Pelosi Olive Branch Is Already Dead


This morning, at a special swearing-in ceremony for the Congressional Black Caucus, outgoing Speaker of the House Nancy Pelosi offered the GOP an olive branch and the promise of cooperation:
“We extend the hand of friendship to create jobs, grow the middle class and reduce the deficit. We look for common ground to solve the problems of the American people: their health, their housing, their jobs, their savings, their children’s education.”

But, just hours later, and about a minute after the House elected John Boehner as the new Speaker, Pelosi blasted out a fundraising email to supporters. Big Government was forwarded a copy:
This is our first test of how grassroots Democrats will respond to the Republicans’ disgraceful attempt to roll back our progress for America’s middle class families. We must hold House Republicans’ feet to the fire for taking government funded health care for themselves while voting to deny it to American families.

That is why we urgently need your support to raise $100,000 in grassroots contributions to hold Republicans accountable before their shameful vote on Wednesday.

Contribute $5, $10 or more today to help us respond to the Republicans’ shameful vote to take away quality, affordable health care from the American people and put insurance companies back in charge.

Classy.

Just minutes after her e-mail missive, Pelosi turned over the Speaker's gavel to Boehner with these words:
Recognizing our roles under the Constitution, united in our love of country, we now engage in a strong symbol of American democracy: the peaceful and respectful exchange of power," she said. “I will now pass on this gavel—and the sacred trust that goes with it – to the new speaker."

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The past several months have seen the price of gold slump even as the Fed and other central banks have accelerated their massive expansion of paper money. Gold is off about 20% so far this year with silver down almost 30%. The old adage--“don’t fight the Fed”--particularly comes to mind now because the US equity markets have been setting new highs during this same period. All of these gains are nominal, you understand, but for terrified American policy makers and investors, nominal is just fine.

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