Jeff Poor's blog

The media continue to have Obama's back after his ridiculous claim tire inflation could be a substitute for oil drilling in a speech at a rally in Missouri on July 30.

MSNBC anchor Alex Witt is the latest in a long line of media personalities expressing irritation that McCain is using the presumptive Democratic nominee's tire inflation comment in his campaign against Obama. Witt interviewed former Senate Majority Leader Trent Lott on August 7 about McCain's strategy.

"But sir, when John McCain picks up this tire-gauge issue and you know - throws it about back and forth, doesn't he just perpetuate the problem?" Witt asked. "I mean, if you were advising him, wouldn't you say, ‘Can you leave it alone?' or does it work for him?"

Maybe it is because NBC has the broadcast rights for the Summer Olympics being held in China, but big gas-guzzling, greenhouse gas-emitting automobiles made by General Motors are seen as a plus for the communist nation's embrace of capitalism.

The August 6 "NBC Nightly News" featured the Chinese people's love of troubled U.S. automaker General Motors (NYSE:GM) - an indicator interpreted as an acceptance of capitalism.

"What would Chairman Mao think?" CNBC correspondent Phil LeBeau asked. "Six decades after the Communist Revolution, China has become the hottest capitalist engine on earth. And ironically, some of the most revered symbols of success in today's China are Cadillac, Buick and Chevrolet."

Rep. Robert Wexler is getting desperate.

After several media outlets discovered the Democratic congressman from Florida uses his in-laws' house in a Florida retirement community to meet residency requirements, he has sent out an e-mail (entire text here) asking for campaign donations - alleging it's his "strong and vocal stands in favor of impeaching President Bush and Vice President Cheney" that has made him a target of "ultra-conservative" media.

"In the eyes of the right wing, I am seen, along with Rep. Kucinich, as one of the symbols of the impeachment fight. They believe that if they defeat me - they defeat our cause," Wexler wrote. "For the last week, I've been relentlessly targeted by ultra-conservative radio and television hosts, as well as my local media. It has taken a toll.  Now more than ever, I need your support to help me stay in Congress to represent your voice in Washington."

As an attempt to find a new and innovative way to spread the doom-and-gloom news associated with the economic downturn, BusinessWeek magazine launched a recession blog on its Web site back in May to give a personalized glimpse into "recession" hardships.

"This blog is one of the places we'll tell these stories," BusinessWeek.com reporter Tim Catts wrote on the blog's first post on May 2. "Here, we'll jump into the conversation about where the economy is and where it's going. Yes, sometimes we'll look at the latest data. Sometimes we'll share observations from the road. The goal is to give readers real stories about how the downturn is affecting individuals, businesses, and communities."

However, activity on the blog has been scarce of late. Nearly three months later, there are just 22 posts. Meanwhile, the nation's Gross Domestic Product grew at a 1.9 percent pace for the second quarter of 2008, according to government estimates announced July 31.

Is there a pro-Obama bias in the media? Only if you at it from a certain point-of-view according to "NBC Nightly News" anchor Brian Williams.

Despite allegations of just the opposite, the wall-to-wall coverage of presumptive Democratic presidential nominee Sen. Barack Obama's trip to the Middle East then to Europe wasn't a sign of bias - it was just the media attempting to "educate" according to Williams.

Williams appeared on CNBC's "Closing Bell" on July 28 to promote the broadcast of his interview with Iranian President Mahmoud Ahmadinejad to be aired on the July 28 "NBC Nightly News." "Closing Bell" host Maria Bartiromo asked Williams if the media were treating Democratic presidential hopeful as a "darling." Williams dismissed the allegation.

"I think it is in the eye of the beholder," Williams said. "As I always say, there was that great New York clothier Sy Syms. We all grew up listening to those radio ads in the New York area and what did he used to say? ‘An educated consumer is our best customer.' The journalism needs to be judged on what we covered of that trip, how we covered it, what we said. It was a big story last week. The crowd I covered in Berlin was a big story, as was the visit to Paris and London and the Middle East before it."

The dilemma of high gas prices might be addressed if congressional leaders would all just get along.

From CNN correspondent Kate Bolduan's perspective, the political differences on energy policy are little more than a "partisan standoff" between Democrats and Republicans.

"Even before the votes were counted on the latest energy proposal, the partisan standoff was clear," Bolduan said on the July 25 "American Morning." "[T]hat bill, a Democratic plan to release oil from the nation's Strategic Petroleum Reserve. It failed - one more example of the deadlock over sky-high gas prices and one step closer to Congress going home for the summer without passing anything significant on energy."

According to the report, the primary conflict involved opening federal lands to offshore drilling.

Don't blame Sen. Charles Schumer, D-N.Y., member of two influential banking committees - the Senate Finance Committee and the Committee on Banking, Housing, and Urban Affairs - for IndyMac's collapse, says CNBC's Erin Burnett.

Burnett, host of CNBC "Street Signs," disagreed with a claim by MSNBC "Morning Joe" host Joe Scarborough that a letter to regulators from Schumer caused a run on the beleaguered bank IndyMac, which eventually led to its failure and takeover by the Federal Deposit Insurance Corp.

"I don't think Chuck Schumer caused a run on the bank," Burnett said on MSNBC's July 24 "Morning Joe." "This is the new world of banking. Companies, banks come out and they say, and they say, ‘Oh my gosh - our stock's down 20 percent. It's being manipulated. Please come in and help us government. Oh my gosh, there's a run on our bank - let's blame it on a senator.'"

The massive housing bailout bill, meant to prop up beleaguered government-sponsored enterprises Fannie Mae (NYSE:FNM) and Freddie Mac (NYSE:FRE) and help homeowners refinance adjustable rate mortgages, was praised in a segment on the CBS broadcast. It passed in the House July 23 and won't face resistance from President Bush.

"This afternoon, the House passed a bill that throws an estimated $25-billion lifeline to Freddie Mac and Fannie Mae - the backbone of the home mortgage industry," CBS chief White House correspondent Jim Axelrod said. "The bill makes it easier for both to raise unlimited capital from the government if needed and would allow hundreds of thousands of homeowners to refinance rather than face foreclosure."

To CNN's "Lou Dobbs Tonight" host, we live in a world of absolutes - because the potential of a government bailout of two publicly traded government-sponsored enterprises condemns the entire concept of free market capitalism.

On the July 22 broadcast of Dobbs' show, he attacked proponents of free-market capitalism because of the potential trouble of the two government-sponsored enterprises (GSEs) Fannie Mae (NYSE:FNM) and Freddie Mac (NYSE:FRE).

"Well the - it's a, it's quite a mess, quite a mess indeed," Dobbs said. "And I love the idea that all these free traders, free marketeers now got to have the government to, to bail them out. If I hear one of these ignorant, hypocritical, sanctimonious free traders ever talk about free markets again, they should be pilloried. I mean they are absolutely - this is an administration of jerks and cowards and fools. I mean it's unbelievable."

Democratic Sen. Chris Dodd of Connecticut, chairman of the Senate Banking Committee, has remained largely unhurt by the controversy over his "sweetheart" deal with mortgage lender Countrywide. But CNBC's "Squawk Box" co-host Carl Quintanilla finally bucked the media trend of ignoring the scandal and brought the loan up in an interview July 14.

Dodd appeared on CNBC's "Squawk Box" in the wake of Treasury Secretary Henry Paulson's July 13 announcement that the federal government would take actions to prevent government-sponsored enterprises Fannie Mae (NYSE:FNM) and Freddie Mac (NYSE:FRE) from failing.

Quintanilla asked Dodd if his association with Countrywide, now owned by Bank of America (NYSE:BAC), compromised his ability to lead on the housing issue.

Although the collapse of Bear Stearns happened back in March, the debate still rages as to what led to the failure of the 85-year old investment bank that had survived years of previous turmoil, including the Great Depression.

After JPMorgan Chase (NYSE:JPM) CEO Jamie Dimon appeared on PBS's "The Charlie Rose Show" July 7 and commented on an August 2008 Vanity Fair article alleging that CNBC reporting could have been part of Bear Stearns' downfall, the cable channel's on-air editor Charlie Gasparino criticized what was claimed in the article and Dimon's reaction on CNBC's July 8 "Power Lunch."

"Well, you know, he [Dimon] said one thing that I'm just - listen, I didn't watch it," CNBC's Charlie Gasparino said, "I'm just going by what appears to be a transcript here: ‘Where there's smoke, there's fire.' Oh really? Sometimes where there's smoke, there's no fire, Jamie. I've got news for you."

With world leaders meeting in Japan for the G8 Summit, conventional wisdom would suggest high commodity prices - which are having a detrimental effect on world economy - would be the focus.

But that wasn't so on the July 6 broadcast of "NBC Nightly News." Instead of reporting on what are seemingly more pressing issues, the segment about the summit highlighted "green" efforts from the host country.

"Mr. Bush is to meet Chinese President Hu Jintao this week on the sidelines of the G8 Summit - where leaders will talk about soaring gas and food prices and the thorny issue of climate change," Yang said. "Officials want to build momentum toward next year's deadline for a global agreement to reduce the greenhouse gas emissions blamed for climate change."

President George W. Bush in April announced his support for establishing federal emissions reduction targets with a goal of stopping greenhouse gas emission growth by 2025. That wasn't enough for "Nightly News," which still managed to find a global warming alarmist with anti-Bush sentiments to bash his efforts.

Food inflation is hitting everyone - even if don't have to pay for food.

According to the July 2 "CBS Evening News," part of its "The Other America" series - a title strangely similar to former Democratic presidential candidate John Edwards' liberal anti-poverty mantra of "Two Americas" - food stamp recipients are being hit by the rising the cost of food.

"With food prices climbing, more and more Americans these days are struggling to feed their families," anchor Katie Couric said. "Nearly 28 million rely on food stamps for an average benefit that comes to only about $24 a week for each person. Many are living hand-to-mouth, month-to-month."

The consequences of a military attack on Iran to thwart its nuclear intentions could have a global economic impact, according to NBC News chief foreign correspondent Richard Engel.

Engel warned on the July 1 "NBC Nightly News" an attack by Israel could send oil prices soaring - sending gas prices into territories never imagined.

"I asked an oil analyst that very question," Engel said. "He said, ‘The price of a barrel of oil: Name your price - $300-$400 a barrel.'"

What would oil at those levels mean? A June 11 Time magazine story by Robert Baer put the price of a gallon of gas at $12 a gallon if oil goes to $300 a barrel. In May, Robert Hirsch, Management Information Services Senior Energy Advisor, told CNBC's "Squawk Box" the oil at those prices could mean $15-a-gallon gas.

Expensive gas isn't so bad to the "CBS Evening News," as long as it promotes an agenda that caters to left-of-center sensibilities and makes Americans behave more like Europeans. 

Economists from Canadian Imperial Bank of Commerce (CIBC) (NYSE:CM) forecasted $7-a-gallon gas prices by 2010, which according to some analysts would force 10 million vehicles off U.S. roads over four years. CIBC based its prediction on $200-per-barrel oil by 2010.

"In fact, by 2012, higher prices could send an additional 10 million vehicles off the road," CBS correspondent Priya David said June 26. Although $7 gas would do the most harm to low-income Americans, David praised the effects it would have in easing congestion.

General Motors has been in business since 1897, but there are fears now propagated in the media that the longtime American icon faces an uncertain future.

Brian Williams raised the possibility of General Motors (NYSE:GM) going out of business on the June 26 "NBC Nightly News" to Jim Cramer, host of CNBC's "Mad Money."

"[J]im, I know you talk about this, think about this everyday for a living and have a formula regarding this," Williams said. "But first, what's going on out there? I heard one analyst today said, ‘GM will go out of business,' though I know a lot of people disagree with that and it's a scary thought."

In the past when Warren Buffett has spoken out the "super rich" needing to pay a higher tax rate, the media have hung on his every word. But, now that he has spoken out against a windfall profits tax on oil, will they notice?

Buffett said he disapproved of the windfall profits taxes in an interview with CNBC's Becky Quick on "Power Lunch" on June 25.

"I think it is very hard to have windfall taxes," Buffett said. "Steel has doubled in price. Is that a windfall for the steel producers? Sure. Corn is $7 a bushel; soybeans are at $15 a bushel. I don't think any candidate in his right mind with the number of electoral votes in farm states would say you ought to tax farms specially because they are getting a windfall."

CNN's Lou Dobbs is known for his fiery protectionist rants, but now he's calling for an extreme response in the wake of the Food and Drug Administration's inability to prevent a salmonella outbreak.

The "Lou Dobbs Tonight" host placed the blame squarely on President George W. Bush, calling for his impeachment on the June 19 broadcast. Contaminated tomatoes from an unknown source or sources have sickened 383 people since April, according to the Associated Press.

"You know, I have heard a lot of reasons over the years as to why George W. Bush should be impeached," Dobbs said. "For them to leave the Food and Drug Administration (FDA) in this state, its leadership in this sorry condition and to have no capacity apparently or will to protect the American consumer - that is alone to me sufficient reason to impeach a president who has made this agency possible and has ripped its guts out in its ability to protect the American consumer."

This could be perhaps the most bizarre application of James Carville's worn out expression, "It's the economy stupid." "CBS Evening News" linked the economy to the famed pregnancy pact that has received national attention.

The June 19 broadcast of "Evening News" faulted the ailing economy for 17 Massachusetts high school students agreeing to get pregnant intentionally around the same time so they could raise children together.

According to Gloucester Public Schools Superintendent Christopher Farmer, the girls did it to gain status. CBS correspondent Michelle Miller took it a step further and made an economic connection.

"Status in Gloucester is hard to come by," Miller said. "The once-thriving fishing community has seen jobs drift overseas. Economic depression has left many teens trying to fill the void."

Could this have been an, "Oops, we messed up" moment for CBSNews.com?

On June 18, CBS.com posted a story claiming that global seismic activity on Earth is now five times more energetic than it was just 20 years ago because of global warming. [see related NB story by D.S. Hube here]

The story had no byline, but was attributed to the Associated Press. The story was identical to a June 17 Market Wire press release attributed to Tom Chalko, the scientist that made the claim of the earthquake/global warming link.

However, as of 3 p.m. on June 19, the CBS.com story was no longer available and CBS.com was engaging in a blame game of sorts. (Hat tip: Marc Morano, Inhofe EPW Press Blog)

Pushing a liberal social agenda is the last thing you'd expect to see on CNBC's "Squawk on the Street." But the network's June 16 mid-morning show featured a segment praising the California Supreme Court for legalizing same-sex marriage because of a predicted economic benefit.

"This time around, one study expects over 100,000 gay couples will tie the knot, providing a boost to California's ailing economy hit hard by the real estate foreclosure meltdown," CNBC Silicon Valley Bureau Chief Jim Goldman said.

Goldman cited data from the pro-gay Williams Institute, a division of the University of California Los Angeles School of Law. According to its Web site, the Williams Institute "advances sexual orientation law and public policy through rigorous, independent research and scholarship, and disseminates it to judges, legislators, policymakers, media and the public."

Has NBC White House Correspondent David Gregory turned over a new leaf?

Gregory, who has earned a lot of critics for having an anti-Bush/liberal bias, made it seem that way during a discussion about ethics in politics and journalism Thursday. He claimed to struggle with Jewish teachings about saying bad things about others - at least when it comes to Democrats.

Gregory, who is Jewish, said he relies on the Jewish law on speech to make editorial decisions for his MSNBC daily afternoon show "Race for the White House."

U.S. corn futures topped out at record highs on June 11 on the news that the impact of flooding in the Midwest would hurt this year's corn crop, but the June 11 "CBS Evening News" left out one significant detail in its reporting about the crisis.

"[A]gricultural disaster aid has been requested for Iowa, Illinois, Wisconsin and Michigan," CBS correspondent Cynthia Bowers said on the June 11 "Evening News." "The federal government estimates that this year's corn crop will be 10 percent lower than last year's. That's down 1.4 billion bushels, and it's too late to do much about it."

According to a Reuters story, corn prices on the Chicago Board of Trade have shot up 80 percent in the last 12 months, with almost 17 percent of that just this month. But Bowers didn't explain how the prices got so high before the floods, which put consumers of corn products in this vulnerable position. Corn futures were already priced high because of a heightened demand - artificially stimulated by federal government subsidies for ethanol produced from corn.

Think it's hot outside? "Good Morning America" wants you to think it is your fault - at least that's why an expert featured on the June 9 show told viewers it is hotter outside.

Stanford University professor Dr. Stephen Schneider said that methane and carbon dioxide in the atmosphere are making hot temperatures even hotter.

"While this heat wave like all other heat waves is made by Mother Nature, we've been fooling around by turning the knob and making a little bit hotter," Schneider said. "[W]e've already increased by 35 percent the amount of carbon dioxide which traps heat. We've added 150 percent more methane, which also traps heat."

Ironically, in 1971, Schneider co-authored a research article that explored both warming and cooling of the Earth, warning that a certain level of aerosols entering the atmosphere could trigger an ice age.

Today's dramatic $6-a-barrel spike in oil has been blamed on a couple of factors - a forecast by Morgan Stanley (NYSE:MS) claiming oil would hit $150 a barrel by July and a weakening dollar off news unemployment increased half a percent for the month of May.

But CNBC contributor John Kilduff, who is also the vice president of risk management for MF Global (NYSE:MF), told viewers on the June 6 "Squawk on the Street" geopolitical factors, specifically remarks from an Israeli official about attacking a nuclear facility in Iran, is behind the spike.

"[W]hat's really lit up this market big time here is, which hasn't been really mentioned. I haven't heard too much and I'm surprised at, is deputy minister in Israel said this morning that an attack on Iran's nuclear facilities is quote, ‘unavoidable,'" said Kilduff on CNBC's "Squawk on the Street."

High gas prices strike again, says the "CBS Evening News."

The June 3 "Evening News" blamed surging gas prices and General Motors reluctance to produce "more fuel-efficient vehicles" for closure of several plants, including one in Janesville, Wisc.

"It's not just here and it's not just GM. Since 2005, the big three - GM, Ford and Chrysler - have had 70 plants and supplier shutdowns with a total loss of 149,000 American jobs," CBS correspondent Cynthia Bowers said. "At the same time, foreign automakers selling more fuel-efficient vehicles are building five new U.S. plants that will employ 24,000 workers over the next three years."

Last week, the Bush administration released a report warning of the potential dangers of global warming, except there wasn't anything new in it. However, the timing of the release was seen as an act done so begrudgingly - since the Bush administration has previously resisted efforts to propagate climate change alarmism.

"For the first time, the Bush administration is conceding what most scientists have said for years - that global warming is having an impact on just about every aspect of the way we live," ABC "World News" anchor Charles Gibson said on May 29. "The government report was mandated by an act of Congress, but the White House has fought its release since 2004 and released it now only because a federal judge ordered it."

The Associated Press admitted the report had no new science in it, but they quoted Rick Piltz, director of Climate Science Watch, whose organization advances global warming activism.

You've got to give the media credit for continuing to find new and innovative ways to make the U.S. economy look bad.

This time an increase in Spam sales are being touted as a sign that people are suffering as they are being forced to trade in their fancy meats and poultries for something less expensive - a sign of "our times," according to "NBC Nightly News" anchor Brian Williams.

"And in what may be a huge economic indicator, this may say more about our times than we realize," Williams said on the May 29 broadcast. "Spam, the canned luncheon meat product, not the junk e-mail but, Spam sales have surged, lifting profits for the maker Hormel by 14 percent in just the first quarter of this year."

As of late, the networks just can't get enough of bad housing news, seizing each opportunity to make a point how bad the American economy is.

Each of the network news broadcasts on May 27 - ABC, CBS and NBC - took the news that home prices fell 14 percent in the first quarter of 2008, despite the news that new home sales rose an unexpected 3.3 percent in April from March, to portray the economy in a very grim light.

"The downward slide for home prices is only picking up speed," CBS correspondent Anthony Mason said on the May 27 "Evening News." "The 14 percent plunge nationally was led by Las Vegas, where prices have fallen more than 25 percent over the past year. Miami is down more than 24 percent, Phoenix - 23 percent. Among the 20 major cities surveyed, only Charlotte showed a meager gain and analysts can't see a bottom yet."

If there were any doubt the media is trying to milk bad economic news for all that it's worth, look no further than BusinessWeek magazine.

BusinessWeek kicked off its "Recession in America" blog on May 2. It is dedicated solely to reporting on the "recession [that] is here (or will be soon)," as the headline of a May 19 post stated (h/t BMI advisor Chris Roush of Talkingbiznews.com).

"As the U.S. economy slows, the story is often told through broad statistics," the "about" section of the blog stated. "In this blog, BusinessWeek reporter Tim Catts travels the country to uncover the stories of how individuals are coping with the downturn."