of the recession.

January 2010. Juan Abdel Nasser, EconomyWatch.com.

The sucker's rally in equity markets has come to an end, as I predicted last year, and there will be a major crash in 2010. In fact, it looks like the March 2009 lows are in danger, and a 40% - 50% wipe out could be on the cards.