“Taper” and “Sequester” both Wall of Strength?

“Taper” may be easier to define (and spell) than “sequester” but both caused the same headache for financial markets.

“Taper” is the latest buzzword that describes the Federal Reserve’s pledge to gradually drawdown the ultra-loose borrowing conditions fueled by its bond buying (the Fed’s demand drives up bond prices and drives down borrowing rates pinned to those bonds). “Sequester” you’ll remember was the S-word that emerged from federal budget-balancing attempts. It had investors bracing, however briefly, for an expensive and inconvenient government service disruption. Words can be potent once they’ve entered the investing vernacular. We get it. It’s noise that can be hard to tune out. And who wants to turn a deaf ear when our portfolios are at stake? Frankly, the negative use of the word “tapering” has muddled the fact that the Fed is simply readying for actions that most investors have expected for some time—which ironically, are tailored responses to an improving economy.

Stock Market Jitters in 2013

The formidable line here is an uptrend. The S&P 500 closed at an all-time high 1,669.16 on May 21, 2013, up over 130% from its financial-crisis low of 676.53 reached March 9, 2009, but it wasn’t a straight path to that high. From election uncertainty to fiscal-cliff vertigo to rumblings from Europe, and now, intense focus on the Fed–we’ve been here before. Data source: TD Ameritrade/Standard & Poors.

Of course there are no guarantees.  Today panic seems to be in the air.

There are Consequences

There are consequences to the things you say or do even if you are not in the public eye.  Express hatred or dislike for a particular group (i.e. the Irish are all drunkards) to friends and you might learn that they are offended by your words.  The consequence is the loss of friendship.  Similarly a business has the reputation for mistreatment of its employees (think Wal-Mart) and the consequence might be the loss of customers.

Rush Limbaugh

I usually do not listen to Rush Limbaugh because of his incendiary language.  Apparently I am not alone.  Salon.com reported on a Politico Dylan Byers column that Limbaugh may be leaving Cumulus Media by the end of this year because of his remarks about Sandra Fluke.  Limbaugh called Fluke a slut.  The Cumulus Media CEO said that their top three stations had lost $5.5 million, in part, because of an ensuing boycott of their stations.

A fire at one Bangladesh clothing factory followed by the collapse of an eight story building, that has now reportedly killed more than 800 people, has resulted in clothing companies withdrawing their contracts in that country.  Of even greater concern is that there will be a loss of sales in stores of products made in Bangladesh.  That would include me.

Coca Cola introduced New Coke about ten years ago.  It was a total flop.  They quickly returned to their original formula.

The NRA may be dancing over their defeat of a background check for gun buyers but the consequences of their lobbyist efforts will be felt.

The next time you are about to open you mouth on any subject consider the impact of your words and the possible consequences that could affect your relationships or your company’s relationships.

Calling Criminals What They Are

Remember this from when you were a child: Sticks and stones my break my bones but names will never hurt me.  

The Associated Press has a style book that tells its reporters what words to use in specified situations.  It appears that the “word usage department” has determined the desire to not hurt anyone’s feelings has taken priority over reality.

Thus AP has decided the words “illegal immigrant” might be offensive to some people.  Therefore “undocumented workers” must be substituted for “illegal workers” arguing that the word “illegal” is dehumanizing and lumps border crossers with serious criminals. Some people even view the words “illegal immigrant” a form of hate speech.  They refuse to utter those words, referring only to the “I-word.”

 I must counter with the question, what do you call a petty thief?  After all he is a thief.  The answer is shop lifter, pick pocket, larcenist, pilferer, stick up artist, etc.  Sorry to say but at the end of the day a thief is a thief.

An illegal immigrant is someone who crossed the border without permission.  He has broken the laws regarding entry into the country.  It’s not just the United States.  Whether you drive into Canada or fly into Canada, the Canadian authorities ask where you are from, where you are going, and how long do you intend to stay in their country.

What should we call a murderer?  What should we call someone who has been unfaithful to their spouse?  Whatever we call them we won’t want to use a word that would hurt their feelings.  After all, words do matter.

Invasion of Other Languages into the United States

American English is a conglomeration of word used in other languages. An article in The Week magazine dated December 7, 2012 titled “Why we’re speaking British” caught my attention.  The author pointed out that all of sudden we are using phrases like “spot on”, “ chattering classes”,  and “going missing” that have recently been adopted by commentators and reporters.

We haven’t adopted all of the English expressions.  “Way Out” is used on exit signs.  You rarely see the word “exit.”  Canadians have “washrooms” although they do know the word “restroom” and “toilet.”

Here is a list of some words commonly used in the United States.  French, Spanish and Yiddish words are predominate in my vocabulary.

adios, Spanish – ‘adiós’ meaning “goodbye”

aficionado, French – ‘amateur’ “unprofessional person” or “affection” too.

à la carte, French – In restaurants it refers to ordering individual dishes rather than a fixed-price meal.

à la mode, French – the phrase is used to describe a dessert with an accompanying scoop of ice cream (example: apple pie à la mode).

amigo, Spanish and/or Portugueseamigo, “friend”; from Latin amicus meaning “friend,” derived from amare (to love).

bagel, Yiddish – a ring-shaped bread roll made by boiling then baking the dough

ballet, French

barbecue, Chibchabarbacoa (Chibcha , indigenous people of the eastern cordillera of the Andes of Colombia.)

bon voyage, French – literally “good journey”; have a good trip!

breeze, Spanishbrisa “cold northeast wind” or from Frisian briesen – to blow (wind)[

cafeteria, Spanish – cafetería, “coffee store”

cannibal, Spanishcaníbal, alteration of caríbal, from Caribe

canoe, Spanish canoa, from Haitian canaoua

chaparral, Spanishchaparro loosely meaning small evergreen oak, from Basque txapar, “small, short”

chocolate, Spanishchocolate, from Nahuatl xocolatl meaning “hot water” or from a combination of the Mayan word chocol meaning “hot” and the Nahuatl word atl meaning “water.”

chutzpah, Yiddish – nerve, guts, daring, audacity, effrontery

cigarette, Frenchcigarette “little weed”, diminutive of French cigare “stogie”, from Spanish cigarro meaning “fag (UK), stogie, stogy.”

cockroach, Spanishcucaracha

comrade, Frenchcamarade meaning “friend”, from Spanish camarada, “pal, mate”

condor, Spanish – from Quechua cuntur

corral, Spanish – from corral meaning “pen, yard” from Portuguese

coyote, Spanishcoyote, from Nahuatl coyotl

crusade, blend of Middle Frenchcroisade and Spanish cruzada; both ultimately from Latin cruc-, crux cross

cul-de-sac, French – A blind alley or dead end street

ganef or gonif, Yiddish – thief, scoundrel, rascal

glitch, Yiddish – a minor malfunction

klutz, Yiddish – clumsy person

kosher, Yiddish – correct according to Jewish law

kvetch, Yiddish – to complain habitually, gripe; as a noun, a person who always complains

lox, Yiddish – smoked salmon

macho, Spanish – from macho, male, brave, the property of being overtly masculine. In Spanish is masculinity

maven, Yiddish – expert

megillah, Yiddish – a lengthy document or discourse: Production: What are you making, a megillah?

mensch, Yiddish – an upright man or woman; a gentleman; a decent human being

meshuga, Yiddish – crazy

nosh, Yiddish – snack

nudnik, Yiddish – pest, “pain in the neck”, originally from Polish

oy, Yiddish – (exclamation) Oh!; Oy Gutt – Oh (my) God!

renegade,  Spanish – from renegado, “turncoat, heretic, disowned”

schlep, Yiddish – to drag or haul

schlock, Yiddish – A poorly made product or poorly done work, usually quickly thrown together for the appearance of having been done properly; “this writing is schlock.” Something shoddy or inferior.

schmooze, Yiddish – to converse informally, to small talk or chat. Can also be a form of brown-noseing

schmuck, Yiddish – contemptible or foolish person; a jerk; literally means ‘penis’

schnook, Yiddish – an easily imposed-upon or cheated person, a pitifully meek person. a particularly gullible person.

shack, Mexican Spanishjacal meaning “hut”, from Nahuatl xacalli

spritz, Yiddish – A sprinkling or spray of liquid

temblor, Spanish – for trembling, or earthquake; from temblar, to shake, from Vulgar Latin *tremulāre, from Latin tremulus

yenta, Yiddish – a talkative woman; a gossip; a blabbermouth; a scold. Used as the name of the matchmaker in “Fiddler on the Roof”, who personifies these qualities.

Gloat

Why are Democratic pundits gloating over the election results?  Barack Obama did not win by an overwhelming majority.

The final results from the presidential election are impressive when looking at the Electoral College (332 to 206) but not so impressive when looking at the popular vote (65,258,278 or 50.9% to 60,658,920 or 47.3%).  Thus .9% gave the president a win.  Hardly a landslide.

Despite that narrow victory Democratic pundits are gleefully hashing out the mistakes made by Mitt Romney and his campaign election team as if they were utterly incompetent.

Wikipedia lists these landslide victories among the popular vote.  These were wins worth gloating over.

So while I disagreed with Mitt Romney’s opinions on women’s rights (from pay to abortion and contraception), his lack of concern for 47% of the population, his solution to illegal immigration (self deport), and his confrontational views in foreign policy; almost half of all Americans gave him their vote.

Mr. President stop gloating.  You do not have a mandate.

Freedom of Speech

Anti-jihad ‘savage’ ads going up in NYC subway NEW YORK (AP) — A provocative ad that equates Muslim radicals with savages is set to go up in the city’s subway system as violent protests over an anti-Islamic film ridiculing the Prophet Muhammad sweep over much of the Muslim world.

“Innocence of Muslims” is the Muhammad movie that was the excuse for riots throughout the Muslim world.  Google was asked to remove the movie clip from Youtube but they refused, sighting their first amendment rights.

The American constitution’s first Amendment says

“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the government for a redress of grievances.”

Americans of all stripes hold those words as important as any in the bible.  We go to war to defend the freedoms we have.  Many elsewhere do not agree with this belief.  They believe that the United States has a responsibility to muzzle words or actions they consider disrespectful.

It’s a conflict of beliefs that could lead to a breakdown of relations with other nations.

I believe Americans really take these words in our Declaration of Independence to heart

“We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.”

I believe Americans will fight, if necessary, to defend the American ideals.  Thanks, Thomas Jefferson.

Patriot

What is a patriot? Microsoft Word offers the following synonyms: loyalist, nationalist, flag-waver, partisan, compatriot or fellow-citizen, and jingoist.

Germans fought for their nation during WWII.  They were probably not all Nazis but they were loyal to their nation and wanted to see their nation win the war. Those loyalists were patriots.  So a patriot is someone who feels a strong support for his or her country.  Apparently it is a blind allegiance.

Strangely Ron Paul, while campaigning for the presidency, said that while Army soldier Bradley Manning’s may have “technically” broken the law against releasing classified information to WikiLeaks, he did so for the purpose of exposing the “horrible things” being carried out by the U.S. Government. Referring to Manning’s detention before trial, Paul said, “Should he be locked up and imprisoned?” Manning should be seen as a “political hero” and “true patriot who reveals what’s going on,” Paul said.

Using the Ron Paul logic; Daniel Ellsberg, an employee of the Rand Corporation would also be a patriot.  Ellsberg precipitated a national political controversy in 1971 when he released the Pentagon Papers, a top-secret Pentagon study of U.S. government decision-making in relation to the Vietnam War, to The New York Times and other newspapers. He was awarded the Right Livelihood Award in 2006.

Most definitely our volunteer army is made up of patriots.

Dictionary.com provided these two definitions

1. a person who loves, supports, and defends his or her country and its interests with devotion.

2. a person who regards himself or herself as a defender, especially of individual rights, against presumed interference by the federal government.

My definition is a person who fights in every way he can to make his country the very best.

Lifestyle

Congratulations to Weight Watchers for convincing millions of overweight people that their solution is a change of Lifestyle.  Weight Loss Boss by David Kirchhoff, the CEO of Weight Watchers International, is all about Lifestyle.  My lovely wife, who needs to lose at least another 18 pounds, contends that her revised eating habits are all about Lifestyle.  Losing weight and keeping it off is not my idea of a Lifestyle.

I like the Wikipedia definition. Lifestyle (sociology), the way a person lives to one’s own ability. Individual identity. A lifestyle typically reflects an individual’s attitudes, values or world view. Therefore, a lifestyle is a means of forging a sense of self and to create cultural symbols that resonate with personal identity.

The Free Dictionary offers a concise easy to understand definition.  A way of life or style of living that reflects the attitudes and values of a person or group.

Microsoft Word provides a definition by reading its Thesaurus. Way of life, Existence, Standard of living, Routine, Life, Daily life, Everyday life, Means.

What is the Lifestyle of the rich and famous? Robin Leach spotlighted the eccentricities and excesses of a different member of the “rich and famous” each week from 1984 to 1995.

My Lifestyle is doing the things I like to do without having a boss.  It’s writing in this blog and walking or riding around taking pictures of unusual things.

I AM TRULY VERY FORTUNATE.

What’s your Lifestyle?

Appeasement

Mitt Romney accused President Obama of appeasement of America’s enemies.  Immediately we think of Neville Chamberlain’s appeasement of Hitler prior to the start of WWII.  Britain and France pursued a policy of appeasement in the hope that Hitler would not drag Europe into another world war.  It was the surrender of Sudeten to Germany from Czechoslovakia. We all know how that ended. The start of the war is generally held to be September 1, 1939, beginning with the German invasion of Poland.

The facts do not support the Romney accusation.

  •   1. Obama increased the number of troops in Afghanistan from 30,000 to 100,000 in his first year in office.  While a draw down has started the forces are still larger than 30,000.
  • 2. Many high-profile Al-Qaeda leaders have been killed.  Among them are Osama bin-Laden and Anwar al-Awlaki.
  • 3. As recently as Wednesday of this week a U.S. spy drone crash landed in Iran.
  • 4. The United States will be deploying 2,500 military personnel to the north coast of Australia as a message to China that they do not control the Western Pacific region.
  • 5. There has been no draw down of American troops anywhere in the Far East. Nor has there been any withdrawal of forces from any nation in the world.
  • 6. The United States did turn back an effort by Palestinians to gain nationhood status in the U.N.
  • 7. The United States provided the military power that removed Muammar Gaddafi  from power in Libya.

The real problem is that Mitt Romney seems to believe that if he repeats a lie enough times it will be believed.  Barack Obama should not waste a moment of time defending his decisions in foreign affairs.

“Uncertainty” and the Soap Opera

Republicans have been making hay with this word.  They have been claiming that it’s been uncertainty that has caused business to delay investment in new equipment and hiring of new employees.  However, the idea of re-doing another federal debt limit hike debate in six months is not going to cause uncertainty does not seem to have crossed their minds.  Or perhaps it has.  After all the primary Republican mantra has been “we want lower taxes.”

The current “debate” has been the recent and primary cause of the hesitation that has been the driving force in both business and politics.  Politicians fear they won’t be re-elected if they vote the wrong way.  The problem is they do not know what their constituents want.  Simultaneously investors are selling their stocks and bonds fearing that their investments may be in jeopardy.

It is indecision by our leaders that is most dismaying.  This soap opera should end now but it won’t.  Soap operas can last a life time.  Perhaps Congress should appear on a national network under the name “Days of our Lives.”  After all we are all wondering what will happen next.  One thing is certain.  If we miss a day or two it won’t really matter.