Economic Downturn Warning
- Thread starter Abdicate
- Start date
Oh, we will not fool them.
Blocked - webcast. This proxy is solid in this area.
That said, forums in general are blocked, but this ChristianForumSite must not contain something in it's meta data to trigger it on the proxy - Happy days, happy days.
Where do you live?
Here is a text only (no graphics) transcript:
Word of Caution (transcript)
Since the global equitity crisis of 2008, the world central banks have stepped in to rescue the global economy. Their plan has been to inject general equitity into the system, which would goose economic growth and together with zero interest rates, would make the burden of servicing debt levels more bearable.So where are we in this story? Indeed the central banks have flooded the markets with money, via their quantitative easing of and asset easing programs. Collectively, the Fed, the Bank of England, the European Central Bank, and Bank of Japan have increased their balance sheets by spending money that they created from thin air, mind you, from approximately 5 trillion dollars, at the end of 2008, to 9 trillion today. That's a 4 trillion or 80% increase in just 6 years. Wow. So - okay, what did all that money do for us? Asset prices like stocks,bonds and real estate went bonkers. This was a goal of the central bankers - to create a wealth effect that would make folks feel richer, so they would spend more money. All that extra consumption would increase GDP, making the economy stronger. A funny thing happened, though. All that new wealth, really, only concentrated in the hands of the already wealthy. So most folks didn't really benefit much. In fact, the average person has found themselves increasingly priced out of asset classes, like real estate, and economic growth didn't spark back nearly as quickly or as strongly as the central planners hoped. Wages have remained stagnant, in both real and nominal terms and even though the unemployment rate finally came down, most of that was due to chronically out-of-work people not being counted any more and most of the jobs being created are low paying, temporary jobs - very different from the ones that were lost. In the real cause of the 2008 crisis, that of too much debt, only got worse. Just looking at the US national debt alone, which doesn't include consumer and corporate debt, nor the much larger unfunded liabilities of entitlement programs, like social security and medicare - It's doubled from nearly 6.3 trillion dollars to nearly 13 trillion dollars since President Obama took office in Jan.2009. Wow - that all doesn't sound very good but surely we are out of the woods now, right? After more than nearly 6 years of pumping historic amounts of stimulus into the global economy, we've got the mojo we need to kick economic growth into high gear, right? Whelp - let's listen to some recent headlines from some of the top economic experts: The IMF issued a warning on that the global economy is facing very strong headwinds. So bad that managing director Christine LaGuard is warning that could bring the weak economy to it's knees, if sluggish growth continues as is forecasted. The Bank of International Settlement, similarly warn that global growth must slow further, largely due to the fact that the economy's addiction to central bank money printing is unsustainable and causing dangerous imbalances. Stating that "highly accomodative monetary policies have become a threat." Hmmm - definitely not good. But the US is doing better than the rest of the world, maybe if it strengthens from here, it's prosperity will bring up all the other countries with it. Sadly, the chances for this are not looking good. The macro-economics environment in the US is fast deteriorating. In fact, Bloomburg's US Macro Surprise Index since Thanksgiving, off to the worst start in 11 years and with the jobs engine of America, shale oil getting obliterated by the over 50% drop in oil, in the past 3 months, things are likely to worsen from here. So, now that we know what the data says, which is:
#1 - the central banks have injected tremendous liquidity into world markets
#2 - the hope for the return to healthy economic growth has not materialized
#3 - In fact, the global economy is slowing down again
It's hard not to conclude that the policies of the world's central banks have largely been a failure. For certain, it's hard to call them a success. So given this, does this make you feel comfortable that stock prices are at their all-time highs? As in all of history? After all, stocks, in theory at least, are priced off of earnings growth expectations. Shouldn't the concerns about future economic growth, that we've just mentioned here, merit some degree of caution that future earnings may turn out to be something less than awesome? They sure do for me. If you're one of the millions of folks with most of your wealth in the stock market or real estate market - we can make the same case there - it's time to start thinking defensively.
If you can aford to, buy gold or silver jewlry instead of coins; the government won't (or at least hasn't ever) confiscate them...
South Africa, but remember I'm going through a corporate proxy to the internet.
I use StrongVPN so I look like I'm in the states
And it begins...
China closed trading after chucking 10% (erasing 19 years of "growth" in a single day)
Japan down 596
Germany down 409
France down 189
USA down 348
Greek stocks down 17%! (They'll default Tuesday - tomorrow)
Bitcoins up 7%
Why? They'll say it's because of Greece, but the cold-war MAD (Mutually Assured Destruction) was so successful, they applied it to economics and tied everyone's economy to another and so this is just a ripple in the pond. But today is just a hiccup in the system of serious economic digestion. These numbers are really nothing... they're the front page stuff. To quote one economist:
The bond markets have crashed, but you'll only see the stock market's mini correction in the news. Puerto Rico is on the verge of defaulting! Who knew that was coming!? Spain, Italy and Portugal bonds dumped... As one economist put it:
China closed trading after chucking 10% (erasing 19 years of "growth" in a single day)
Japan down 596
Germany down 409
France down 189
USA down 348
Greek stocks down 17%! (They'll default Tuesday - tomorrow)
Bitcoins up 7%
Why? They'll say it's because of Greece, but the cold-war MAD (Mutually Assured Destruction) was so successful, they applied it to economics and tied everyone's economy to another and so this is just a ripple in the pond. But today is just a hiccup in the system of serious economic digestion. These numbers are really nothing... they're the front page stuff. To quote one economist:
Today may not be the true event horizon for our diseased status quo, but it is probably, at least, the coming attraction trailer. Try not get puked on.
The bond markets have crashed, but you'll only see the stock market's mini correction in the news. Puerto Rico is on the verge of defaulting! Who knew that was coming!? Spain, Italy and Portugal bonds dumped... As one economist put it:
The sleepwalking markets just heard the alarm clock go off... the main event has yet to arrive...
The piper in Greece is finally demanding his payment
The piper in the U.S. is playing a much longer and larger tune, yet the song will cost a lot more from a lot more people
China is following the same path as we did in 1929...
Here's the comparison:
I've not had time to get through 8 pages of economic news, but several headlines showed worldwide hacking... I don't know anything other than the headlines were intermixed with all the crashing.
http://www.zerohedge.com/news/2015-...r-war-looks-global-real-time-cyber-attack-map
261 points down on the DOW.
Here's the comparison:
I've not had time to get through 8 pages of economic news, but several headlines showed worldwide hacking... I don't know anything other than the headlines were intermixed with all the crashing.
http://www.zerohedge.com/news/2015-...r-war-looks-global-real-time-cyber-attack-map
261 points down on the DOW.
Glomung
Account Closed
What on Earth did they expect? How can anyone with half a brain expect long term stability when the system is based on commodities that HAVE NO INTRINSIC VALUE?
The real fun is that the wealthy that are "in the know" will move their assets elsewhere (or already have) wait for the collapse, and then buy up the resulting under-valued assets at fire sale prices.
That's how the ultra wealthy stay that way. Game the system and make a killing off of other peoples losses.
a joke:
A very rich man was near death and asked that all his wealth should be put in the attic so he could take it with him on the way to Heaven.
The morning after his death, his wife went to the attic and found the money still there.
She told the butler "I told him to put the money in the basement."
The real fun is that the wealthy that are "in the know" will move their assets elsewhere (or already have) wait for the collapse, and then buy up the resulting under-valued assets at fire sale prices.
That's how the ultra wealthy stay that way. Game the system and make a killing off of other peoples losses.
a joke:
A very rich man was near death and asked that all his wealth should be put in the attic so he could take it with him on the way to Heaven.
The morning after his death, his wife went to the attic and found the money still there.
She told the butler "I told him to put the money in the basement."
I reread my post....I was unclear. The NYSE was halted at 11:32 am EST at around down 230 points. Just before that happened, they were talking about the chinese market was doing a nose dive after 3 weeks of turmoil. The first 1/2 hr of NYSE dropped 170 points and was 230 points down when it was halted. I think they halted it to stop the dive here. Giving the chinese government time to restore some order? I dunno. I think they were trying to halt a spooked market.
I sold my stocks last year but I can't touch my "retirement" so it's liable to be gone soon... I never planned on retiring anyhow. It wouldn't matter if I put it in the market or bonds, they're both crashing and gonna go much lower. There's nothing to hold it up. It's been a house of cards for decades. Microsoft is laying off 7600 people... and this unemployment chart sums it up nicely:
I fought against NAFTA (unsuccessfully) as a union leader and I said then that with the trade agreement we would become a McDonald's franchise for government workers. This new chinese deal kills any scraps that were left. Tourism is the only real business left. You might not get to retire........
Then you're not going to like this:
BRICS Bank Officially Launches As Sun Sets On US Hegemony
After all that went on yesterday, the BRICS are now official! This effectively means they don't need the USA to bank in dollars anymore, they can use their own currency. Shmita #3...
BRICS Bank Officially Launches As Sun Sets On US Hegemony
As Bloomberg points out, the countries’ combined economic output is now roughly equal to that of the US. “Back in 2007, the U.S. economy was double the BRICS,” Bloomberg notes.
http://www.zerohedge.com/news/2015-07-08/brics-bank-officially-launches-sun-sets-us-hegemonyAfter all that went on yesterday, the BRICS are now official! This effectively means they don't need the USA to bank in dollars anymore, they can use their own currency. Shmita #3...