CNBC’s Rick Santelli recalled the five-year anniversary of the stimulus, housing bailout and blowing “a gasket” during “Squawk on the Street” today.
“On Feb. 19 I blew a gasket. But basically, what was born at that point was the voice of dissension. How do we know that? Many of course still remember the IRS issues. President said maybe there wasn’t a smidgen of, of, of negativity there or news there or anything inappropriate there,” Santelli explained. “But it seems like, if you look back, it was February of 2009 where all of that started if you look at some of the IRS records. But dissension was born!” (Video Below)
On the Nov. 2 edition of CNBCs “Squawk on the Street,” former chief economic advisor to George W. Bush and Hoover Fellow Ed Lazear commented that today’s jobs report may not be as good as the Obama administration and media make it out to be. “You have to think about how much do you need to keep employment constant as a proportion of the population,” he stated.
It's a good thing New York Times columnist Thomas Friedman wasn't a used car salesman because CNBC "Squawk on the Street" co-host Mark Haines would have driven off the lot in a lemon.
Friedman appeared on the Dec. 14 broadcast of "Squawk on the Street" to promote the paperback release of his book, "Hot, Flat, and Crowded." And once again, he made the case the United States is lagging behind in green technology and the only way to overcome this innovation gap is to set some sort of premium on the price of using carbon-based energy sources, as he meticulously argued in his book.
Friedman insisted it will take action by the government to impose these premiums and to grant some sort of long-term subsidy to stimulate this innovation. Haines, showing he was sold on Friedman's premise, expressed his doubt this could ever be set in motion.
Want more evidence print media is giving way to digital formats? According to CNBC "Squawk on the Street" Nov. 3, Internet behemoth Google (NASDAQ:GOOG) could have its sights set on The New York Times (NYSE:NYT).
Brian Shactman, a general assignment reporter for CNBC noted an article in the Nov. 2 Wall Street Journal that indicated a lot of big companies are hoarding cash and short term investments and it pointed out the information technology sector had nearly $280 billion to invest.
"There's so much talk today about M and A," Shactman said of mergers and acquisitions. "Well let's look it forward - some names out there that could be in the offing, some things to think about. Remember The Wall Street Journal said yesterday tech has about $280 billion to work with. Remember Google said they wanted to make about one acquisition a month. They have the cash - they got to speed up."
About a year ago, then-Senator and Democratic nominee Barack Obama managed to seize control of the issue of taxes from the Republican Party by promising lower taxes for "95 percent of Americans."
But today it's a drastically different situation. Obama's $787-billion stimulus has been passed into law and the administration is taking on higher deficits, which will only increase if a Democrat health care reform bill passes. It looks as though the president's hand will be forced and he will have to raise taxes. That's begs question - where were the media on this a year ago?
CNBC's Erin Burnett asked Treasury Secretary Timothy Geithner at a CNBC made-for-television town hall on Sept. 10 if taxes would be raised. Geithner dodged the question, but Burnett interpreted the dodge to mean yes, as she explained on NBC's Sept. 13 "Meet the Press."
It's been nearly seven months since CNBC reporter Rick Santelli took a stand against the Obama administration, which inspired the tea party movement - and the White House hasn't forgotten.
White House Press Secretary Robert Gibbs was asked by CNBC Washington correspondent John Harwood why the administration decided to go after Santelli after his Feb. 19 call for a metaphorical revolt over President Barack Obama's economic policies.
"Truthfully, one primary reason," Gibbs said in comments aired on CNBC's Sept. 4 "Squawk on the Street." "And that was - I thought the argument that he was making was both disingenuous and not based on the facts. It was clear that Rick was very passionate about the issue. And look, we have differing opinions from both sides of the political aisle. It was clear to me that the argument that he was making wasn't based on him having actually read our plan."
Invoking the word "crisis" might conjure up images of a Category 5 hurricane bearing down on the U.S. Gulf Coast or some other situation where decisive action much be taken to avert impending doom. But, is it appropriate to suddenly attach it to the key issue put forth by Obama administration, such as health care?
On July 30, CNBC dedicated its three-hour morning show "Squawk Box" to the issue and labeled the special coverage: "America's Healthcare Crisis." CNBC used the word "crisis" despite polls (including a July 30 Time article) that found 80 percent of the respondents satisfied with their health care.
It's the new "C" word according to Melissa Francis, co-host of CNBC's "The Call." Using the word "cartel" to describe OPEC is officially a no- no.
Francis, who was on location in Vienna, Austria at the OPEC summit, reported on an exchange between herself and Ali Al-Naimi, the oil minister of Saudi Arabia during the May 28 broadcast of "Squawk on the Street." In an interview, Al-Naimi took issue with Francis using the word "cartel" to describe OPEC:
Francis: When do you think we'll hit that $75-to-80 range that seem like almost everybody in the cartel agrees is sort of the equilibrium price?
Al-Naimi: You have to be careful calling OPEC a cartel. I resent that.
Once again, someone has squared off against one of CNBC's star personalities, and this time it's a liberal economist taking aim at the old standby, "Mad Money" host Jim Cramer.
An April 8 Associated Press story reported that, on the heels of "The Daily Show" host Jon Stewart taking Cramer "to task for trying to turn finance reporting into a game," New York University Professor and Huffington Post contributor Nouriel Roubini blasted Cramer in an interview. Predictably, Cramer responded.
"Cramer is a buffoon," Roubini said to the AP. "He was one of those who called six times in a row for this bear market rally to be a bull market rally and he got it wrong. And after all this mess and Jon Stewart he should just shut up because he has no shame."
It's the latest ailment of the left - CNBC derangement syndrome.
Since CNBC's Rick Santelli and Jim Cramer took an outspoken stance on the shortcomings of the Obama administration, left-wing storefronts have been popping up all over the place wanting to capitalize on the network after it took a vicious attack from Comedy Central "The Daily Show" host Jon Stewart.
For the second day in a row, CNBC "Squawk on the Street" co-host Mark Haines took on a Democratic congressman over the issue that American International Group (AIG) paid out too much in bonuses for a company that received federal bailout money.
On March 19, Haines took on alleged tax cheat Charles Rangel, questioning whether or not he should be dictating tax policy while the House Ethics Committee investigates him for his tax problems. On CNBC's March 20 "Squawk on the Street," Haines took on Rep. Brad Sherman, D-Calif. on the issue.
Sherman contended the 90-percent tax on bonuses exceeding $250,000 that the House passed 328-93 didn't go far enough. He said a government receivership would have been the proper way to handle AIG, and not the bailout method the federal government employed.
In the wake of the American International Group (AIG) bonus controversy, some have called the plans of congressional leaders to tax those bonuses at a rate of 90-100 percent "legislating with a vengeance."
"When you violate the public trust, different rules apply - the same thing we have in charitable organizations, 501(c)3 when they have excessive payment in certain areas that we're able to penalize them for," Rangel said.
"We got the market top in November 2007 at about 14,000 on the Dow," Navarro explained to co-host Mark Haines. "And we went down to 8,000 over the course of the year. We've been in this sideways pattern since until recently at 8,000. We put the fiscal stimulus in place. We put the bank bailout in place. The market says we don't like it. We break that critical support level."
Moments later, we got our first clue as the conservative talk radio host was interviewed by CNBC's Erin Burnett and Mark Haines.
UPDATE: Better functioning video now embedded; bonus "Fox & Friends" interview video also added at end of post.
Most fascinating, Burnett, who has come across as left of center and pro-Obama, seemed much more interested in Limbaugh's views on this issue than Haines who not only has always struck me as conservative, but has also been quite hostile to Obama's economic positions as well as all the government spending since the financial crisis began last September (video embedded below the fold, full transcript available here):
Who would have thought a blanket with sleeves, available in a variety of pastel colors, could serve as an economic indicator?
While several sectors of industry are seeking bailout money in some form or another, the Snuggie, an oversized fleece blanket with sleeves featured in cable television ads, is one of the good-news business stories of 2009. According to an article in the Jan. 27 USA Today, 4 million Snuggies have been sold and the product has even developed a bizarre cult following. And, according to CNBC "Squawk on the Street" co-host Erin Burnett, that's proof television as a medium isn't dead yet.
"Hey guys, guess what - Joe, you just gave me a thought," Burnett said on the Jan. 29 "Squawk on the Street." "You know how everyone says television is dying and all the advertising is going to go to the Web eventually? Isn't the Snuggie proof that that is not true?"
Newspaper companies as an investment are less lucrative than they once were. Alan D. Mutter, a Silicon Valley CEO, pointed out on his blog that newspaper companies took a hit in 2008 in terms of share value to the tune of $64 billion.
"In the worst year in history for publishers, newspaper shares dropped an average of 83.3% in 2008, wiping out $64.5 billion in market value in just 12 months," Mutter wrote on Jan. 1. "Although things were tough for all sorts of businesses in the face of the worst economic slump since the 1930s, the decline among the newspaper shares last year was more than twice as deep as the 38.5% drop suffered by the Standard and Poor's average of 500 stocks."
You've got to love brutal honesty, especially when it comes from the financial media.
The Senate's version of a bailout bill, which passed last night by a margin of 74-25, included "sweeteners" - or obscure tax breaks - including benefits for the manufacturer of wooden arrows used in children's toys and another for litigants in the 1989 Exxon Valdez oil spill.
The theory that bailout legislation recently defeated in the House of Representatives would make money for the federal government has been propagated by the financial media. But according to a recent report released by the International Monetary Fund (IMF), a profit is unlikely.
"What you find in the IMF report is of course that banking crises happen all the time," Patelis said. "If you look at the history of banking crises - that on average they cost about 13 percent of GDP to the government, both in terms of direct recapitalization costs, but also lost revenue."
On The Situation Room today, CNN anchor Wolf Blitzer made a surprising admission to, of all people, real estate entrepreneur Donald Trump:
BLITZER: What do you think of his (Obama's) decision to pick Joe Biden as his running mate?
TRUMP: I really don't know Senator Biden but I know one thing. He's run a number of times for president. He's gotten less than 1 percent of the vote each time. And that's a pretty tough thing. You know, he's also been involved in pretty big controversy like plagiarism in college and various other things. That's a pretty big statement. So perhaps you change over a period of time. But when you plagiarize, that's a very bad statement. That hasn't been brought up yet, but I'm sure at some point it will. I'm sure that Sarah Palin will bring it up in a debate or somebody's going to bring it up.
BLITZER: Are you talking about plagiarism when he was running for president?
TRUMP: No, I'm talking about when he was a college student as I understand it, and this was a big issue originally but he supposedly plagiarized as a college student. That's a pretty serious charge.
BLITZER: I don't remember that. We'll check it out. But maybe you obviously have a better memory about that.
On CNN's American Morning today, White House correspondent Suzanne Malveaux reported on Barack Obama's campaigning in Virginia. Afterwards, anchor Kiran Chetry had a question:
CHETRY: All right. And Suzanne, what's on tap for the campaign today? And please tell me it's not lipstick again.
MALVEAUX: Let's hope not. He's going to be in Norfolk, Virginia. That is in southeast Virginia, and it's home to the world's largest Naval base. It's one of the most competitive areas that the Democrats and Republicans are fighting over. It's a critical piece of property, piece of land there with folks in Virginia, and they want those voters.
CNBC's "Squawk Box" co-host Joe Kernen took a moment during a panel discussion September 2 to take a shot at the onslaught of coverage over presumptive vice presidential nominee Sarah Palin's daughter's pregnancy.
You know as a member of the media I'm just kind of embarrassed with the media. The media says, "Yeah it shouldn't matter, it's not going to matter, we're not going to cover it" and then they put it on the cover of every paper.
Earlier in the broadcast Kernen told chief Washington correspondent John Harwood he did not think the family incidence was as big a deal as the media was making it out to be:
Felt a little bit like the guy in Casablanca, shocked, you know: teen sex in Alaska, John. Probably not that much of a shocker I guess, right? Not a whole lot. I guess bowling, yeah, It's a little lonely probably up there, right, John? ... I don't understand everybody at the same time saying that this is not going to be a big deal ... the press is going to be responsible about this, Barack Obama please don't make anything of this, but then it's the cover of every paper like it, you know, like matters.
While a lot of the members of the mainstream media were scratching their heads, trying to figure out just who Alaska Gov. Sarah Palin was, CNBC actually came through with an almost immediate positive response.
The August 29 broadcast of CNBC's "Squawk on the Street" featured two of the network's prominent personalities analyzing Republican presidential nominee Sen. John McCain's choice of a running mate. "Closing Bell" host Maria Bartiromo and "Kudlow & Company" host Larry Kudlow said McCain's decision was wise.
Bartiromo, who was set to feature Palin in an upcoming CNBC special on energy, called the governor a "terrific choice."
BARTIROMO: "I can tell you a lot about Gov. Palin just from my conversation with her and from the day that we spent with her and that is she challenged the establishment in Alaska. She is very, very popular in Alaska and what she brings to the table predominantly is her knowledge and her know-how of energy. That's the bottom line."
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."
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."
It's no longer profitable for networks to have their own news organizations, according to CNBC's David Faber.
In the wake of the news that CBS is in negotiations to outsource its news division to CNN, Faber explained on CNBC's April 8 "Squawk on the Street" CBS's news division is a victim of an evolving business.
"The news that CBS is once again considering a deal under which it would outsource some of its newsgathering operations to CNN - certain to get those critics out there who say, ‘Oh, this is the end of news as we know it on television,'" Faber said.
"Well, if you haven't noticed, news on television ended a long time ago, other than '60 Minutes,' which is by the way a CBS program. I challenge you to come up with actual newsgathering that is taking place on the networks," he said. "That ship has sailed."
"The American public don't know jack," Cramer said in response to a question from CNBC correspondent Michelle Caruso Cabrera about justifying the move to the American public. "They're just glad they're just not going to lose their job. I mean, this thing was so out of control. Everybody on Wall Street thought they were going to lose their jobs 10 days ago. We're thrilled."