SCREW UP #1 - Record Credit Card Default Rate from Calculated Risk is something you have all most likely seen today, but it just looks better with all the data in one place. Throwing the later announced BAC troubles in really caps off a good story. CR notes, "For the stress tests, the indicative two year loss rate for the more adverse scenario was 18% to 20% for credit cards (around 9% per year). That test might have been too lenient."
SCREW UP #2 - San Francisco Fed: "This Recession Should Cause A Significant Decline In Core Inflation TD at ZH has this to say, "Maybe if the Fed hadn't drowned the market in 10x more liquidity than it could possibly absorb (with all of it stuck in oil barrels and none trickling down to the consumer), L&W wouldn't be fooling themselves. But who are we to criticize Ben Bernanke." and he could not be more right.
SCREW UP #3 - I'll keep picking on CA because they are an easy target and are in such bad shape that the major media will hardly cover it (surprise!). CA might as well be on another planet. This is a bigger deal than we all know IMO. Mish has California Foreclosure Moratoriums An Exercise Of Stupidity . "This bill is pure idiocy and will not stop a single foreclosure. Instead, the bill will increase late pays and foreclosures. It's an exercise of sheer stupidity."
Thus three examples of sheer idiocy by our feerless leaders today and we're counting on the same morons that got us in this mess to get us out of it? Well there was one good piece of news today. The man that SHOULD BE our fearless leader Ron Paul's "Audit The Fed" Bill Gets Majority House Support is the only true green shoot to this point of the diaster.
NOTE - Indicators are turning. Weeklys are there if we can get any follow thru. Still digesting market after vacation and updating charts, so you'll get a chart post soon. Thanks for the views and comments.