Monday, December 8, 2008
Not the Messiah
Equities are at a 1 month high, and it happened in a couple of sessions. Short covering, hopes for a new president, and bailouts are not the stuff of a sustainable market advance. That does not mean that a blistering rally is not underway - nor does it mean that a retest in short order is not possible.
The markets are not for the weak of heart at the moment. If you are a disciplined trader, this might be a good time to go to work (emphasis on MIGHT). If you are not, and by that I mean that you are not good at taking losses AND knowing when you have reached your targets in the event you are right... this market is not for you.
While the media decries what it sees in Detroit, I am elated!
No not the fact the the Big 3 are on the ropes, and homes cannot be sold for $1.
I am speaking about poor folks doing something constructive to provide for themselves (and I really applaud the efforts of those people that have been helping the citizens of Detroit in this effort). Several reports have been made of the fact that food producing gardens had been springing up all over Detroit in abandoned and empty lots. Many of my readers may not know that I am an avid gardener, and I own a family farm in Middle Tennessee where my family spends its spring and summer and harvest. In a half acre garden we grow enough vegetables to keep us in corn, potatoes, tomatoes, broccoli, peppers, spinach, kale, eggplant, etc... for most of the year. We also produce all of our eggs and milk on the farm, as well as most of our meat.
There are 30 million Americans receiving food stamp assistance. Said assistance will keep a family alive, but not necessarily with the best nutrition possible. I am beyond thrilled to see these reports (thank you kenny in Washington for the links). Purchasing Organic produce is out of financial reach for people living on assistance, GROWING it is not. Everything about the endeavor is a positive for the folks in Detroit. Better nutrition, something to do an be proud of, family time, etc... THIS is what a governments SHOULD be doing for people.
Actually, that last line was not entirely fair. In Tennessee, we have a University of Tennessee Agricultural Extension Office, and most states have a similar program, that will come to your home, perform free soil analysis, provide planting schedules for your locale, and such other advice as you might need to get going. I cannot begin to tell you how impressed I was with our extension office.
Recently, Gerald Celente, the CEO of Trends Research Institute published his views about food shortages in the U.S. by 2012. You may not know this guy's work, but folks on Wall Street have been following him for years. I gotta say, "when Celente talks, people listen". His abilty to connect the dots is unsurpassed. Still, I am somewhat more hopeful than Celente, and the reports coming out of Detroit supports that hope. People will react, and if our local and state governments handle this well - and most states have an extension office ready, willing, and able - there is no reason for the U.S. with its relatively less densely population to land mass to sink to this outcome. Actually, there is ONE reason - DENIAL. But I think folks will get over that pretty quickly
When I was a kid in the 1960's I spent a month every summer with my Grandmother and my Aunt in South Philadelphia. It was as "inner-city" as it got... we played stick ball in front of Gramma's row house, we had pinball, and I settled disputes with my cousins in a dual - each opponent was armed with 2 pieces of sandpaper. The guy who lost all the skin on his nose first lost the dispute. This was working class, inner city at its most. And people had chickens nd rabbits in their backyards (and they weren't pets), vegetable gardens, and a guy with a horse drawn cart that came by selling produce, milk, and butter from not very far away. Another uncle lived next to a cemetery that was right next to a small dairy operation - right in the middle of South Philly.
Detroit is not to be pitied, and in any event they will be copied sooner or later.
Mentatt (at) yahoo (dot) com
Posted by The Short Story Man at 10:18 AM