If you’ve noticed the democrats being a bit more worried about the baby formula shortage crisis, there’s a good reason for that.  Baby formula is very expensive for the working family.  Subsidizing low-income parents with free infant formula has been dependency initiative for the democrats for a long time.

It’s not just the regular store-bought formula that is in extremely short supply, the government groups and NGO’s that provide the free formula are also out of stock.   The free formula dependency crowd is far madder than the paying purchaser, that spells trouble for democrats.

Democrat Speaker of the House Nancy Pelosi, noting the extreme political damage her House members could feel from an angry dependency base, said today the baby formula shortage is the worst possible crisis in decades.  She called it “unconscionable and tragic,” and in her statement outlined the scale of the problem for Democrats in office:

…”The shortage has taken an especially dangerous toll on women and children from underserved communities: about half of infant formula sold nationwide is purchased with WIC (Women, Infant and Children) benefits.”  (LETTER)

Half of the infant formula sold nationwide is purchased with WIC subsidy?  That’s why the issue is getting urgent attention from Democrats.

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Fake News CNN’s Jake Tapper asks White House Chief Medical Advisor Anthony Fauci why the White House is sending out false information, aka ‘disinformation’, about when the COVID vaccines were available. Fauci giggles, laughs and says “I have no idea.”  WATCH:

U.S. politics has devolved into a grand pretense of a theatrical performance keeping everyone distracted from the severe damage being inflicted by the political ideologues within the Biden administration.

I guarantee you if someone were just to ask Joe Biden at a presser who his Interior Secretary or EPA Administrator were, he’d have absolutely no idea.  Biden is purposefully and completely isolated from the policies being carried out by the people running the administration.  Biden has no idea what they are doing. None.

Clueless and disconnected Joe Biden is a shallow, empty and at times explosively angry vessel of nothingness.   The entire world can see it.

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The Washington Post is reporting the shift from the White House to disparage their political opposition with the terms “MAGA”, “Ultra-MAGA” and President Trump as the “Great MAGA King,” came from a six-month poll study led by Anita Dunn, the latest senior advisor in the White House.

Keep in mind, a few days ago White House spokesperson Jen Psaki said the terminology “ultra-MAGA” was an “organic utterance” from Joe Biden.  Whoops.

WASHINGTON DC – […] Biden’s attempt to appropriate the “MAGA” brand as a political attack was hardly accidental. It arose from a six-month research project to find the best way to target Republicans, helmed by Biden adviser Anita Dunn and by the Center for American Progress Action Fund, a liberal group.

The polling and focus group research by Hart Research and the Global Strategy Group found that “MAGA” was already viewed negatively by voters — more negatively than other phrases like “Trump Republicans.”

In battleground areas, more than twice as many voters said they would be less likely to vote for someone called a “MAGA Republican” than would be more likely. The research also found that the description tapped into the broad agreement among voters that the Republican Party had become more extreme and power-hungry in recent years. (read more)

On May 5th the White House announced Anita Dunn would return to the JoeBama administration as senior advisor.  Dunn’s specific expertise is using pressure, blackmail and political leverage to control information distribution by media organizations.  Apparently “ultra-MAGA” was Dunn’s first branding effort for the White House.

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The good news is more and more people are waking up to the dark arts of Republican politics.  If the awakening continues things will change.  The bad news is we’ve got to plow through a few more losses to get more lions awake.

Mike Pence is going to rally in Georgia on behalf of Brian Kemp’s reelection bid, because of course he is, Club rules.

The GOP club has outplayed the MAGA voters in the state of Georgia by using their private club rules along with the assist from an open primary.

Brian Kemp will win the GA republican (open ballot) primary with the help of democrats and GOP club endorsements.

The defeat of David Perdue will provide the Pence/Bush tenured club officials, ie. ‘the old guard‘, with the opportunity to disparage Donald Trump, claim MAGA is dead and Trump’s endorsements worthless.   The media are all waiting anticipatory glee for the opportunity.

Sometimes you just have to swallow the bitter pill and move along.  Both clubs in Georgia have made a deal, everything now is just watching the illusion of choice unfold.

NEW YORK (AP) — Former Vice President Mike Pence will campaign with Georgia’s incumbent Republican Gov. Brian Kemp the day before this month’s GOP primary in his most significant political break with former President Donald Trump to date.

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Earlier today Tesla CEO Elon Musk tweeted, “Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users.”  He also said, “still committed to acquisition.”

While tech stocks have been collapsing over the past 15 days, from a big picture perspective this approach by Musk looks like a potential negotiation strategy to lower the offer.  The actual number of spam/bot accounts on the platform is unknown.

CNBC – […] Twitter shares fell more than 8% Friday and are down about 23% from Musk’s agreed-upon purchase price of $54.20 per share. Part of the dip is related to an overall slump in technology stocks this month. The Nasdaq has fallen another 11% since the market close on April 25, the day Twitter accepted Musk’s offer.

“This is probably a negotiation tactic on behalf of Elon,” Toni Sacconaghi, Bernstein senior research analyst, said on CNBC’s “Squawk Box.” “The market has come down a lot. He’s probably using the guise of true active users as a negotiation ploy.”

Musk may feel some pressure or obligation to other potential investors in Twitter to lower the price, even if the world’s wealthiest man is more price agnostic.

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Perhaps you’ve noticed. For the past two nights Fox News and a host of corporate allies have been doing a full-frontal attack against Pennsylvania Senate Candidate Kathy Barnette.

The club reaction appears to have been triggered by a GOP Trafalgar poll showing Kathy Barnette in a close second place (23.2%), surging ahead of David McCormick (21.6%) and right on the heels of Mehmet Oz (24.5%).  [Bartos 7.2%, Sands 6.5%]

In this outline I will explain the easily visible GOPe club moves without trying to support any particular candidate, that’s for Pennsylvania voters to decide.  However, once you understand the background play, it might help clarify what the Keystone state voters are witnessing.

BACKGROUND.  President Trump has endorsed Mehmet Oz.  However, many people in the MAGA base are stuggling with that endorsement because they just don’t like the guy and question the bonafides of his sudden, seemingly convenient, MAGA-mindedness.

Meanwhile, David McCormick is the GOPe candidate from the mold of the typically Wall Street Mitch McConnell tribe.

McCormick is the quintessential corporate republican, or what might be described as the ‘establishment’ party choice.  I would call McCormick the club candidate.

Kathy Barnette is the alternative favorite in the race for the MAGA base who just cannot bring themselves to support Oz.  Barnette is the outsider and carries a fierce independent streak that appeals to frustrated voters who have had enough of the nonsense.

As a result, the top three in the race break down into McCormick as the Club candidate, while Barnette and Oz are splitting the MAGA vote.  By my estimation the MAGA support looks like 60%(ish) Barnette and 40%(ish) Oz.  What is happening now in this race is very Karl Rove-ian.

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Earlier today ultra-MAGA representative Marjorie Taylor Greene delivered remarks about the failures of the Biden administration as they are reflected in the continual food security and pricing crisis.   I strongly recommend watching these brief remarks, very impressive.

MTG accurately identifies the origin of the current baby formula crisis, as an outcome of stress within the supply chain caused by government intervention into the overall system.  MTG then notes that FDA rules and regulations make supply interruptions worse.

Additionally, in the background of the federal DHS and HHS contracts for food products, including baby food/formula, most of those federal contracts contain a ‘first right‘ or ‘prioritized continuity‘ provision, creating a distribution outcome (via contractual mandate) where illegal aliens end up with preferential allocation.  WATCH (2:55 mins):

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The entire premise of the J6 committee is a farce.  The overwhelming majority of Americans fully understand it is a political exercise between Democrats in congress and their hired Lawfare allies.  The goal is to label their political opposition as extremists, block and/or tarnish President Trump and manufacture a false premise to advance the Democrat 2022 election goals.

Despite this reality the effort continues in order to fuel their far-left base and media allies.

Today, the House committee triggered subpoenas against House republican members.  The subpoenas were sent to House Minority Leader Kevin McCarthy (U-DC), Rep. Jim Jordan (R-Ohio), Rep. Scott Perry (R-Pa.), Rep Andy Biggs (R-Ariz.) and Mo Brooks (R-Ala.). All five of the house members had previously rejected investigators’ requests for voluntarily testimony.

The subpoena authority is likely, hopefully, to be challenged in court.  The premise of a House committee issuing subpoena’s to the political opposition of the same House membership appears to violate the function of government on many levels.

WASHINGTON DC – […] The Republican leader indicated he might not comply with the subpoena.

“My view on the committee has not changed,” said McCarthy, who added he had not yet seen the subpoena. “They’re not conducting a legitimate investigation. It seems as though they just want to go after their political opponents.”

The select committee demanded testimony from the five lawmakers in the final week of May.

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Senator Rand Paul has blocked a fast-track senate vote on the additional $40 billion funding package created by Joe Biden and House Democrats.  Both Senate Majority Leader Chuck Schumer and Senate Minority Leader Mitch McConnell approved a fast-track vote; however, senator Rand Paul (KY) stood defiant against their effort.

Despite the high-profile pressure from the two Senate leaders, Rand Paul refused to move and that means the Senate will have to take procedural steps to overcome his objection, which could take several days. “My oath of office is the US constitution not to any foreign nation and no matter how sympathetic the cause, my oath of office is to the national security of the United States of America,” Paul said in his remarks before objecting to moving to swift passage of the bill. “We cannot save Ukraine by dooming the US economy.” WATCH:

The $40 billion supplemental spending bill for Ukraine is more than the total military budget of Russia.  The combined Ukraine aid packages now exceed $60 billion, more than the entire budget for the U.S. Dept of Homeland Security including border protection.

Rand Paul is on the right side of history with his position, and the overwhelming majority of Americans agree with him.   However, the opinion of the people is irrelevant to the Senate.   Even democrat Senator Chuck Schumer seemed to admit this point when he said Rand Paul’s position “was not the opinion of the overwhelming majority here,” meaning in the senate.  Schumer would have used other terms if he thought the American people agreed with him.  They don’t, and he knows it.

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The “Producer Price Index” (PPI) is essentially the tracking of wholesale prices at three stages: Origination (commodity), Intermediate (processing), and then Final (to wholesale). Today, the Bureau of Labor and Statistics (BLS) released April price data [Available Here] showing another 11.0% increase year-over-year in Final Demand products at the wholesale level.

Last month when looking at internal economic activity that showed a contraction in consumer purchases of goods, we said pay attention to the service side of the ledger now.  Knowing people have stopped buying ‘stuff’, if people are starting to run out of money, they will cut back in the service sector (dining out, etc).

While the PPI focuses on prices, the PPI data for April shows exactly that service side contraction now taking place.  Wholesale inflation in goods is determined heavily by higher costs for raw materials and processing.  However, the rate of inflation within the service sector is more connected to what consumers can afford.   Modified Table-A, look at the April difference between goods (1.3%) and services (0.0%):

[Ex. The lawn company might pay 50% more for oil and gasoline (goods side), but they may not be able to increase the rate they charge you by 50% to mow the grass (service side).]

The major current production inflation in both goods and services is directly connected to the cost of energy.  Energy prices are embedded in every sector of the economy.  For “goods” higher electricity, heating/cooling and petroleum costs (packaging, materials, transportation, etc) are unavoidable and passed on to consumers. For “services,” individuals and companies raise their prices to compensate for increases in their own costs.  It is a cumulative inflation snowball.

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