TWO ALARM BELLS FOR RECESSION OR WORSE – RINGING NOW
Alarm Bell # 1 – The world participation index of global participation in the markets overall – is at a historic 100 year low level. This means that the market is conducted by record few participations with fantastic leverage. No global market has advanced and been stable on record low participation creating that market. So the market is intrinsically unstable today.
Alarm Bell # 2 – The circulation of credit and capital is becoming illiquid or FREEZING UP. Trillions in developing company credit has stopped completely. Oil funding has stopped by trillion. Credit to small business is non existent. Plant and Equipment purchasing has virtually stopped. CREDIT & CIRCULATION are simply FREEZING UP. The entire world system is unstable and clogging itself with “fear block’s and “risk off”. The leverage is unwinding in ferocious delivering. Central banks and nations are in panic mode moving to relax the machinery but it is over – that model has failed and will not re-stimulate. The bond market is reaching 5 trillion in negative returns – your carney in the mine – for recession globally or worse.
We continue to remain concerned on such climates a single contagion event can advance a SUEPR CRASH and even a following world depression which is in fact historic to such periods.
We will see if the system machinery can moderate the risks taking place.
CEO SPACE becomes a SAFE HARBOR for Presidents of Business to collectively create improved cooperative trading communities to weather the shocks of each developing financial storm on the Super Change Horizon sky lines.
PS: Always keeping a light on for you.— February 7, 2016