CNN Propaganda Machine Turned On
Christine Romans on CNN Your Money on Saturday afternoon spoke with Black Enterprise editor Alfred Edmond and radio host Roland Martin about the stock market and the economy.
EDMONDS: How much worse could it get when you got down to 6500? I think it’s encouraging. it’s somewhat sustained performance by the stock market. I think you saw the news on housing starts. That’s encouraging. I think we can take a breath but not relax yet.
MARTIN: Are we getting better? Yeah, when you’re at 6500 and you’re now at 9000, that’s better. Rush Limbaugh, it’s better whether you like it or not. So it amazes me when people act as if you cannot acknowledge when the number is better.
ROMANS: Rush took a little piece out of me, mentioned this program, also my friend Susan Lisovicz saying that by talking about the stock market rally we were somehow missing all of the terrible things that have happened. But look, you can at least open up your 401(k) statement and see that you’re getting a little bit of it back.
MARTIN: Rush, you can’t argue with those facts. And so you always want to see positive growth. You always want to see that if things are getting slightly better that’s much better than it’s getting worse. Literally it was every day people going, “Oh, my God, not another report of how bad it is.”
Me: The stock market is still down, peaked up at over 14,000
There’s still no job being created.
“And so you always want to see positive growth.” Really? Did you do that, Martin, during the Bush years? Did your colleagues at CNN report all the positivity during the Bush years?
On CNN, July 1st,
ROMANS: The silver lining, if you will, is that May was revised — the previous month, I should say, was revised lower, and that was May. Also we have a separate report from Challenger Gray & Christmas, which shows the planned job cuts, the announcements slowed, and that is the fifth straight month, so that is encouraging. What is also high, and this is also silver lining, is the first day of July starting off on a positive note, the Dow is up 128 points, the NASDAQ is up 25. Good start. Tough act to follow, though, the second quarter rally that we saw.
On CNN, June 30th,
NGUYEN: Christine Romans here to explain. How did we do in the first half of the year?
ROMANS: (giddy) We’ve seen a spring stock market rally that has been quite incredible. Job losses are slowing. Consumer confidence is improving. People are feeling a little better. They’re feeling better because they’re spending less. They’re saving more money. They’re getting back to basics. There’s a new frugality that’s making them feel better. There was a hu-u-uuge rally in the stock market in the second quarter. The stock market [is] telling us that it thinks things are going to get better eventually, and you’re going to see that rally. If you are still invested in stocks — if you had faith and you were buying stocks along the way this spring, you’re buying them at cheap prices — you’re going to see that rally when you open up your 401(k) statement.
Me: People are still scared to death to open up their 401 k statement. The state-run media will do anything to tell people what they’re seeing and feeling isn’t true. Verizon wireless will have cut 8,000 jobs before this year is over.
COLLINS: Joining us now, Susan Lisovicz from the New York Stock Exchange. Hi, Susan.
LISOVICZ: We’ve seen the market turn around. Why is that? Well, you just mentioned new home sales. The expectation was that new home sales rose 2.3% last month. Guess what? It jumped 11%. That is –
COLLINS: What?
LISOVICZ: — the number we are seeing.
COLLINS: What?
LISOVICZ: Yes. Yes. We saw the third straight monthly increase, Heidi, a remarkable summer scorcher. The sense that corporate America is telling us things may be bottoming out or in some cases improving just a little bit, and so the market has taken off on that. The Dow’s best two-week run since the beginning of the decade; the NASDAQ rallied 12 consecutive sessions. We haven’t seen that since before the dot-com bubble way back when in 1992. And now we’re getting this information that the housing market, which I think many would argue, which is where this crisis all began, is showing signs of life.
COLLINS: I’m sorry. I’m a little slow. I just want to make sure I have this right. We thought it was only going to go up by about two-to-three percent, but it actually went up 11?
LISOVICZ: That’s right. (giddy) These are estimates, and –
COLLINS: Right.
LISOVICZ: — as you know sometimes they’re way off. This would be an example. And a lot of times we see revisions, and we saw a revision as well. The revision was higher. But the fact is, there’s activity.
What might be an explanation for new home starts and housing starts going up?
One, there’s a plan out there that first-time home buyers are being subsidized to the tune of eight grand if they buy a new house by November.
Two, home values have gone down drastically, and thus there are bargain prices everywhere, not including the even cheaper foreclosed homes. People with the wherewithal are taking advantage of the bargain prices. The markets work. Period.
What’s the lesson here? What incentivizes new home sales? A tax cut or a tax credit. Now, if a tax cut – or credit, if you want to look at it that way – can stimulate the housing market this way, then is there not a lesson here that maybe the same kind of activity over the economy at large would accomplish the same thing? They know what to do, it’s just they won’t do it since they’re too ideological.
It’s just interesting to see that when everything was going good during the Bush times, they tried to make it look as bad as it actually is today. Not that it is actually the worst recession since when Reagan took office, they’re trying to look for silver lining wherever they can find it and to paint the situation as beautifully as they can.
ABC radio news said some economists are declaring the recession over today (July 27, 2009)
OK, so you have seen the propaganda in favor of the Obama administration, coming out of CNN.
You know, during last three to four years of the Bush administration, mainstream media did everything in its power to try to create a consumer confidence rating such as that that’s in actuality today. They failed. Nonetheless, though, what they tried to do would be harming the US economy; these people are so ideological, and they cared much more about destroying Bush than seeing the economy thrive.
CNN is now doing its best to tell everybody that what they’re seeing and feeling and experiencing isn’t accurate.
That we’re coming back, that the stock market’s rebounding, that your 401(k) is all of a sudden expanding. Everything’s okay now. ABC radio news said some economists declared the recession is over. The 401(k)s are coming back, stock market’s ticking up.
“The Conference Board said Tuesday that its Consumer Confidence Index, which retreated last month, fell to 46.6, down from 49.3 in June. Economists were expecting a reading of 49. It would take a reading above 90 to signal that the economy is on solid footing.”
Somebody needs to tell them this over at CNN. The economy is in the toilet. Bank of America is closing 10% of their branch. Verizon wireless cutting 8,000 jobs this year. Caterpillar
CNNmoney.com: “As a growing number of Americans default on their mortgages the Obama administration is set to meet today with industry executives to discuss their efforts so far to help people save their homes. As joblessness soars, more Americans are losing their homes, the Obama administration meeting with loan servicers to find out why this is happening.”
Are you gonna kneecap them, too? “why this is happening?” The answer is simple, people are losing their jobs and/or have less money in their pockets, because of what the Obama administration has been doing to the private sector.
You don’t give grants to solve this problem, because that will just delay the reckoning. The answer to this problem is to create a growing, thriving economy, partly by incentivizing the private sector to excel and create jobs.
