The Obama administration is redirecting TARP resources to small business loans. The program, designed to take toxic assets off the books of the big banks has gone everywhere and anywhere, but has bought few, if any toxic assets. Money has gone to banks in the form of preferred and common stock, to the automakers to buy them out of bankruptcy and now to small business. The goal might be admirable, but clearly it was not the intent of the legislation. One reason why the US Congress has an such a low job approval rating.

Several new programs have been announced in recent weeks. Senior citizens are slated to get a #250 kiss in the mail from the government while programs for small banks are being put in place. No effort has been made to rein in spending as yet, with the government committed to stimulus until the economy recovers.

EUR/USD trades at 1.5000, consolidating its morning gains. Support is seen at 1.4980 near-term.