Dan Loeb lets slip the dogs of war

It’s been awhile since Dan Loeb and his kickass poison pen have given us something to rave about. Hell, he hasn’t even been writing Third Point’s investor letters since last year.

Today however’s a little different for the ex Obama boy; incensed with how Washington has been handling the deficit debates, he breaks out the vitriol once again and reminds us why we all think he’s a badass in the first place:

Daniel S. LoebThe budget is not the only thing in deficit today, as a paucity of leadership has left the country without a stable framework in which businesses can conduct business, investors can invest, and consumers can consume without a high degree of uncertainty and fear. Politically charged statements and brinkmanship have served to deepen divisiveness between the parties and led to confusion and fear among citizens. There has been much said about who is allegedly the “adult in the room,” but President Obama has yet to speak to Americans as adults, insisting instead on his preferred technique – stirring up class warfare. Scaring senior citizens about the possibility of not receiving their Social Security and Medicare checks, lambasting the corporate jet industry, and calling for higher taxes on managers of private partnerships is not a constructive approach to handling a complex multi‐trillion dollar problem that will have a multi‐generational impact.

In remarks on the House floor this week, Representative Paul Ryan (R‐WI) neatly characterized the perils of the present moment:

“I keep hearing . . . .‘The President’s got a plan. The President’s offering balance.’ The President hasn’t offered a thing yet. Nothing on paper. Nothing in public. The President did inherit a tough problem. No two ways about it. What did he do with this problem? He drove us deeper into debt. One trillion dollars of borrowed money for a stimulus that was promised to keep unemployment below 8 percent and went up to 10 percent and now it’s at 9.2 percent. A stalled economy. A budget the President gave us that doubles the debt in five years and triples it in 10 years. That’s not leadership.”

It is increasingly difficult to avoid the conclusion that while Washington burns, President Obama is fiddling away by insisting that the only solution to the nation’s problems – whether unemployment, the debt ceiling, or deficit reductions – lies in redistribution of wealth. Perhaps the difference between President Obama and many Americans is that the President sees prosperity as a sign of “unfairness” that needs to be corrected by government via higher taxes and increased regulation. Perhaps a plan that led the way forward by expanding opportunities rather than redistributing outcomes and emphasized growth and prosperity for all would be met with less political resistance.”

Thoughts?

Do you agree?

I surely do.

Dude just did all those on TV.

Loeb goes on to say that matters in Europe aren’t too different and that Third Point has scaled back on its exposures and is just waiting for the right pitch. Truth is I think most of the world right now is on the brink of peril thanks to idiotic policies and outside of a few places, it’s really become a hostile environment not only for investors but for everyone else in it.

How about you monkeys? How long do you think this will last? With kicking the can becoming SOP, are there any hopes of getting out of all the uncertainty in the Western world?

Have a good one WSO.