Wednesday, April 6, 2016

GLOBALIZED MEGA-RISK: The Back Wall of the Hurricane

ALL IGNORED RISKS CONVERGING AT THE SAME TIME...

0% GDP growth at 0% interest rate
Global banks imploding
Oil/Energy sector imploding
Carry trade unwind accelerating
Defensive stocks rolling over
Nasdaq/breadth lagging
Institutions bailing
Momentum to the downside
Treasury yields falling
Corporate profits imploding
Mass complacency

ZERO LIQUIDITY

The U.S. is heading for 0% 1st quarter GDP "growth" by borrowing 2.5% from the grandchildren. Any honest generation would call that a recession, but this generation doesn't trust anyone who's honest...

"Anyone claiming that America’s economy is in decline is peddling fiction. (Applause.)" 




This chart sums up the imploding state of Globalization, it's U.S. deflation (Treasury/TIP ratio) with Oil:

The U.S. is importing poverty which is deflating everything, including oil:


Global Dow with China's FX reserves




Global Financials




The Nasdaq (% of stocks above 200dma) is back in 2008:


Recession stocks got hit hard today...
Brewers -3%: