ITS HAPPENING
In a note to clients released Wednesday, Murray Gunn, the head of technical analysis for HSBC, said he had become on “RED ALERT” for an imminent sell-off in stocks given the price action over the past few weeks.
“As long as those levels remain intact, the bulls still have a slight hope,” Gunn said.
>>>/infowars/
>>>/reddit/
The boy is crying wolf again
The "September Crash" was also financial news now wasn't it
The reaction:
Middle-brows smh
wow look he's right
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I don't know how to feel
We're still far away from getting a moving pictures alert
I could have told you this months ago. Let's take a look at the compounding problems worldwide:
1. BRICS are all in recessions, if not depressions
2. China itself built a US-style mortgage bubble to cover their ass for the past eight years, this is now ending. Six months ago their major state banks began wrapping mortgages as securities to shore up cash meanwhile their government is imposing bans on selling certain types of stock (which will turn them into toxic assets). These are both huge red flags.
3. Italy's banking system is having a toxic asset problem as well, which is why they're now drawing straws and figure out which bank is going to be the sacrificial lamb (like WaMu was in 2008).
4. As a result of the above, Deutsche Bank might have a confidence problem especially if their fine is large. And it will be large, as more US investigations into their dealings open up.
5. Overall, European banks are facing a profitability crisis as not even negative interest rates (ie deposit taxes) are convincing people to spend. This worries investors especially as the world's banker, England, successfully breaks off from it.
6. Meanwhile in the US we've had a slightly contracting market for the past five quarters. If it's negative this quarter too (ie the biggest spending season of the year) then by all objective metrics we're entering a recession too.
7. Trump could actually win, and he is threatening to kick out the chair on international trade. This will shake up a lot of businesses and require a major reorganization of the manufacturing economy which obviously spooks investors.
8. Silicon Valley's growth phase is over and is now seeing smaller and smaller returns. Many flagship companies there are laying off employees. Nobody knows the outcome but again, there's fear.
9. The Federal Reserve hasn't raised rates, which tells investors that the government thinks the economy is weak.
10. And, most importantly, rates are so low in the US and Europe that central banks effectively have no way to fight a recession.
Every single economic problem that has surfaced in the past twenty years has gone unresolved, and all of them are now hitting their crisis point.
also:
brexit
russian sanctions recession
some other shit I'm forgetting
A very good run-down comrade thank you. I couldn't have done a better run-down myself. Pic unrelated.
Good post
In one of Hilldawg's little toady's emails they call our current situation a "shadow recession" and I think that pretty accurately describes it.
sauce?
Yas.
Are you saying buy gold?
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You didn't have to write that much in response to a shitpost.
Wolf said Italy has plans to do a bail in. Meaning banks bail themselves out by seizing savings.
Been hearing rumors of that happening here for years but I thought the Federal Reserve prevents that from even being needed
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After observing the 2008 event I've come to the conclusion that, in the end the federal reserve will use its unique ability as both a fiat and a global reserve currency to one way or another simply resolve technical insolvencies domestically and internationally. The only reason the situation has limped along for so many years in this state is because the "market" has reached that same conclusion. What is happening in the financial world now is beyond reason and held together by the collective will of the elite and bureaucratic strata.
What we're dealing with at this point is more of a social problem than a a technical economic one. This pattern will likely keep repeating until there is some wholesale abandonment (confidence loss) in the system of currency itself.
Now, this hasn't happened yet because on the one hand, while the banks are being propped up with 'printed money' on a grand scale, that does not necessarily mean that it is going into conventional circulation among citizens. While inflation is high in some regards one would expect if the money was actually reaching most people that there would be noticeably more.
Secondly, internationally, no one in power regardless of how absurd they honestly view the situation would want to deal with the repercussions of a complete global currency crisis, the chaos (and upending of power) would be unimaginable. The rest of the world knows they are living in an absurd house of cards and effectively paying the the united states for the muh privilege (de Gaulle being the last to to make an effort, and succeeding by at least making the the conditions explicit). The US dollar in a certain sense is backed not by gold, but steel, lead and plutonium.
This doesn't preclude some sudden rupture/breakdown, most likely there will be more than one, but when at all possible I think the pattern established in 08 will serve as a template. Based on the demonstrable unwillingness of the global elite to make any serious attempt at reform, what may happen is there will be a loss in confidence in the system of currency and therefore government itself - as it grows in total incoherence to real economic reality.
The left is playing catch up but it's back has been broken with the trade union foundation wiped out and social movements assimilated by the state apparatus, the next decade will be one of reinvention or total loss. Short of some reinvigorated revolutionary praxis, expect more Trumps, perhaps a few actual proto-fascists and a spike in domestic terrorism.