by Bill Holter, Miles Franklin:
As I mentioned in my earlier piece, there are now many “signs” that we are going terminal both globally and systemically. Economies are slowing and or contracting and yes this includes China. You can clearly see that the numbers here in the U.S. are thoroughly cooked. If you look at “private” numbers such as “miles driven” or even something as simple as carloads of garbage hauled by the freight system it is clear that we are not growing. If you look at the pricing for sea shipments and volumes you will see that international trade is contracting. You can also look at unemployment numbers, housing and food assistance numbers here in the U.S and abroad. You will get confirmation of the above, treading water at best and likely systemic contraction.
Looking at the Central Banks of the West, they are all monetizing…because they have to. They have to because there are few buyers for sovereign debt that must be sold to rollover past debt, fund current “programs” and pay interest. One might say, “But the stock market is up so everything must be OK.” Well, margin debt has never been higher than it is now, insiders are selling at a furious pace and short interest is down substantially. We will see how this works out but I highly doubt that “optimally” will be the description.
Please follow SGT Report on Twitter & help share the message.