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Apr 2 17 8:02 PM
theeconomiccollapseblog.com / By Michael Snyder on April 2nd, 2017
you ever thought about what comes after the bubble? In 2008 we got a
short preview of what life will be like, but most Americans seem to have
come to the conclusion that the last financial crisis was just a minor
bump in the road toward endless economic prosperity. But of course the
truth is that the ridiculously high debt-fueled standard of living that
we are enjoying now is not sustainable, and after this bubble bursts it
will be an extremely painful adjustment for our society.
Since the last financial crisis, the U.S. national debt has nearly
doubled, corporate debt has doubled, stock valuations have reached exceedingly ridiculous extremes, the student loan debt bubble has surpassed a trillion dollars, we are facing the largest unfunded pension crisis in U.S. history,
and in many parts of the country (particularly the west coast) we are
facing a housing bubble that is even worse than the one that burst in
2007 and 2008.
And even with all of these bubbles, U.S. GDP growth has been
absolutely anemic. Even if you believe the grossly manipulated numbers
that the federal government puts out, the U.S. economy grew at a “miserably low” rate of just 1.6 percent in 2016…
Apr 10 17 5:30 AM
Apr 10 17 5:59 AM
Jim RogersBlog, Published on Apr 9, 2017
Federal Reserve policy has literally set the country up for economic
collapse, and though the central bank has been very creative in making
the impossible work, and putting off financial meltdown, nothing can
hold back the flood forever. Experts say global economic collapse is
imminent and stock market crash will happen within the next 18-20
Unfortunately, it looks like Donald Trump will be blamed for the next
financial crisis that he didn’t cause. Just like everyone blamed Obama
for the global financial meltdown in 2009, this time, Trump will
unfairly get the blame for the imminent economic collapse.
Apr 14 17 8:24 PM
gainspainscapital.com / Graham Summers / April 13, 2017
The Trump economic utopia is officially dead for now.
If you’ll recall, following Trump’s election, the market was lead higher by banks.
The markets believed that the economy would come roaring back, lending would pick up, and bank profits would soar.
Apr 24 17 3:32 PM
thecommonsenseshow.com / By Dave Hodges / April 24th, 2017
America has been dumped in a pit of posionous snakes. The main
question remains, which one of these snakes will deliver the fatal
strike? And for most of our young adults, they are living in a failed
economy with almost no way out. After reading this article, I will bet
that many of your will change your mind about sending your children to
college. Surprised? You won’t be after you read the following analysis.
Amerika is a thrid world country for 50% of it citizens and that number
is approaching 80%.
For 20% of Americans, they can send their children to college, have
plenty to eat, go on vacations and live a comfortable life. However, for
the rest of the 80%, to various degrees, are struggling, really
struggling. And it is only to get worse.
Apr 27 17 2:59 PM
theeconomiccollapseblog.com / By Michael Snyder / April 26th, 2017
Have you ever wondered how tech companies that have been losing
hundreds of millions of dollars year after year can somehow be worth
billions of dollars according to the stock market? Because I run a
website called “The Economic Collapse“,
there are naysayers out there that take glee in mocking me by pointing
out how well the stock market has been doing. This week, the Dow is
flirting with 21,000 and the Nasdaq crossed the 6,000 threshold for the
first time ever. But a lot of the “soaring stocks” that have been
fueling this rally have been losing giant mountains of money every
single year, and just like the first tech bubble this madness will
eventually come to an end in a spectacular fiery crash in which
investors will lose trillions of dollars.
Anyone that cannot see that we are in the midst of an absolutely
insane stock market bubble simply does not understand economics. Every
valuation indicator that you can possibly point to says that we are in a
bubble of epic proportions, and history teaches us that all bubbles
inevitably come to an end at some point.
Earlier today, I came across an article by Graham Summers
in which he persuasively argued that the price to sales ratio indicates
that stock prices are far more inflated than they were just prior to
the great stock market crash of 2008…
Apr 29 17 6:41 AM
investmentwatchblog.com / BY IWB · APRIL 28, 2017
Almost every one of us knows that we are on the brink of an imminent
economic and market crash considering the surrounding circumstances.
Here is a list of eight major systemic risks that vindicate this fear.
1.China’s Hidden Debt
Rising defaults in China are unearthing hidden debt at companies
across the country. This debt minefield could be big. The amount of loan
guarantees at privately held firms in China is equivalent to 11 percent of their equity,
and at LGFVs is 18 percent, according to Citic Securities Co. The load
is even heavier at weaker borrowers. About 44 percent of issuers rated
lower than AA- have a ratio of more than 30 percent, according to
Everbright Securities Co. The phenomenon is less common in the U.S.
because banks don’t require such guarantees to offer loans, according
May 23 17 11:16 PM
theeconomiccollapseblog.com / By Michael Snyder on May 22nd, 2017
Even though I write about our ongoing long-term economic collapse every day, I didn’t realize that things were this
bad. In this article, I am going to show you that the average rate of
growth for the U.S. economy over the past 10 years is exactly equal to
the average rate that the U.S. economy grew during the 1930s. Perhaps
this fact shouldn’t be that surprising, because we already knew that
Barack Obama was the only president in the entire history of the United States
not to have a single year when the economy grew by at least 3 percent.
But there is this perception that the Great Depression of the 1930s was
a far worse time for the U.S. economy than what we have been
experiencing over the past decade, and that is not necessarily the case.
Earlier today I came across an article about President Trump’s new budget from Fox News, and in this article the author makes a startling claim…
May 29 17 6:27 PM
Altair chairman and chief investment officer Philip Parker.
zerohedge.com / by Tyler Durden / May 29, 2017 2:39 PM
While hardly a novel claim – in the past many have warned that Australia’s housing and stock market are massive asset bubbles (which local banks were have been forced to deny as their fates are closely intertwined with asset prices even as the RBA is increasingly worried)
– so far few if any have gone the distance of putting their money where
their mouth was. That changed, when Australian asset manager Altair
Asset Management made the extraordinary decision to liquidate its
Australian shares funds and return “hundreds of millions” of dollars to
its clients according to the Sydney Morning Herald, citing an impending property market “calamity” and the “overvalued and dangerous time in this cycle”.
“Giving up management and performance fees and handing back
cash from investments managed by us is a seminal decision, however
preserving client’s assets is what all fund managers should put before
their own interests,” Philip Parker, who serves as Altair’s chairman and chief investment officer, said in a statement on Monday quoted by the SMH.
The 30-year investing veteran said that on May 15 he had advised
Altair clients that he planned to “sell all the underlying shares in the
Altair unit trusts and to then hand back the cash to those same managed
fund investors.” Parker also said he had “disbanded the team for time
being”, including his investment committee comprising of several
prominent bears such as former Morgan Stanley chief economist and noted
bear Gerard Minack and former UBS economist Stephen Roberts.
May 29 17 7:14 PM
investmentresearchdynamics.com / Dave Kranzler / May 29, 2017
Given group-think and the determination of policy makers to
do ‘whatever it takes’ to prevent the next market ‘crash,’ we think that
the low-volatility levitation magic act of stocks and bonds will exist
until the disenchanting moment when it does not. And then all hell will
break loose, a lamentable scenario that will nevertheless present
opportunities that are likely to be both extraordinary and ephemeral. – Highly regarded hedge fund manager, Paul Singer, in his latest investor newsletter
Singer has apparently has unloaded $5 billion worth of stock, which is 15% of his funds management.
Anyone happen to notice that several market commentators have argued
that Bitcoin is a bubble but the same stock “experts” look the other
way as the U.S. stock market becomes more overvalued by the day vs. the
deteriorating underlying fundamentals? Bitcoin going “parabolic”
triggers alarm bells but it’s okay if the stock price of AMZN is
hurtling toward parity with the price of one ounce of gold. Tesla burns a
billion per year in cash. It sold 76,000 cars last year vs. 10 million
worldwide for General Motors. Yet Tesla’s market cap is $51.7 billion
vs. $48.8 billion for GM.
Jun 2 17 11:59 PM
theeconomiccollapseblog.com / By Michael Snyder on June 1st, 2017
Since the election there has been this perception among the American
public that the economy is improving, but that has not been the case at
all. U.S. GDP growth for the first quarter was just revised up to 1.2
percent, but that is even lower than the average growth of just 1.33 percent
that we saw over the previous ten years. But when you look even deeper
into the numbers a much more alarming picture emerges. Commercial and
industrial loan growth is declining, auto loan defaults are rising,
bankruptcies are absolutely surging and we are on pace to break the
all-time record for most store closings in a single year in the United
States by more than 20 percent.
All of these are points that I have covered before, but today I have 12
new facts to share with you. The following are 12 signs that the
economic slowdown that the experts have been warning about is now here…
Jun 7 17 12:12 AM
theeconomiccollapseblog.com / By Michael Snyder / June 5th, 2017
I keep hearing from people that think that the stock market is going
to crash by the end of the year. Hopefully that will not happen, but
the ridiculous stock prices that we are seeing right now certainly cannot last forever.
On Sunday, I was chatting with a friend that had just been to a
financial conference. He was quite surprised that one of the things
being taught to the attendees of this conference was how to position
themselves to make an enormous amount of money when the stock market
crashes dramatically in the near future. Markets tend to go down a lot
faster than they go up, and so when the inevitable market crash does
take place those that have made large bets against the market will make
huge fortunes. It happened in 2008, and it will happen again. But it
was unsettling to my friend Robert that there were so many people that
were gleefully looking forward to this.
Of course some of the biggest names in the investing world are also
anticipating a major downturn very soon. I have previously written
about how Warren Buffett’s Berkshire Hathaway Inc. is sitting on a pile
of 86 billion dollars in cash
right now. Nobody ever knows exactly what Buffett is thinking, but it
isn’t too hard to figure out that he plans to use those billions to buy
up stocks for a song after a big market crash happens.
I have also previously written about many other big names throughout
the financial world that are warning that a new financial crisis is imminent.
The last time I saw so many prominent investors sounding the alarm was
just before the market crash of 2008, but most people didn’t listen that
time around either.
Jun 7 17 2:15 AM
WASHINGTON — A former U.S. senator is warning that America is headed
toward a financial “crash” unless D.C. politicians begin making hard
choices about its debt.
Former U.S. Sen. Tom Coburn (R.-Okla.), who served two terms in the
Senate and three in the House, made the comments Monday on radio on the
“Laura Ingraham Show.”
“There’s no urgency” to fix America’s debt problems, Coburn said,
“because very few people have a correct understanding of what’s
happening to us”
Jun 7 17 2:24 AM
Image source: Pixabay.com
NEW YORK — Despite all the optimism generated by the election and
recent stock market rally, there remain many signs the U.S. economy is
in big trouble.
In fact, there are several good reasons to believe that a downturn or
even a major economic crisis is right around the corner. Here are
nine reasons why the United States might be on the verge of a major
Jun 7 17 8:14 PM
caseyresearch.com / By Justin Spittler, editor, Casey Daily Dispatch / June 07, 2017
A huge crash is coming.
That’s what Mark Yusko is telling investors.
This is a bold call, for sure. But Yusko, who manages more than $2
billion at Morgan Creek Capital, is used to making (and nailing) calls
In early 2015, he said that the price of oil would hit $30. At the
time, oil was trading at around $50 a barrel…or half of what it traded
for just eight months prior.
After a selloff like that, most people thought oil had bottomed. But Yusko knew better.
A year later, oil hit $27…its lowest price since 2004.
I’m reminding you of this because Yusko just predicted another crash.
Only this time, he wasn’t talking about oil. He was talking about U.S. stocks.
Two weeks ago, Yusko warned at the annual Strategic Investment Conference (SIC) in Orlando:
I’m telling you right now, the U.S. is going to have a crash and it will be massive.
• Yusko’s warning might sound familiar to regular readers…
After all, I just told you on Monday that Paul Singer thinks “all hell will break loose.”
And Singer, like Yusko, is worth listening to. He manages nearly $38
billion at Elliott Management. He was also one of the first hedge fund
managers to see the 2008 financial crisis coming.
Jun 7 17 8:37 PM
zerohedge.com / by Tyler Durden / Jun 7, 2017 4:52 PM
Shortly after the most famous PIMCO alum, Bill Gross, unleashed today’s dose of doom and gloom when he warned that
market risk is the “highest since before the 2008 financial crisis” and
warned that “instead of buying low and selling high, you’re buying high
and crossing your fingers,” his replacement and current PIMCO CIO, Dan
Ivascyn shared a similar dour outlook on the economy at the Bloomberg Invest summit, where he predicted that U.S. growth will “likely be in the mid-2% range and, given the current global fiscal and geopolitical risks, the 10-year Treasury could fall as low as 1.5%.”
The reason: policy failure by the Trump administration and the
Republican-controlled Congress, which Ivascyn said are unlikely to
produce sweeping tax or regulatory reform and that infrastructure
spending will also be muted.
“You’ll probably get some tax reform and it will more likely resemble
a tax cut as opposed to broad-based reform,” Ivascyn said on Wednesday.
Tax changes will likely be “well pared down by what’s been proposed”
because Congress will be focused on revenue, he said adding that with
infrastructure, “we’re even more pessimistic. There may be something
done symbolically, but it’s going to be a lot smaller than the $1
trillion that’s been mentioned.”
Jun 9 17 9:16 PM
American Economist, Published on Jun 9, 2017
There are some dire predictions that say in the next year, or 18
months, we have something arriving worse than 2008 and 2009, the
downturn is much worse. The biggest stock market crash and economic
Jun 12 17 2:35 AM
theeconomiccollapseblog.com / By Michael Snyder / June 11th, 2017
If Jim Rogers is right, the worst stock market crash that any of us
has ever seen is right around the corner. For the past 15 years, Rogers
has been a frequent guest analyst on CNBC, Fox News and elsewhere, and
he is immensely respected for the depth of knowledge and experience that
he brings to the table. So the fact that he is warning that we are
about to see the worst stock market crash in any of our lifetimes is
making a lot of waves in the financial community. And of course Rogers
is far from alone. Previously, I have written about several other prominent experts
that are warning that a new financial crisis is imminent, and I have
also discussed how a number of big investors are quietly positioning
themselves to make an enormous amount of money
when the markets crash. Could it be possible that all of these
incredibly sharp minds could be wrong? Yes, but I wouldn’t bet on it.
I was actually quite stunned when I first learned what Jim Rogers had
told Henry Blodget of Business Insider during a recent interview.
Rogers has built up a tremendous amount of credibility, but now he is
putting that credibility on the line by warning that a great stock
market crash will happen by the end of next year. Here is the key portion of the interview …
Blodget: Well, yeah, TV ratings do seem to go up
during crashes, but then they completely disappear when everyone is
obliterated, so no one is hoping for that. So when is this going to happen?
Jun 13 17 2:55 PM
kingworldnews.com / June 13, 2017
Even as the Dow is hitting new all-time highs today, look at who just issued a crash warning.
A portion of today’s note from legend Art Cashin: A Strong,
But Not Immediate, Caution – In his weekly “On My Radar” note, the
insightful Steve Blumenthal has been publishing his notes from John
Mauldin’s recent Strategic Investment Conference. Last week it was the
notes on Lacy Hunt’s presentation.
This week it is the presentation of Mark Yusko of Morgan
Creek Management. Mark’s presentation was nearly an hour long.
Unfortunately, much of the presentation referred to charts which we are
unable to produce in this format. Nonetheless, Mark’s caveat near the
end was so strong; I thought I need to pass it along. Here’s what Steve
wrote of Mark’s caveat.
Jun 13 17 2:59 PM
schiffgold.com / BY SCHIFFGOLD / JUNE 13, 2017
In a recent interview with Business Insider CEO Henry Blodget on “The Bottom Line,”
investor and market analysts Jim Rogers said we should expect a market
crash in the next few years that will rival anything we’ve seen in our
Some stocks in America are turning into a bubble. The
bubble’s gonna come. Then it’s going to collapse, and you should be
Rogers points out that debt was a big part of the crash in 2008. Today, the debt situation is even worse than it was then.
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