Republican midterm election blowout juices stocks, bonds
WASHINGTON, November 5, 2014 – Back what already seems like centuries ago, as former President Nixon’s helicopter whisked him away to oblivion after his bizarre and arguably tragic resignation, his replacement, Gerald Ford, proclaimed, “Our long national nightmare is over.”
Republicans, along with the millions who voted for them overwhelmingly, effectively sent the same message back to official Washington Tuesday night with an historic sweep in the Senate and the House midterm elections. As of 10:30 a.m. Wednesday morning, the Republicans gained a solid Senate majority with a confirmed pickup of 7 seats.
Wall Street is celebrating modestly Wednesday morning. All averages opened up, although the tech-heavy NASDAQ is retracing a bit as of 10:30 a.m. Wednesday morning.
Wednesday morning’s political play-by-play
Back on the political trail, the game has gone into extra innings, featuring a likely Republican win in Alaska and a much-delayed but again likely win in Louisiana’s bizarre December 7 run-off election. Sweeping both could give the Republicans a 9-vote Senate majority.
And at least one senate seat—Virginia’s—could still be in doubt. Incumbent Democrat Senator Mark Warner, an alleged centrist who voted with the President 99% of the time, holds a modest lead in the Commonwealth this morning with 97+% of precincts reporting. But, with voting machines in both Manassas and Virginia Beach (and possibly elsewhere) switching Republican votes to the “D” column in early morning voting—allegedly due to “calibration error”—a recount may be in order.
BTW, that same “calibration error” showed up in other states as well. (Bet they had that problem in Philly, too.) Remarkably, every reported and verified “calibration error” switched R votes to D. Only a coincidence. Nothing to see here folks, move along.
So much for the Republican “War on Women”
Moving right along, there were some real surprises last night. Increasingly blue Colorado ousted one-term “war on women” Democrat superstar Mark “Uterus” Udall in favor of his more articulate Republican opponent. One down in the ongoing game of left-wing dynasty politics. A black eye, perhaps, for the political evil otherwise known as Saul Alinsky, author of the Harry Reid and Barack Obama playbook, otherwise known as “Rules for Radicals.” Guess the wrong guy got fixed, frozen and polarized.
New York state, pretty much everywhere except New York City and environs, elected Republican representatives across the boards, including 30 year-old Republican Elise Stefanik, the youngest woman ever elected to Congress. So much for the Republican War on Women. Ditto newly minted U.S. Rep. Mia Love of Utah, now the first Republican black woman (she’s Haitian-American) ever elected to the House.
While we’re on a roll, about Republican Joni Ernst’s amazing win in Iowa which, in spite of its largely rural electorate, typically sends leftist Democrats to the Senate, courtesy of Des Moines’ dominant turnout machine? Guess the Republican War on Women (WoW) skipped Iowa Tuesday evening.
WoW seems to have skipped New Mexico, too, a purplish state that re-elected popular Hispanic-American Governor Susana Martinez decisively to a second term.
Similarly, the alleged racists in deep red state South Carolina decisively re-elected the nation’s first Indian-American woman governor, Nikki Haley, not to mention giving African-American Senator Tim Scott, a Haley appointee who replaced Republican Jim DeMint when he resigned his seat. It was a resounding victory for the first black Republican elected to the Senate from the South since Reconstruction. So much for Republican racism.
WoW also crashed and burned in the Mountain State, along with Democrats’ Congressional hopes. West Virginia, long a union stronghold, put all three Congressional seats in the Red Zone and added Republican Shelly Capito to the Senate, replacing the retiring leftist Democrat Jay Rockefeller. We’re certain this Republican sweep had absolutely nothing to do with the Administration’s War on Coal, either.
People’s Republic of Maryland elects…a Republican governor?
On other battlefronts, The People’s Republic of Maryland convincingly elected Republican Larry Hogan as that True Blue state’s next governor, shunning outgoing Lieutenant Governor Anthony Brown, a reasonably attractive Democrat candidate who won the DC suburbs and Baltimore City decisively. This one confounded even long-time pols.
What happened in the rest of this state? Outgoing Governor Malloy’s “rain tax,” perchance? Or the Democrats’ love for unlimited tax increases mostly for the purpose of stuffing public employee unions’ pension funds even more generously than is currently the case?
Scott Walker crushes the Thugocrats. Again. When will they ever learn?
Moving back to the Rust Belt, Wisconsin Republican Governor Scott Walker’s third electoral win in four years, giving Administration thugs, Wisconsin public employee union thugs, and George Soros-paid thugs their third sound thumping as Wisconsinites revel in the promise of a better tomorrow?
The Wisconsin story over the last four years has been a spectacular tale of lies, deceit and greed on the part of a thoroughly corrupt and violence-prone American labor movement, aided and abetted by Milwaukee area Demo-thugs who, like the IRS on a national scale, have continually attempted to criminalize Republican politicians and donors on thin-to-nonexistent legal grounds, similar to what’s been done to author-moviemaker Dinesh D’Souza and outgoing Texas Governor Rick Perry.
Walker set them all on their collective tushes once again, very possibly putting him in line to run for the Republican presidential nomination in 2016. Certainly no politician on either side of the aisle has shown as much pure guts as Walker who has been personally, politically, and fiscally brutalized by a gang of thugs masquerading as politicians. Here’s a guy with the gumption to take on a national campaign, assuming he wants to and assuming he could add a little pizazz to his fairly low-key public style.
Post-game wrap up
Clearly, hope and change was on the electoral menu last night, albeit not exactly what America’s first Communist President had in mind. What remains to be seen is whether this petulant, 50-something adolescent can grow up and get something done now that he’s spent 6 years squandering away his formerly veto-proof majority in both houses.
The Prudent Man wouldn’t bank on compromise here or anywhere. This administration’s track record of unconstitutional usurpation of power, aided and abetted by a Harry Reid Senate that basically ceased to function as a deliberative body in 2011, is long and dismal.
We are still dealing with a one-track, Marxist, post-colonial, Alinskyite mindset that unquestioningly regards both American voters and the Republican Party as something to be marginalized and replaced by a Hugo Chavez-style destruction derby of democratic institutions.
Of course, this is the politics. What are the consequences for the markets?
Unsurprisingly, all the averages are still smartly up this morning, as businesses and traders alike celebrate the prospect of getting America back to business at last.
However, this modestly rational exuberance could be short lived.
Obama and the lame-duck Democrat-controlled Senate could wreak havoc in the coming weeks by putting confirmed Marxist amateurs in appointive positions of power even as the President himself exceeds his constitutional authority—as he has vowed to do—by granting some form of blanket amnesty to illegal aliens, hoping to put the electorate out of Republican reach forever in the process.
Worse, a goodly number of Republicans might not squawk too much at this impeachable offense. They’ve been pressured by Big Business and the small business-centric U.S. Chamber of Commerce to let the illegals in free of charge, knowing full well that their formal entry into the already weak American labor market will destroy wage growth forever, thus increasing their personal wealth.
The American people—and grossly underemployed black voters in particular—want none of this. But it remains to be seen if the majority of American voters can actually overrule Big Money. There’s a huge coalition here to be built among these voters and among genuinely patriotic Hispanic voters as well. Does any Republican have the courage to step up to the plate and do this?
Even after Tuesday’s election results, all is not won and American constitutional democracy is not yet saved. Not by a long shot. The ruling class of faux leftist oligarchs, elitists and virtucrats will not willingly relinquish control of official Washington.
Best advice for serious investors today is to revel in last night’s Republican smash-a-thon and then get back to the basics, paying serious attention to growth in business and the restoration of the dwindling American middle class, which is arguably more endangered than those fabled snail darters of yesteryear.
Oh…and read our companion column, Market Maven, for an update, right here on CDN, of course, where you always get a heaping helping of truth, justice and the American way.
*Cartoon by Branco. Reprinted by permission and arrangement with LegalInsurrection.com.