Wall Street and the State of the Union

Gary Kaltbaum, FNC
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On Tuesday night, we all heard the State of the Union address. I was asked to write about Wall Street's reaction. I don't think you can put the reaction in the context of one day.

One day means absolutely nothing. If you are going to talk about Wall Street's reaction, you have to talk about what has occurred since this president's policies were put into effect.

You know which policies? The policies that were supposed to destroy the economy. The policies that would explode the deficits. The policies that would cause a depression. It's my opinion that the New York Times and others are just trying to make you believe that a depression is about to occur.

Here are the facts ... and that is all I care about — the facts. You can't hide facts. You can’t spin facts ... though many try to.

In my opinion, the state of the economy is fabulous. This, in spite of 9/11, in spite of Katrina, in spite of 17 maniacal federal rate hikes, in spite of war, in spite of the specter of terrorism and in spite of $80 oil. I can go on and on.

If the market has any say about anything and I believe it does:

• The DOW has gone from a bear market bottom of 7200 to over 12,600.
• The S&P has gone from 775 to over 1440.
• The NASDAQ has gone from 1100 to over 2400.
• 4.6 percent unemployment.
• Job creation at a monthly clip of over 150,000.
• Low inflation.
• Low interest rates.
• High productivity.
• GDP averaging 3-3.5 percent
• Budget deficit cut in half.
• Highest household net worth ... EVER!
• Highest homeownership ... EVER!

If that is not enough, there’s more. Regardless of the ridiculous negativity portrayed by some:

• We are the economic envy of this world.
• We are the leader in medical breakthroughs.
• We are the leader in technological breakthroughs.
• We are the most generous country in the history of time.
• We are the country that people around the world are knocking down the door to get into.
• We have the greatest healthcare system.
• We are the freest people in the world.

You would not know any of this, because of the stumbling, bumbling morticians in the media. You would not know it by the low poll numbers for this president. These are facts ... not opinions. Wall Street and the economy have been voting for years.

The facts and the numbers speak for themselves. The economic state of the union is fabulous.

Gary Kaltbaum is president of money management firm Kaltbaum & Associates. He can be heard nightly on his nationally syndicated radio show "Investors Edge" on over 50 radio stations. He is a regular on FNC's Business Block. Visit Kaltbaum's Corner on TradingMarkets.com for more.

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