Waddling Back To The Trough

Here comes a squealing Fannie Mae, begging to suck on the taxpayer teat yet again. Hey, I know, let’s throw some more good money after bad.

Fannie Mae Seeks $8.5 Billion in U.S. Aid After Reporting Loss

Fannie Mae, the mortgage-finance company operating under U.S. conservatorship, will seek $8.5 billion in Treasury Department aid to balance its books after reporting a $6.5 billion loss in the first quarter.

Fannie Mae is requesting the money to eliminate a net worth deficit of $8.4 billion for the three-month period that ended March 31, according to a Securities and Exchange Commission filing today. The $6.5 billion loss for the quarter compares with an $11.5 billion shortfall in the same period a year ago.

. . .

Fannie Mae’s smaller rival, Freddie Mac of McLean, Virginia, posted a $676 million first-quarter profit on May 4. Freddie Mac reported a net worth of $1.2 billion and didn’t request additional aid.

The two companies, which own or guarantee more than half of U.S. single-family mortgages, have drawn more than $160 billion in Treasury aid since September 2008, when they were seized by the federal government amid losses that pushed them to the brink of insolvency.

See also:
Fannie Mae Falls Back Into the Loss Column
Fannie Mae to ask $8.5bn of Treasury
Fannie Mae seeks $8.5 billion from taxpayers
Fannie Mae Posts Deep Loss
Fannie Mae requests additional 8.5 billion dollars in government aid
Fannie’s Friday Earnings Release: $8.7-Billion Loss

And who’s responsible for this financial black hole?

Why are we continuing to prop up this bull[expletive deleted]? Let Fannie Mae fail. How much worse can the housing market get? In fact, the government’s insistence in meddling in the housing market. led by the Democrats, only prolongs the inevitable and prevents the free market from sorting itself out.

/take away the trough, wean Fannie Mae from the taxpayer teat, vote Republican in 2012, it’s the only way to be sure

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Do We Have Your Attention Now?

This is a clear warning shot across this country’s economic bow and definitely not a good development.

U.S. Warned on Debt Load

A blunt warning Monday from a credit rating firm about the U.S. government’s mounting debt pushed stock markets lower and intensified political divisions in Washington about how best to tackle growing deficits.

Both the Obama administration and House Republicans scrambled to gain leverage from Standard & Poor’s changing its outlook on U.S. Treasury securities to “negative” from “stable.”

S&P didn’t lower its top-notch AAA-bond rating for U.S. government Treasury securities, and their prices initially fell but later rebounded amid optimism that the report could serve as a catalyst to force both sides in Washington to compromise.

See also:
US faces credit downgrade if debt not cut
UPDATE 3-White House, Congress under pressure from S&P move
S&P’s warning to Uncle Sam
Stocks sink after S&P downgrades US outlook
S&P Downgrade Of U.S. Debt Says Nothing New
Outlook change stokes political battle over US debt
JP Morgan’s Comments on the SP Downgrade…. “fiscal issues are serious”
Analysis: Obama plays down S&P outlook change
White House calls S&P downgrade political judgment
House Dems insist S&P warning means Congress should raise debt ceiling, no strings attached

Boy, all I can say is that Obama and Congress had better get off their asses and do something substantial to get our national debt problem under control. And they need to do it soon.

/and if you think we have serious fiscal problems now, just wait and see what happens if we ever lose our AAA rating, it will not be pretty

Look What The CBO Found, An Extra Trillion Of Obama Debt

It must be the Friday night bad news dump.

National debt to be higher than White House forecast, CBO says

The 10-year outlook released by the nonpartisan Congressional Budget Office is somewhat gloomier than White House projections, which found that Obama’s budget request would produce deficits that would add about $8.5 trillion to the national debt by 2020.

The CBO and the White House are in relative agreement about the short-term budget picture, with both predicting a deficit of about $1.5 trillion this year — a post-World War II record at 10.3 percent of the overall economy — and $1.3 trillion in 2011. But the CBO is considerably less optimistic about future years, predicting that deficits would never fall below 4 percent of the economy under Obama’s policies and would begin to grow rapidly after 2015.

Deficits of that magnitude would force the Treasury to continue borrowing at prodigious rates, sending the national debt soaring to 90 percent of the economy by 2020, the CBO said. Interest payments on the debt would also skyrocket by $800 billion over the same period.

See also:
CBO Says White House Underestimates Deficits
CBO: $10 trillion jump in debt under Obama budget
Congressional estimates show grim deficit picture
US deficit tops Obama forecast by 1.2 trillion dollars: CBO
US deficit expected higher than White House claims
CBO projects $1.5 trillion deficit for 2010 in Obama budget
CBO projects $1.5 trillion deficit for 2010 in Obama budget
CBO Releases Preliminary Analysis of the President’s Budget
CBO: Obama underestimated deficit by $1.2 trillion

When the evil Bush left office after eight years the budget deficit was less than $500 billion and the national debt was well under $10 trillion. One year later . . .

/add on the cost of Obamacare an Cap and Trade and it’s a regular national bankruptcy party

We Can’t Pay Back What We Already Owe, So Let’s Borrow More!

Pelosi to propose debt ceiling increase

Language that would raise the U.S. debt ceiling will be included in a defense spending bill up for a vote next week, House Speaker Nancy Pelosi said Thursday.

The deficit is expected to grow by nearly $1.4 trillion this year. House leaders haven’t reached consensus on how much to raise the ceiling, now at $12.1 trillion, but a figure as high as an $1.925 trillion was being discussed, The Washington Post reported.

Treasury officials reported to congressional leaders that the cap must be raised by New Year’s Eve or the federal government would risk running out of money for Social Security and veterans’ payments in January, the Post said.

Yes, that’s right, not only is the House going to vote to raise the debt limit, so we can borrow even more money that we won’t be able to repay but, in an incredibly despicable move, Pelosi and the Democrats are attaching the debt ceiling increase to a defense bill, so anyone who wants to vote against increasing the debt limit also has to vote against funding our troops in the field. One thing there seems to be no limit on is how disgustingly low Democrats will go. Republicans are fighting back, however futile that might prove to be.

House GOP Outraged Over Debt Ceiling Attachment To Defense Bill

Congressman Steve Scalise (R-La.), along with other House GOP leaders, reacted Friday to plans by House Speaker Nancy Pelosi to tack a Pentagon appropriations bill with legislation that would increase the nation’s debt ceiling amount by $1.8 trillion by unveiling the” CAP the DEBT Act.”

The bill would repeal the Gephart Rule, which allows debt ceiling increases to be included in joint budget resolutions without a direct vote. Under the Scalise legislation, changes to the national debt ceiling amount would have to pass both Congressional houses with two-thirds majority vote.

Congressman Scalise said that the CAP the DEBT Act is being filed because “the liberals that are running this Congress have been on a wild spending spree for the last three years, since Speaker Pelosi has had the gavel.”

House Speaker Nancy Pelosi announced Thursday that the ceiling increase would be tacked to a spending bill headed to the House floor next week and that legislation is largely expected to be the pending $636.4 billion Pentagon appropriations bill that would partially fund the wars in Iraq and Afghanistan. Prior to Pelosi’s announcement, House Majority Leader Steny Hoyer (D-Md.) said that increasing the ceiling is necessary in order to pay the country’s mounting bills.

However, Scalise was not happy with the proposed method for increasing the national ceiling, saying “the ultimate sign of hypocrisy is [that] this Democrat liberal group running Congress is going to now again hide behind our troops and throw this increase of the national debt ceiling on a defense bill.”

See also:
Pelosi: House intends to raise debt ceiling
US Pelosi:To Pass Debt Ceiling Hike Next Week on Defense Bill
Hoyer urges $1.8T increase to debt ceiling
Hoyer: US Must Raise Debt Ceiling $1.8T
US’s Hoyer:Debt-Hike Vote Next Week May Include PAYGO Renewal
US lawmakers to vote on debt limit hike next week
Democrats plan nearly $2 trillion debt limit hike
Obama Admin wants to raise US Debt Ceiling by 2 Trillion Dollars – An analysis of consequences
Congress Squabbles Over Debt Ceiling
Republicans Try to Put a Freeze on Debt Limit, as Democrats Call for $1.8T Hike
Blue Dogs threaten to block debt ceiling lift
U.S. National Debt Clock : Real Time

You think raising the debt ceiling to around $14 trillion is bad? Obama’s out of control socialist agenda is on pace to put this country in the hole to the tune of $20 trillion before he’s done.

/this fiscal insanity has just got to stop

Obama And The Democrats Never Met A Borrowed Dollar They Couldn’t Squander

Remember the Troubled Asset Relief Program (TARP) that was originally passed to purchase toxic assets from banks but then, in a classic bait and switch, was spent on bailing out troubled banks instead? Well, the good news is that some of the banks, to escape onerous government interference and micromanagement, are actually paying back their TARP funds, with interest, and it looks like the American taxpayer won’t take as big a hit in the shorts as previously thought.

The bad news is that, instead of using the recovered TARP funds to pay down part of our record $12 trillion national debt, as the original legislation required, Obama and the Democrats now want to squander it on a new “stimulus” program. It seems they just can’t help themselves. Of course, once they waste the recovered TARP cash on even more useless Democrat pet projects, the money will be gone forever, the American taxpayer will never see it again and be even deeper in debt.

Bernanke speech: financial stability is returning

It’s welcome news for US taxpayers: The cost of the great bailouts of 2008 is coming in smaller than some forecasters had predicted.

Exhibit A this week is the financial rescue program called TARP – the $700 billion Troubled Asset Relief Fund. The money paid out in loans or investments to banks and other corporations is being paid back faster than expected, the Obama administration says. Although the US Treasury still expects a loss rather than a profit from the program, it now predicts that the 10-year cost will be no more than $141 billion, which would be $200 billion less than the administration predicted as recently as August.

Using TARP funds for job creation: creative or reckless?

President Obama and congressional Democrats haven’t even announced their latest job creation plans, but already they’re stirring controversy with an idea on how to pay for it – by tapping the Treasury’s so-called TARP funds.

The Troubled Asset Relief Program (TARP) was created by Congress 14 months ago to save the financial system from a collapse that threatened the whole economy. Now, as many banks are repaying money that the government had invested, Democrats say the unexpected windfall can be used to finance a jobs bill that may cost $50 billion or more.

But Republican lawmakers argue that the plan still expands the deficit, whether or not TARP is cited as the source of money. They put it this way: Borrowing less on the TARP bailout doesn’t mean the Treasury should then borrowing more for a jobs program.

The spin from both sides regarding the TARP funds could shape the broader debate over a jobs package. Mr. Obama and congressional leaders could try several tactics to boost employment. The possibilities include a new infusion of federal infrastructure spending, additional aid to state and local governments (to reduce planned layoffs), and tax incentives for businesses to hire.

See also:
Obama: Use TARP for job creation
Obama’s Setup
Obama May Use TARP for Jobs
US bank bail-out money could boost jobs, says Obama
Use of Cash From TARP Hits Hurdle
Tarp travels down a hazardous road
US Sen Gregg:Using TARP Cash For Jobs Package Would Be Illegal
TARP makes a profit! Washington immediately blows the profit!
How’s That Trillion Dollars In “Stimulus” Working Out?
Setting Records
You Can’t Stop Them, You Can’t Even Hope To Contain Them
Spending Like A Drunken Sailor On Crack

So far, less than 25% of the original trillion dollar “stimulus” has even been spent and now Obama and the Democrats want to spend another few hundred billion dollars on more “stimulus”? HELLO? What’s wrong with this picture? If their first “stimulus” was so wonderful, why do they need a second “stimulus”?

I’ll tell you why. Their first “stimulus” sucked big time, it’s not doing [expletive deleted] except flushing money down the toilet, and now Obama and the Democrats are panicking because unemployment is at 10% and the 2010 midterm elections are looming in the not so distant future.

/doubling down on their original “stimulus” mistake by squandering even more borrowed money on Democrat pet projects will only exacerbate our national debt and the inflation that’s eventually coming down the road, but don’t expect long term economic reality to stop them, they think they can buy 2010 votes through constituent targeted deficit spending, it’s the Democrat way

Why Are We Not Stomping North Korea’s Guts Out?

Just how much does Kim Jong-il have to taunt and torment us before we say enough is enough and obliterate the North Korean regional and world menace once and for all? Is there anything we won’t let them get away with, a line somewhere we’ll defend that they haven’t already crossed yet? After recently sentencing two U.S. journalists to 12 years hard labor, how much more in our face does North Korea have to get before we do something about it? What else does Kim Jong-il have to do before we finally push back, provide the fireworks for our Independence Day?

Japan warns that North Korea may fire missile at U.S. on Independence Day

North Korea may launch a long-range ballistic missile towards Hawaii on American Independence Day, according to Japanese intelligence officials.

The missile, believed to be a Taepodong-2 with a range of up to 4,000 miles, would be launched in early July from the Dongchang-ni site on the north-western coast of the secretive country.

Intelligence analysts do not believe the device would be capable of hitting Hawaii’s main islands, which are 4,500 miles from North Korea.

Details of the launch came from the Japan’s best-selling newspaper, Yomiuri Shimbun.
Both Japanese intelligence and U.S. reconnaissance satellites have collated information pointing to the launch, according to the report.

It is understood the communist state is likely to fire the missile between July 4 and 8. A launch on July 4 would coincide with Independence Day in the States.It would also be the 15th anniversary of North Korean president Kim Il-Sung’s death.

The Japanese newspaper also noted that North Korea had fired its first Taepodong-2 missile on July 4, 2006.

See also:
Report: NKorea may fire missile toward Hawaii
Report: N. Korea May Fire ICBM Toward Hawaii
Pentagon: North Korea Missiles Threaten US Homeland
Gates: Missile interceptors on way to Hawaii ahead of North Korea test
U.S. boosts missile defense amid reports of planned N. Korea test

Oh boy, we’re moving missile interceptors to Hawaii, just like we have for every North Korean missile launch so far. Will we intercept their missile? Probably not, we haven’t so far. Hey, I know, since we know exactly where their missile is, sitting on a launch pad, why don’t we really send a message to stop launching missiles and destroy it on the ground with a cruise missile strike, or would that be too provocative? God knows we wouldn’t want to upset Kim Jong-il.

Gee, looky here, after telling North Korea umpteen times that they’re not supposed to be proliferating weapons of mass destruction, they’re at it again. Why won’t they listen to us, aren’t they scared of what we might do in response? Apparently not.

U.S. Military Tracking North Korean Ship Suspected of Proliferating Missiles, Nukes

The U.S. military is tracking a flagged North Korean ship suspected of proliferating weapons material in violation of a U.N. Security Council resolution passed last Friday, FOX News has learned.

The ship, Kang Nam, left a port in North Korea Wednesday and appears to be heading toward Singapore, according to a senior U.S. military source. The vessel, which the military has been tracking since its departure, could be carrying weaponry, missile parts or nuclear materials.

“It is believed to be ‘of interest,'” a senior U.S. official told FOX News.

This is the first suspected “proliferator” that the U.S. and its allies have tracked from North Korea since the United Nations authorized the world’s navies to enforce compliance with a variety of U.N. sanctions aimed at punishing North Korea for its recent nuclear test.

The ship is currently along the coast of China and being monitored around-the-clock by air.

The apparent violation raises the question of how the United States and its allies will respond, particularly since the U.N. resolution does not have a lot of teeth to it.

The resolution would not allow the United States to board the ship forcibly. Rather, U.S. military would have to request permission to board — a request North Korea is unlikely to grant.

See also:
U.S. Navy tracks North Korean ship
Navy monitoring North Korean ship: U.S. officials
Navy monitoring North Korean ship: U.S. officials
N. Korean ship under U.S. watch
Source: Military watching suspicious NKorea ship
Navy Pursues N. Korea Ship; Tensions Rise
N.K.: Searching ships would be ‘act of war’

Well, it would be rude of us to board North Korea’s ship, probably carrying a cargo of WMD, without North Korea’s permission. Besides, the U.N. sanctions resolution, that we argued over for two weeks, doesn’t allow us to board North Korean ships anyway. So, I guess we’ll just follow it instead. I have another idea. where are the SEALs? You know, it’d be a real shame if the Kang Nam were to take on water and sink under mysterious circumstances.

And how does Kim Jong-il pay for all his nefarious activities that irritate us so and yet we do nothing about? He robs and scams us blind!

Warning: Counterfeit dollars from N. Korea

The Treasury Department warned U.S. financial institutions Thursday that the North Korean government may resort to “deceptive financial practices” to get around economic sanctions.

The advisory from the Treasury’s Financial Crimes Enforcement Network comes as the Obama Administration steps up its efforts to prevent North Korea from furthering its nuclear weapons program.

The government said it remains concerned about “high-quality” counterfeit U.S. currency being passed from North Korea and urged banks to scrutinize attempts by North Korean customers to make large cash transactions.

Banks should be wary of attempts to suppress the identity or origin of transactions made by North Korean clients, the advisory said. Money transfers made via third parties, and repeated transfers that appear to have “no legitimate purpose” should also raise red flags.

Global Insurance Fraud By North Korea Outlined

For Kim Jong Il’s birthday, North Korean insurance managers prepared a special gift.

In Singapore, they stuffed $20 million in cash into two heavy-duty bags and sent them, via Beijing, to their leader in Pyongyang, said Kim Kwang Jin, who worked as a manager for Korea National Insurance Corp., a state-owned monopoly.

Kim said he helped arrange the shipment and watched in February 2003 as the cash was packed. After the money arrived, Kim Jong Il sent a letter of thanks to the managers and arranged for some of them to receive gifts that included oranges, apples, DVD players and blankets, Kim said.

“It was a great celebration,” he said.

The $20 million birthday present and the gratitude of its recipient, who is known as the Dear Leader, were annual highlights of a sophisticated global insurance fraud that North Korea has concocted to provide its communist leadership with hard currency, said Kim, who spent five years as an executive of the state insurance company in Pyongyang and worked for a year at its banking subsidiary in Singapore before defecting to South Korea.

“This money helps keep Kim Jong Il in power at a time he is engaged in nuclear brinksmanship,” said David L. Asher, who supervised a State Department unit that attempted to track various illegal activities by North Korea during the Bush administration. “This is the gift that keeps on giving. It has become one of the North’s largest illicit revenue generators.”

In interviews and court documents, Western insurers, U.S. officials and defectors such as Kim said the impoverished and isolated North Korean government has collected hundreds of millions of dollars from some of the world’s largest insurance companies on large and suspicious claims for transportation accidents, factory fires, flood damage and other alleged disasters. Still, recent attempts by international insurers to overturn North Korea’s claims have failed in British courts.

For years, the U.S. government and law enforcement agencies around the world have documented what they describe as state-sponsored criminality in North Korea. They have linked the North to illegal manufacturing and trafficking of drugs ranging from heroin to Viagra, as well as to expert counterfeiting of $100 bills and the production of high-quality counterfeit cigarettes.

Much less has been disclosed about North Korea’s international insurance claims, in part because they have been cloaked in legal settlements by firms with no interest in highlighting their losses.

“The exact scale of the fraud is hard to determine . . . because the insurance industry has been so gullible,” Asher said. North Korean insurance fraud “was absolutely something I should have been looking into more when I was running the [State Department’s] illicit activities initiative,” he added.

See also:
US warns banks about North Korea
U.S. Treasury warns on North Korea cash transactions
US Treasury Advises Vigilance By Banks Over N Korea
N Korea Insurance Scam Funds Weapons, Enriches Kim -Report
North Korea in global insurance scam: report
North Korea accused of massive state-sponsored insurance fraud
N.Korea ‘Made Millions from Insurance Scam’

We know what they’re doing to scam us and we can’t stop them. How do I know? Because they’re still doing it. The laugh at us and just ramp up their belligerence knowing full well there will be no consequences for their international outlaw behavior. They know that all they have to do is threaten us or our allies in the region and we’ll back down and do absolutely nothing to reign them in.

N. Korea Warns U.S. of ‘Thousand-Fold’ Military Action

North Korea warned Wednesday of a “thousand-fold” military retaliation against the U.S. and its allies if provoked, the latest threat in a drumbeat of rhetoric in defense of its rogue nuclear program.

Japanese and South Korean news reports said North Korea is preparing an additional site for test-firing a long-range missile capable of striking the U.S.

The warning of a military strike, carried by the North’s state media, came hours after President Barack Obama declared North Korea a “grave threat” to the world, and pledged that recent U.N. sanctions on the communist regime will be aggressively enforced.

North Korea chemical weapons threaten region – report

North Korea has several thousand tons of chemical weapons it can mount on missiles that could be used on a rapid strike against the South, said a report released on Thursday by the International Crisis Group (ICG).

North Korea in recent weeks has raised tensions in North Asia, responsible for one-sixth of the global economy, with missile launches, threats to attack the South and a May 25 nuclear test that led to U.N. sanctions.

The report from the prestigious non-governmental organisation said the consensus view is the North’s army possess about 2,500-5,000 tons of chemical weapons that include mustard gas, sarin and other deadly nerve agents.

“If there is an escalation of conflict and if military hostilities break out, there is a risk that they could be used. In conventional terms, North Korea is weak and they feel they might have to resort to using those,” said Daniel Pinkston, the ICG’s representative on Seoul.

The North has been working on chemical weapons for decades and can deliver them through long-range artillery trained on the Seoul area — home to about half of South Korea’s 49 million people — and via missiles that could hit all of the country.

“The stockpile does not appear to be increasing but is already sufficient to inflict massive civilian casualties on South Korea,” the ICG report said.

After decades of conditioning, North Korea has learned that the phrase “actions have consequences” doesn’t apply to them. They have steadfastly refused to negotiate or, when they have, they’ve broken every single agreement they’ve ever made. The only recourse left that will have any chance of changing their behavior is the use of force, in one form or another. How long will we let this oozing pus sac on the world’s ass continue to fester, hold us virtually hostage, and generally contaminate the concept of civilization?

/why are we not stomping North Korea’s guts out?

File Under: No [Expletive Deleted] Sherlock!

You’re just not going to believe this one.

Obama says U.S. can’t keep borrowing from China

President Barack Obama raised the prospect on Thursday that China and other nations could stop buying U.S. debt and said the United States needed to tackle its deficit to avoid long-term economic damage.

“The long-term deficit and debt that we have accumulated is unsustainable. We can’t keep on just borrowing from China or borrowing from other countries,” Obama told a town hall meeting event in New Mexico.

“We have to pay interest on that debt and that means that we’re mortgaging our children’s future with more and more debt,” he said.

China is the single largest holder of U.S. debt and owned $744 billion worth of U.S. government securities at the end of February, the latest month for which data is available, according to the U.S. Treasury.

Obama said the debt situation would create greater economic problems if foreign countries like China lost their appetite for U.S. treasuries.

“What’s also true is at some point they’re just going to get tired of buying our debt,” he said.

“And when that happens, we will really have to raise interest rates to be able to borrow and that will raise interest rates for everybody.”

The White House estimated earlier this week the U.S. budget deficit will be $1.84 trillion for the fiscal year that ends September 30.

See also:
Obama Says U.S. Long-Term Debt Load ‘Unsustainable’
‘We can’t keep borrowing,’ Obama says; except with plastic
Obama: U.S. must stop relying on China, other nations to buy our debt

What the hell, are you [expletive deleted] kidding me? BARACK OBAMA, AIDED AND ABETED BY A DEMOCRAT CONGRESS, IS GOING TO SPEND MORE, INCREASE U.S. ANNUAL DEFICITS, AND INCREASE OUR NATIONAL DEBT MORE THAN ALL 43 PREVIOUS AMERICAN PRESIDENTS COMBINED!

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And Obama’s got the nerve to complain about our debt? Is he that arrogant, insane, or on drugs, again?

The U.S. is racking up “unsustainable” debt? Well, gee, I don’t know, here’s an idea, MAYBE STOP SPENDING MONEY LIKE A DRUNKEN SAILOR ON CRACK WITH SOMEONE ELSE’S STOLEN AMERICAN EXPRESS GOLD CARD!

Of course, that’s never going to happen. So, either Obama’s really stupid for saying what he said today or else he’s laying the groundwork for the largest tax increase in American history. You can already see it starting to happen, first they came for your soda pop . . .

Of course increasing taxes won’t solve our debt pronlem but, hey, it’s another required step down the red brick road to socialism, which doesn’t work ether.

/just wake me when this, not even close to long yet, national nightmare is over