Robert Genetski

Economist dealing with big issues Does God exist? What's He like?
Why some nations are rich and others poor NYU Univ Chicago GSB 6 books, likes free markets

[Robert Genetski @EconBobG]

Keven Warsh should not be nominated to head the Federal Reserve. He should be questioned over his decisions as Fed Governor in 2008 to sell 40% of the Fed’s securities prior to the worst financial crisis since the 1930s. Reducing the money supply by 40% prior to the worst financial crisis since the Great Depression was the worst mismanagement of monetary policy since the 1930s.

[Robert Genetski @EconBobG]

Kevin Warsh may be the least qualified economist to head the Fed. As Fed Governor in 2008, he consistently voted for policies that had the Fed selling 40% of its securities. These sales reduced the supply of money by 40% leading up to the worst liquidity crisis since the Great Depression. Neither Warsh nor any of the other Governors at that time has explained why the Fed would sell massive amounts of securities while the economy continued to decline.

[Robert Genetski @EconBobG]

@SaveAmericaNew Yes

[Robert Genetski @EconBobG]

Still More Good News on Federal Spending
The Congressional Budget Office reported federal spending increased by 4% in fiscal 2025. This compares to a 5% to 6% increase in overall spending or GDP. However, $72 billion of expenses that would have occurred in 2024 fell on a weekend and were put into 2025. After adjusting for this timing, the increase in fiscal 2025 spending was up only 1.9%.
This 1.9% increase in spending includes an estimated $320 billion increase due to military, border control and immigration enforcement. If we back out this $320 and add $203 billion in savings from slower growth in federal spending, we have an estimate of total cuts of over $500 billion due to DOGE and other Administration actions. This is amazing progress in containing federal spending.

[Robert Genetski @EconBobG]

There is a lot of confusion regarding what causes booms and busts in the stock market. The book “1929” by Andrew Ross Sorkin reflects much of this confusion. An excellent review by John Tamny provides an extensive analysis of why “1929” perpetuates a misunderstanding of financial markets. I highly recommend it. https://t.co/nYwpXpbGjB

[Robert Genetski @EconBobG]

On a prior tweet I highlighted how monthly Treasury reports offered some hope that federal spending was slowing. While monthly reports through July also look promising, an alternative quarterly measure of federal spending shows it rising at a 10% annual rate in Q2. It’s too early to conclude that federal spending is slowing.

[Robert Genetski @EconBobG]

Trump has accomplished what seemed to be unimaginable—he has halted the growth in federal spending. Today’s Treasury report for June shows zero growth in federal spending in the five months from February through June from the same five months a year ago. As for federal receipts, they are up 11% from a year ago. Congratulations to Trump, Elon and DOGE for what seemed an impossible task of slowing the growth in federal spending and reducing projected deficits. @realdonaldtrump @elonmusk

[Robert Genetski @EconBobG]

Today’s Treasury report is good news for the country and for President Trump and Elon Musk. For those obsessed with the deficit, it is coming down. In the four months (February-May, 2025) where Trump has had an opportunity to control the budget, the Treasury reports a total deficit of $525 billion, down $145 billion from the same period in 2024. Both soaring tax receipts and a sharp slowdown in federal spending suggest Trump’s policies are working. Federal tax receipts are 10.7% higher than in the same four months a year ago, while federal spending is only 1.6% higher than a year ago. If these trends continue, the deficit this year will be almost $500 billion less than the CBO’s estimate and within four years, the budget would be in surplus. Thank you, President Trump and Elon Musk.

[Robert Genetski @EconBobG]

Trump’s Sovereign Wealth Fund: Strengthening U.S. Financials and National Security - American Thinker https://t.co/Oov7vMtxXg

[Robert Genetski @EconBobG]

@ElonMuskNews47 I'm real.

[Robert Genetski @EconBobG]

S&P’s surge raised our daily stock market momentum reading to a maximum 100%, while the 5-day average is 64% slightly positive.

[Robert Genetski @EconBobG]

Comprehensive study reveals extensive damage from Covid vaccines https://t.co/VQH8WguEi3

[Robert Genetski @EconBobG]

https://t.co/4ghLpIy80t
This is an important article on why trade and balance of payments deficits are misunderstood and should be ignored.

[Robert Genetski @EconBobG]

@ELonMuskNewssX Yes!

[Robert Genetski @EconBobG]

5/3: S&P hits 9 highs caping a major shift in momentum. Our daily indicator is at a strong 80% the highest since Feb 20th … the 5-day average jumped into positive territory at 54%

[Robert Genetski @EconBobG]

Today’s monthly income data for the month of March show personal income, real disposable income and wages and salaries all advanced in the vicinity of 6% annualized. Hence, business activity for the month remained remarkably stable despite the stock market turmoil.

[Robert Genetski @EconBobG]

Interesting GDP numbers today show an unusual surge in imports. Without this total GDP would have been up 5½% and real growth would have been 2%. Hence, the period between the fourth and first quarter had the same pattern as most of the prior four quarters.

[Robert Genetski @EconBobG]

@WHLeavitt Fully

[Robert Genetski @EconBobG]

The strong upward move in stocks has shifted our daily momentum reading from 0% (lowest possible) six days ago to 50% (neutral). The 5-day average is still negative at 38%. The S&P500 still faces resistance at its 50-day and 200-day averages.