Welp, I'm calling it. I believe the next leg of this market sell off is coming. I'm sure all of you saw the Asset Bubble Chart.. I just can't believe we will be a part of something like this. I believe the short term bear market rally has about come to its end and we are heading towards another sell off.
There is absolutely no news that can prop up markets at this point. The numbers are starting to come in globally, and PMI, GDP world wide is utterly collapsed. Oil while it had a short move upward is still at prices that producers can not maintain. You will see an influx of bankruptcies of oil producers and shale companies. In fact, it already started. World wide, it's no better. Keep in mind that, during America's boom since 2016, most of Europe was in recession. Now imagine how bad the EuroZone is as they entered this crisis already in recession.
So, what's my opinion? I believe the EuroZone will collapse first. There is new infighting between the EU and Germany on the ECB's Bond Buying Program. This is potentially catastrophic as the EBC has no stopped their bond buying program since 2010 and they already have their interest rates at -0.45%! Europe has nothing left in their arsenal besides massive printing and stimulus, which will be short lived.
After Europe collapses, Japan will be the next country to be hit. Japan has been had some of the worst economics and demographics of any country. They have been printing like never before and their entire country is heading into a depression. Couple this with weaker sales of electronics and vehicles, Japan is going to hit a wall here soon. The Bank of Japan can not save what was done.
Lastly, the United States will have its day of reckoning. After decades of unbalanced budgets, printing infinitely, political uncertainty and a general instablity, the US will have a recession that never was before. The Great Recession of 2008 shattered the floor.. and since them they put glue in all the cracks, it held but they added more weight than ever. Every kind of debt is at record levels. The US Federal Tax Revenue is dropping $100,000 even 9 seconds and the US Debt is growing $100,000 every 4 seconds. The last time this Tax Revenue fell was 2008, during the recession.
It's over folks. I don't mean to sound like an alarmist but you call a spade a spade when you see it. I believe this is the catalyst to the end of fiat world wide. Besides, historically, about even 30-50 years the world has been on a new global monetary standard since 1900s. The last monetary standard was in 1970s when Nixon killed the Bretton Woods system.
So, what'll happen from here? The central banks will do what they always do in a crisis and the printers will be put on max output. Currency will be created like never before. I believe in the next 1-3 years, we will see hyper inflation in the US. Keep in mind, the One-Dollar Zimbabwe was worth $1.40ish USD in 2007. In 2008, we had the infamous 100,000,000,000,000 trillion Zimbabwe notes. Yes, it took just ONE year for hyper inflation to hit.
What can I say? Hedge in silver and gold , a little in BTC because at this point who knows what will survive this crash. Dow will fall easily below 10,000.. and we will see the greatest number of unemployed people ever. This virus did a whole lot more damage underneath than we thought. There will NOT be a U-Shaped recovery. Fear has set in, people do not want to return to work and the once insane thought of basic income is now becoming reality. This isn't a chart on how to profit from this down turn, its just a cold reality check. I believe man has held it together for as long as they did but we see, people are no longer patient or caring. People are quicker to jump to conflict than peace. I believe society will also collapse and the once sane moral minded man will descend into violence, rioting, and looting. It sounds far fetched but, man will be man doesn't matter what year it is.
static.seekingalpha....365862508_origin.png
There is absolutely no news that can prop up markets at this point. The numbers are starting to come in globally, and PMI, GDP world wide is utterly collapsed. Oil while it had a short move upward is still at prices that producers can not maintain. You will see an influx of bankruptcies of oil producers and shale companies. In fact, it already started. World wide, it's no better. Keep in mind that, during America's boom since 2016, most of Europe was in recession. Now imagine how bad the EuroZone is as they entered this crisis already in recession.
So, what's my opinion? I believe the EuroZone will collapse first. There is new infighting between the EU and Germany on the ECB's Bond Buying Program. This is potentially catastrophic as the EBC has no stopped their bond buying program since 2010 and they already have their interest rates at -0.45%! Europe has nothing left in their arsenal besides massive printing and stimulus, which will be short lived.
After Europe collapses, Japan will be the next country to be hit. Japan has been had some of the worst economics and demographics of any country. They have been printing like never before and their entire country is heading into a depression. Couple this with weaker sales of electronics and vehicles, Japan is going to hit a wall here soon. The Bank of Japan can not save what was done.
Lastly, the United States will have its day of reckoning. After decades of unbalanced budgets, printing infinitely, political uncertainty and a general instablity, the US will have a recession that never was before. The Great Recession of 2008 shattered the floor.. and since them they put glue in all the cracks, it held but they added more weight than ever. Every kind of debt is at record levels. The US Federal Tax Revenue is dropping $100,000 even 9 seconds and the US Debt is growing $100,000 every 4 seconds. The last time this Tax Revenue fell was 2008, during the recession.
It's over folks. I don't mean to sound like an alarmist but you call a spade a spade when you see it. I believe this is the catalyst to the end of fiat world wide. Besides, historically, about even 30-50 years the world has been on a new global monetary standard since 1900s. The last monetary standard was in 1970s when Nixon killed the Bretton Woods system.
So, what'll happen from here? The central banks will do what they always do in a crisis and the printers will be put on max output. Currency will be created like never before. I believe in the next 1-3 years, we will see hyper inflation in the US. Keep in mind, the One-Dollar Zimbabwe was worth $1.40ish USD in 2007. In 2008, we had the infamous 100,000,000,000,000 trillion Zimbabwe notes. Yes, it took just ONE year for hyper inflation to hit.
What can I say? Hedge in silver and gold , a little in BTC because at this point who knows what will survive this crash. Dow will fall easily below 10,000.. and we will see the greatest number of unemployed people ever. This virus did a whole lot more damage underneath than we thought. There will NOT be a U-Shaped recovery. Fear has set in, people do not want to return to work and the once insane thought of basic income is now becoming reality. This isn't a chart on how to profit from this down turn, its just a cold reality check. I believe man has held it together for as long as they did but we see, people are no longer patient or caring. People are quicker to jump to conflict than peace. I believe society will also collapse and the once sane moral minded man will descend into violence, rioting, and looting. It sounds far fetched but, man will be man doesn't matter what year it is.
static.seekingalpha....365862508_origin.png
Trade closed: stop reached:
Holy Fed Tapering that was an injection of 0% cheap money. Didn't foresee them doing this
The typical naive person says, "The Fed won't let the economy go down, nor will they let the stock market go down" yet, not knowing that printing money is destroying the purchasing power of the dollar, losing international confidence in the dollar, and causing inflation. The death of the dollar is neigh!