Boehner Re-elected by the New 113th Republican House

House Republicans re-elected their House leader Rep. John Boehner today, and it was not a unanimous vote. Several of his colleagues in the House voted against him. Among them were the following Senators...

Rep. Justin Amash voted for Raul Labrador
Rep. Jim Bridenstine voted for Eric Cantor
Rep. Paul Broun voted for Allen West
Rep. Louis Gohmert voted for West
Rep. Walter Jones voted for David Walker
Rep. Tim Huelskamp voted Jim Jordan
Rep. Tom Massie voted for Justin Amash
Rep. Steve Pierce voted for Cantor
Rep. Ted Yoho voted for Cantor

Rep. Steve Stockman voted present
Rep. Raul Labrador did not vote
Rep. Mick Mulvaney did not vote

The new 113th Congress convened today, and Boehner brought up the new fiscal cliff problem called the Federal Debt, and he mentions to his peers that this debt is placing the well-being of the country in peril. His statements most likely fell on deaf ears. You can bet that John Boehner will not ever attempt to make deals directly with President Obama during the next two years while he is Speaker of the House. In matter of fact, he promised his peers that he would never make deals with President Obama alone.
Conservative talk show hosts continue to push the idea that the new Congress doesn't need to ever take a deal that will increase taxes or to increase the National debt. Until these talk show hosts and conservative leaders in Congress start working out their differences with President Obama instead of out-rightly saying what they will do and what they will not do, I'm afraid that the future of Conservative principles in an active government will not exist.
Surely, the President here has the upper hand. The bill that passed yesterday raises taxes on the rich, and passes permanent tax cuts for the middle class and the poor. Known previously as the Bush tax cuts, the Republicans passed only the parts of Bush's prior bill that they had to so that going over the Fiscal cliff could be avoided.
Now the National Debt will be addressed, and President Obama promises to also to address the subject of immigration. His goal is to pass new immigration measures in 2013. On another front, The 112th Congress again voted down a bill a few days ago, this time to refuse to send monetary aide to the weather stricken areas along the east coast. This kind of response from our elected leaders is absolutely unheard of, and it will be interesting to see if this new Congress will continue the "do-nothing" ways.  A new bill presented to the House from the new Senate will be one of the first bills the new Congress will be voting on this month, along with the 'national-debt' issue.

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U.S. Credit Rating Downgraded by S&P from AAA to AA+

Was there a toll to take for the U.S. Congress to take so long in approving the raise in the national debt ceiling. Without a doubt, as the United States has now taken a hit on it's credit rating, as approved by S&P(Standard & Poors) credit rating agency. The United States credit rating has now dropped from a perfect AAA status to AA+. So what are the reasons?

First, the United States proved to the people of the world, that their governing body has problems making correct decisions in a timely matter. The United States now is an embarrassment to the entire free world, as now they join others, like China in a downgrade of their credit rating. The United States held a triple-A rating for nearly 100 years, but on President Obama's watch, it was downgraded.

Second, what was actually approved which seemed to be on an emergency measure since it was approved at the last hour before default, is an amount thta the S&P believes is not substantial for the debts that the U.S. is trying to manage. By the end of 2012, the money will run out, and the United States will do this all over again, in an attempt to approve more money for spending, money that they do not have.

So what does this mean? Well thanks to our wonderful Congress, interest rates should now increase on many platforms. Safe money in the form of simple bonds, will not be considered safe any longer. It should have a domino effect on the U.S. people, but it may take time some time for everyone to realize that because the Congress failed to act on a timely basis, the people will have to bear the consequences.
Their decision not to act in a timely basis didn't affect them, but it affected the simple people. What they accomplished it to protect the rich, and made sure that they will not have their taxes raised, but at the same time, because of their failure to act on time, they have now imposed penalties on the middle and lower class in the form of higher interest rates.

SO who in Congress should be held accountable for the blame for what happened? I am sad to say that all members of Congress, whether they are Republican or Democrat are to blame. It doesn't make a difference on how they voted, but on what they voted on. May Republicans and Democrats alike voted for the bill, and also voted against. All of the Representatives from both Houses of Congress voted on a bill that was not substantial enough to prove to S&P and to the financial markets around the globe that they put in place a bill that would sustain the U.S. in the long haul. The bill doesn't even give the U.S. a chance to turn back their debts in a reasonable time. It also doesn't develop a 'credible' plan to tackle the nation's long-term debt.

It will only be a matter of time for the people of the U.S. to feel the effects of what they had done. Because of their poor handling of this bill, many of the representatives in Congress will now worry about the re-elections. Not only did the Democrats put their own President in a tough spot, they also pushed their chances for re-election to an all time low. Many of the representatives in Congress will not survive.

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Stocks plummet - Oil Prices down - People investing in Low Risk Stocks

Today was another bad day for the New York Stock exchange, as stocks plummeted 512 points. Where are the safeguards? The Dow tumbled 512 points to it's lowest point ever for 2011 below all gains for the entire year. So what's next, another recession? People seem to believe that the stimulus didn't work, according the the president of Euro pacific Capital, Peter Schiff.
The market is not in this declining position because of the stimulus, but because people seem to be behind the trigger. As soon as there is a bad word about something within the market, they pull stocks out. There seems to be a larger interest investing only in the short term. All they do is worry about things like the weak job market and anything that may affect their stock. They never think that how they handle their stock is what also affects the market in a domino effect. Investors are in a "total fear" mode according to Bob Doll, chief equity strategist at the world's largest money manager, BlackRock.
So now it's not the National Debt Ceiling issue we must worry about, but for ideas that people now fear for a global slowdown in lu of recent weak economic data. The unemployment rate is holding steady at 9.2%, even though creation of 75,000 jobs in july were reported. Oil prices are continuing to fall, as the cost of a barrel of oil is now down to $86.63. Major company shares, like GM, and European companies such as UKX, Germany's DAX and France's CAC  are also tumbling down between 3 and 4 percent.
U.S. investors are now seeking out low risk assets that include Treasuries and gold.
But with all the activity, the market is not solid enough for investors to take risks and invest as they have in the past.

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Economic Disaster to Hit the U.S. on August 2nd, if National Debt Limit is not Raised

Do you think for one moment that the American People would blame President Obama for the economic recession that will soon follow on August 2, 2011, if the Congress fails to raise the national debt ceiling in time? The Republican controlled House wants to lower taxes on the rich, and would rather let everyone else face hardship. Ultimately, the U.S. Congress, mainly the Republican Senators in the U.S. House will be ultimately responsible for creating this disaster. These Congressmen get paid big bucks to keep the U.S. Government going, but so far it looks like the U.S. Government is about to shut down. The U.S. Credit Rating is now suffering because Congress has so far failed to pass legislation to increase the national debt limit.
Congress is now playing political suicide. In case people do not know what is about to happen on August 2nd, when the federal debt ceiling is not raised, here are the first 10 problems to occur because of the lack of money.

1st The United States will loose it's top credit rating.

2nd Social Security Checks for most would cease.

3rd Defense contracts go in default ($31.7billion)

4th No more active military pay ($2.9 billion)

5th No more Transportation Dept ($1.3 billion)

6th No more Federal Aviation Administration

7th No more Air Traffic Control System - ALL airplianes will be grounded.

8th No more Department of Justice ($1.4 billion)

9th No more FBI

10th No more money for Federal Tax Refunds

Just a day or two after August 2nd, a true economic recession will hit.

Oh, just in case you didn't know, even if all of the above happens because the U.S. Congress didn't get their job done to help the American People, the Congressmen still get paid. Imagine that. They get paid for not getting the job done. They will get paid even if you don't. Their health insurance never runs out, and they don't even have to pay for it. The American people do, even if Congress fails with their job to protect the American people.

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