European Central Bank (ECB) will front run with inflation, postpone the suffering for a bit, but then a full on depression will come eventually. Of course this is not just happening in Europe but also the United States.
If you do not speak out, the governments in the United States will drive the nation into absolute collapse. Be prepared for more wars within the next decade.
Ben Bernake is the crack dealer and the economy and stock market is the crack addict. Fix a drug problem with more drugs that is the way the U.S Government thinks they can keep the dog and pony show going, but as we all know one day the crack addict is going to have some major health issues or die.
The timing is only different, he says, because “banks these days are much bigger than they were in 1929.” In the 20’s institutions were reliant on client money to lead their bailout attempts. Today Central Banks have the ability to call on future, often overstated, tax revenues and are unencumbered by anything such as a gold standard when attempting to ward off the human desire to hide under the covers, financially speaking.
Henry S. Dent has a pretty good track record of foretelling what will happen. Nobody can predict when it will happen just what is going to happen and so far, the next crash is taking longer because of Fed stimulus.
He recommends get out of stocks, commodities and get into cash and U.S Treasuries. He is not a gold bug though. He thinks it is a commodity and will get pull down with all other commodities.
Great video of economist John Mauldin talk about where America is going with all this debt being created in the name of economic recovery. John Mauldin has been a guest on Yahoo Finance, Reuters and other financial news network before discussing his views on the U.S and other economies.
After watching this video or his presentation you will see just how grave the economic situation is in the United States.
Many economic analyst out there are warning that the Canadian housing market is overvalued and flooded with supply. While the U.S housing market crashed in 2007 and still have not recovered, Canada during that time has boomed.
However, Canada is not completely immune to global slowdowns. If anything we are in a delayed cycle, Canadians now have record high debt levels and are buying houses driving prices higher on cheap mortgages. This behavior in somewhat like what happen to American’s except we are a few years behind.
