Important Update - No Congressional Budget This Year! Are you kidding me?

Folks,

My Investor Daily Briefing will follow shortly, but this is an important article that should not be glossed over. I normally do not get too political in my blogs as I want to focus on investments. However, this will directly affect you investments in the midterm and long term.

The link is below, but please read carefully and pass onto your friends. It looks like Congress is NOT going to pass a budget this year. Instead, those in charge want to "adopt" a budget enforcement resolution to control spending. Are you kidding me!??!

What this means in English is they don't want to actually clarify just how much in the hole we are and how much the deficit is soaring. I thought Congress was required to pass an annual budget and they have never gone a year without a budget. However, a traditional budget would force the ruling party to lay out their fiscal policies over the next few years. It would expose them especially before the November elections.

Their reasoning is that they can't pass a realistic budget until the Bipartisan commission's Deficit Reduction Plan comes out conveniently expected in December AFTER the mid-term elections! Wouldn't a budget at least give you some guidelines even if you go over and surpass the budget like they already do virtually every year.

The difference, they are so FAR above their own numbers they have given the public, it is scary. Here is the link to read for yourself:

http://www.cbsnews.com/8301-503544_162-20008456-503544.html

What does this mean to an investor. Be ready over the midterm time frame to convert your $US cash and US government bonds (Treasuries) into gold & silver, stronger currencies (there are only a few), bonds from those same countries, and commodities.

At first and in the short term, Treasuries probably will rally because people out of instinct & fear will have a "flight to quality." As it becomes more and more apparent they intend to devalue the dollar, which is the only way to pay off our debts without sever, drastic cuts, people will start to slowly change their way of thinking. They will realize Treasuries are not longer safe, and it is about preservation of wealth first and making money second.

My second suggestion, vote all of these fiscally irresponsible bums, whether democrat or republican, out of office come November. Let them know you understand and see through their charade.

Dan Stewart CFA®