TAX REFORM ….ARE WE ALL OFF TO SEE THE WIZARD THE WONDERFUL WIZARD IF EVER A WIZARD THERE WAS BECAUSE……..
Mnuchin is the head of the most powerful money machine on Earth the United States Treasury. Today Munchin is marching to the Trump ( et ) and immediately deflected the pain of NO GAIN on Obama Care into the EASE OF TAX REFORM.
The Ease of Tax reform?
Does one think the republicans who defected to the democrat side – the republicans who have more conservative views – more demanding views – of tax reform or any other legislation will now lock step like Nazis in Suits to vote for the Tax reform Package? Do you believe the fragile majority is, in fact, a myth? Do you believe the fragile majority has SHATTERED and the required votes to DO ANYTHING are just not present? Congress is as it has been for 25 years – dysfunctional. Locked into ideological bifurcations that have no resolution.
Does one think the TAX REFORM PACKAGE will be suddenly embraced by the democrats? Do you think twenty out of the republican camp will not vote for TRUMP further shattering the majority “illusion” of the election itself?
So the TRUMP MYTH has created a 10% equity lift since November of trillions of dollars in valuations – all based on change – massive immediate 2017 change – that would inspire business growth – investment – and job creation. None of that is happening nor does it appear that is likely to happen this year or even at all. We have called the rally a FOOLS Rally that will sucker punch grandma and school teachers and regular everyday folks like a blow to their gut when the reality sinks in.
The hope and the promise are not taking place. As the SUPER MONEY and their software that controls the world casino accommodates the ONE TRUTH – those who delay protecting their pay are going to have a bad hair day. First out wins. Those who delay – pay.
This run on the global market space on phony value is going to move beyond speculators to moderate as accounts rebalance. Said another way a BLOOD BATH is about to unleash. Remember you read we predicted this – precisely – to Spring 2017. Say since last summer if you scroll back in time – over and over again and again. Warning you all. Telling you what to do to SAFE HARBOR your nest egg out of harm’s way.
So now we follow Mr. Mnuchin’s other munchkins right down the yellow brick road on tax reform – as our next rabbit out of a hat – singing the song all the way down the path – follow the yellow – follow the yellow – follow the YELLOW BRICK ROAD – dancing and singing until those poppy fumes put us all the sleep and the WICKED WITCH of real economics allows us to wake up to reality where there is no yellow brick road any longer.
Mr. Mnuchin’s curtain is torn open by too ( the world press and hard data ) and the Congress is less likely to pass massive tax reform than they were Obamacare. The congress is fatally divided. The polarization records President Obama saw in his administration – as seldom ever seen in history – are now WORSE. Further a run on republicans – meaning a run on Trump support – is taking place as subgroups grow dissent against a Trump teamwork that excludes rather than includes the majority of congress in the first place.
Trump follows George Bush with a Congress culture – if you’re not with me your a terrorist against America. More and more reject such labeling and are flipping the finger to the Trump Team. Growing collaboration, growing cooperation versus competition – is huge work – involves enormous compromise – and requires a political skill the Trump Team may in fact lack – as a culture even with the best intentions.
So the Market we suspect will NOT BE AMUSED THIS WEEK. The SUPER MONEY is going to KNOW those slow to GO are going to SHOW loss. Protecting assets by being first before the worst is the market global March of SUPER MONEY. If you see a course correction in the FOOLS RALLY – you will know as they say in Alice and Wonderful and the feast of the oysters – THE TIME HAS COME. THE TIME HAS COME.
We suggest the attempt to make the DISASTER Of the Obama Care legislative loss to the Trump Administration this Friday a yawn versus a global SCREAM of agony – is historically naive. The markets get it. Trump’s agenda is NOT HAPPENING. Euphoric stock valuation is temporary insanity and those who delay protecting their own pay are going to have a very bad hair day. The first gets out before the worst. WHEN does THAT mindset become the course change? Watch . It is the old mantra – ask not for whom the bell tolls for with your money inside the FOOLS rally ….the bell tolls for thee.
So drink up. Buy into the spin. Sing out loud – FOLLOW THE YELLOW BRICK ROAD and put all your cash and money in.
I and others are out entirely and in all cash.
We’ll keep a light on for you.
Berny Dohrmann – LIGHTING UP ECONOMIC REALITY JUST FOR YOU
PS: Nothing personal on Mr Mnuchin’s work and policy – economics – notes congress is fatally in grid lock. No new normal Folks that is the reality and the news.