The economic dominoes are starting to fall. Junk bonds have recently crashed, just like they did in 2008. The price of oil has crashed, just like it did in 2008. Commodity prices have crashed, just like they did in 2008. And more than half of all major global stock market indexes are already down at least 10%, just like 2008.
For those here who do not know what all of this gibberish means, it means simply this:
The economy is about to crash like it did in 2009, except things are much worse now than they were then. Our nation is 18.5 Trillion dollars in debt. We have essentially printed money to cause a fake recovery. The banks now have accumulated 100 Trillion in derivative trading risk, which will utterly bankrupt all of them all at once, (destroy their client's savings), should the economy see a major downturn.
The economy is about to collapse.
I have noticed the price of oil is way down. I have noticed that the Canadian currency is very depressed compared to the US dollar. I am not sure what that means - but, if it compares/models closely to 2008, then it most likely is not a good thing.
Oil is down... I remember something about a prophesy where the economic collapse started with oil & gas in Texas. If I remember right the oil market will be heading "SOUTH" in the South first, starts in Houston, and as time goes by the collapse will go North.
ReplyDeleteI live in Texas and I home teach a couple who work for oil and gas exploration. He does not know if he is going to have a job starting in January. Many of the oil wells and exploration companies in Texas are stopping production or going out of business because they cannot make a profit with these low crude prices. He thinks he might have better prospects in Oklahoma. Glutting the market is forcing small companies out of business... and if I remember my economics right that is called "Preditory Pricing", and this is intended to drive competitors out of business... as it is now doing.
Typically the market is very erratic before a market change. The market is EXTREEMLY ERRATIC right now with a Bull market... usually means we will be getting a Bear market... or correction.
Another indicator of how bad the market is in Futures, known as commodies. Futures are down... WAY Down. Bad indicator... debt. We are in over our heads and they DO NOT INTEND TO PAY the debt. This will lead to the US Treasuries being JUNK bonds. The "housing bubble" corrected itself back then, but the banks and lenders went right back to their bad practices and right now it is BIGGER than it was in 2008.
Every indicator mentioned above I also see. Bad news ahead for the market!