If US Housing is at the Bottom, Why Is Barney Frank Pushing Fannie Mae to Loosen Its Lending Standards Again?

The unemployment rate is expected to continue rising -- at least above 10% -- and perhaps as high as 15 to 20 % by the end of 2009. The continuing loss of jobs (and businesses) will put ever-increasing pressure on the mortgage divisions of large banks.

The pension crisis is just starting to kick in across the country, and the additive effect of huge government deficits on top of a continued economic slowdown will put a dangerously inflationary spin on the current Obama depression.

Peter Schiff has a few words on that topic from yesterday's Vlog:

America cannot get out from under the disastrous "economic perfect storm" as long as its political leadership is doing all that it can to make the disaster worse. Expect continued economic slowdowns combined with a growing inflation for the near to medium term.

From "Cap and Trade" to "Obamacare" to "Card Check" to the nationalisation of huge sections of American industry, to unprecedented budget deficits and dysfunctional spending -- the Obama Outfit appears dedicated to salting the fields of the American economy.

Obama and his cronies have to be painstakingly cleared away from positions of responsibility in as many areas of government as possible, before America can begin to recover, long term. At this time, America's news and entertainment media is still so deeply into denial over its "Messiah", that the suffering of the Obamapocalypse will have to grow much larger -- to undeniable levels before the majority of Americans begin to comprehend what they have let themselves in for.

Update Full Disclosure 25 June 09: Al Fin would be the first to admit that the impending economic disaster the US is facing would have occurred anyway -- in 2025. The entitlement crisis and the pension crisis would have combined with the demographic crunch to create the same combination of problems. In a sense, Obama only accelerated the process by 15 years and put it on steroids. The Obama build-up of the government sector at the expense of the private sector is remarkable in its swiftness, and in the lack of public backlash.

Whether many Americans would have taken that 15 years (until the 2025 depression) and used them to prepare for the inevitable is a moot question. They no longer have that 15 year buffer period.

If the US Congress passes the cap and trade bill (to say nothing of card check, Obamacare, and any number of other corrupt monstrosities) there will be no turning back. The US will have a 15 year head start on the 2025 depression.