World Economic crisis 2016

CRUCIAL DANGER SITUATION

Apparently the world is entering another economic crisis

They understood the gravity of the 2008 crisis well before the Federal Reserve

http://www.ft.com/cms/s/2/c860bdde-b606-11e5-8358-9a82b43f6b2f.html#axzz3x2QbGtX1

Sell everything ahead of stock market crash, say RBS economist
Royal Bank of Scotland warns of ‘cataclysmic’ year with slumps in shares and oil and advises clients to shift to bonds

http://www.theguardian.com/business...head-of-stock-market-crash-say-rbs-economists

US stocks suffer their worst first week of the year since records began
Standard & Poor’s 500 and Dow Jones Industrial Average fell by 6% and 6.2%, respectively, in the biggest ever fall for the first five days of January

http://www.theguardian.com/business...s-suffer-worst-first-week-since-records-began

How China could trigger a global crisis

https://www.washingtonpost.com/news/wonk/wp/2016/01/11/how-china-could-trigger-a-global-crisis/

Emerging economies can no longer power global growth, warns World Bank
An unprecedented 'synchronised slowdown' in emerging markets could yet jeopardise the world's prospects over the coming years

http://www.telegraph.co.uk/finance/...ger-power-global-growth-warns-World-Bank.html

Instead of imitating governments and waiting to act like with 2008 or the current refugee crisis, I've preempted this one myself by creating a thread.

 

[chimpburgers]

I've been keeping an eye out on China for a while. They seemed to have been going through their own housing bubble but there are plenty of those out there who thought they were doing okay. I don't have a crystal ball but I'm just throwing that out there.

 

[Roosechu]

I expected China to suffer a 1929 style crisis.

 

[JU 199]

I've been keeping an eye out on China for a while. They seemed to have been going through their own housing bubble but there are plenty of those out there who thought they were doing okay. I don't have a crystal ball but I'm just throwing that out there.

China is in significant trouble. Recently we were given hard proof that they've been cooking their growth figures for years. They are now trying to keep the economy and the stockmarket inflated and both efforts will probably fail.

 

[JU 199]

I expected China to suffer a 1929 style crisis.

This will be worse because of how interconnected the global economy is. Everyone will feel this.

Plus the developing world is also experiencing a recession. Brazil is in trouble.

http://www.theguardian.com/world/2016/jan/12/brazil-carnival-economic-crisis-recession

Today, however, it seems nothing can go right. Prices of oil, iron-ore and soya have plunged, China is slowing down and Brazil’s policymakers are too absorbed in political battles and bribery investigations to focus effectively on the countermeasures.

Decision making has been paralysed for much of the past year by a cascade of calamities: the country’s biggest corruption scandal, its worst environmental disaster, and an impeachment battle against the president.

Any one of them would rock a country in a normal year. Combined, they have crippled business and consumer confidence.

 

[chimpburgers]

China is in significant trouble. Recently we were giving hard proof that they've been cooking their growth figures for years. They are now trying to keep the economy and the stockmarket inflated and both efforts will probably fail.

I believe that if China goes down, it's going to affect Australia and some of those other markets the most first. Could affect the US too but to a lesser extent.

 

[JU 199]

Could affect the US too but to a lesser extent.

What really worries me is the financial system. Many important people would like to say otherwise but it's very interconnected, fragile and drowning in debt. If a Chinese bank were to fail there could be a panic in the US and UK. That's how tenuous the whole system is.

 

[AP 297]

View attachment 67776 CRUCIAL DANGER SITUATION View attachment 67776

Apparently the world is entering another economic crisis


http://www.ft.com/cms/s/2/c860bdde-b606-11e5-8358-9a82b43f6b2f.html#axzz3x2QbGtX1


http://www.theguardian.com/business...head-of-stock-market-crash-say-rbs-economists


http://www.theguardian.com/business...s-suffer-worst-first-week-since-records-began


https://www.washingtonpost.com/news/wonk/wp/2016/01/11/how-china-could-trigger-a-global-crisis/



http://www.telegraph.co.uk/finance/...ger-power-global-growth-warns-World-Bank.html

Instead of imitating governments and waiting to act like with 2008 or the current refuge crisis, I've preempted this one myself by creating a thread.

We now run in 8 year economic cycles. We have done so since the 1980's. We had our last crash in 2008 with housing and PIIGS Debt. The time before it was DotCom Bust in 2000. The time before it was a stock crash in 1991. Et cetera et cetera.

This time it will likely be the BRICS and commodities. They rose the most and will be rebalanced the most. They benefited the most from the US Feds easy money policy that saw people put a lot of money into those areas.

I called this all like 2 years ago. Nice to see things work out.

 

[JU 199]

I called this all like 2 years ago. Nice to see things work out.

Good call. You'd be able to outperform most hedge funds last year on the Dow or the FTSE 1000 with that prediction.

More news

 

[Mark Corrigan]

We now run in 8 year economic cycles. We have done so since the 1980's. We had our last crash in 2008 with housing and PIIGS Debt. The time before it was DotCom Bust in 2000. The time before it was a stock crash in 1991. Et cetera et cetera.

There's never been a proper recovery from the 2008 financial crisis and in Greece's case the debt crisis is an ongoing saga.

 

[Skeletor]

China's economy is largely a bureaucratic scam that runs on intellectual property theft, currency manipulation, and cheap labor. It's a testament to the US economy that they've been able to keep it growing this long.

As far as I'm concerned, this is a buyer's market for stocks for long term investors. Panic selling just locks in your losses.

 

[DuskEngine]

What really worries me is the financial system. Many important people would like to say otherwise but it's very interconnected, fragile and drowning in debt. If a Chinese bank were to fail there could be a panic in the US and UK. That's how tenuous the whole system is.

China spent the whole half of last year pumping liquidity hard to prop up its markets. At the time, I thought the weakness was just because of rogue trading, but commodities seem to be behind it. Should have seen that coming, I suppose.

Oil prices were depressed for most of last year and a bunch of metals (several of which China is the majority importer) seem to be tanking hard since the end of the year. I guess the devaluation of the yuan and the Fed's interest rate hike contributed to that. There's talk of further cuts apparently, which would not be good for APAC countries in general.

I wonder how the price of oil will go this year with the little lover's spat in OPEC.

Recently we were given hard proof that they've been cooking their growth figures for years. They are now trying to keep the economy and the stockmarket inflated and both efforts will probably fail.

it's LIBOR and junk CDOs all over again. It's pigs all the fucking way up, man.

 

[Randall Fragg]

Ghost said this would happen in the video he made back in November.
Holy shit, Ghost was right!

 

[AP 297]

Good call. You'd be able to outperform most hedge funds last year on the Dow or the FTSE 1000 with that prediction.

More news

View attachment 67786

Yeah I think I am going to do great these next few years. I invested in the newest rages in clothing and fashion accessories.

Spoiler: 2017 Clothing Trends

Barrels, Shopping Carts, and Boxes are must haves for 2017!

 

[JU 199]

it's LIBOR and junk CDOs all over again. It's pigs all the fucking way up, man.

Speaking of CDOs and pigs, a good example of how our economic system works is a failing commodities giant called GLENCORE.

GLENCORE is a very large mining giant that been under significant economic pressure for some time. Several failed mining operations, the steep drop in commodity prices and a sorted financial trading arm could push the firm into default. Today insurance for CDS has surged to a 6 year high.

http://www.swissinfo.ch/eng/glencor...six-year-high-as-copper-price-slides/41887238

Now, if Glencore was to ever go under it's exotic financial instruments trading portfolio could fail and cause another banking panic. It's death is far away and not set in stone yet, it's Chinese counterpart- Nobel group, is far closer to folding.

This is how our economic system works. No company that dabbles in financial trading can ever fail ever or it could cause a massive recession.

 

[AnOminous]

This is how our economic system works. No company that dabbles in financial trading can ever fail ever or it could cause a massive recession.

More like this is how our economic system fails. We used to have something called the Glass-Steagall Act that prevented banks from dabbling in all kinds of exotic bullshit like this, but Clinton and a Republican Congress did away with it. We had the opportunity to reinstate it in 2008, but Obama passed on that, so we're guaranteed a recurrence of the disasters it used to play a small part in preventing.

If we did what should be done, companies like this would be allowed to fail and the actual humans in charge when this happened would go to prison for a very long time. After the initial pain, the future smooth operation of the economy would eventually pay for itself.

A nice slogan for that would be something like

Too Big to Fail is Too Big to Exist.

 

[Randall Fragg]

Yeah I think I am going to do great these next few years. I invested in the newest rages in clothing and fashion accessories.

Spoiler: 2017 Clothing Trends

Barrels, Shopping Carts, and Boxes are must haves for 2017!

Don't forget the bondage gear, football pads, war paint, and kludged together deathmobiles.

 

[JU 199]

Is this why Mcdonalds is giving me less workhours?

Depends where you live.

on't forget the bondage gear, football pads, war paint, and kludged together deathmobiles.

Remember to buy some gold too. I'm sure you can eat that when the supermarkets run out of food /snark

 

[Randall Fragg]

Depends where you live.



Remember to buy some gold too. I'm sure you can eat that when the supermarkets run out of food /snark

Vodka is a good investment. It lasts a long time, disinfects things, and can get you drunk as shit. I gotta look up how to make moonshine, that will be a valuable skill.

 

[JU 199]

Vodka is a good investment. It lasts a long time, disinfects things, and can get you drunk as shit. I gotta look up how to make moonshine, that will be a valuable skill.

I think human slaving will be making a comeback in the next few years