Are you ready for a major stock market crash and the next Great Depression? We continue to get more indications that U.S. economic conditions are going to deteriorate rapidly during the second half of this year. Yesterday, I reported on a brand new survey which found that 69 percent of U.S. CFOs believe that the next economic collapse is coming “by the end of 2022”, and today we learned that Morgan Stanley’s Business Conditions Index has crashed dramatically.
In fact, the sudden drop in the index was “the largest one-month market crash on record”… A reading of the economy from Morgan Stanley is signaling “June gloom.” Morgan Stanley’s Business Conditions Index, which captures turning points in the economy, crashed by 32 points in June, to a level of 13 from a level of 45 in May. This market crash is the largest one-month decline on record and the lowest level since December 2008 during the stock market crash and economic crisis, according to the firm. At this point, I really don’t see how anyone can possibly claim that the U.S. economy is not heading for the next economic collapse. We also just learned that U.S. unemployment claims have now risen for three weeks in a row, and the trade war is clearly beginning to take an immense toll on the economy.
This week, Walmart, Costco and hundreds of other companies jointly sent President Trump a letter that essentially begged him to end this trade war with China. There aren’t going to be any winners in this trade war, and anyone that suggests that there will be is just being delusional. If there had been a quick resolution to the trade war, large corporations could have perhaps swallowed the increased costs that they are facing. But since it appears that this trade war will be with us for the foreseeable future, big companies are going to be forced to pass those costs on to consumers, and some top executives are openly admitting this… If prices go up but our paychecks stay the same, that means that our standard of living is going to go down. And as I noted yesterday, it is being projected that U.S. corporate earnings will be way down in the second quarter, so the big corporations are definitely suffering as well. Meanwhile, China is warning of substantial damage to their economy too, and the Chinese Ministry of Commerce just told the press that this trade war could lead to a global recession… Of course we were almost certainly heading toward a global economic collapse anyway, but the trade war is definitely accelerating our problems.
At this point, global trade has already collapsed to levels not seen since the depths of the last economic crisis. Manufacturing numbers are plunging all over the world, and we just got some brand new numbers from the U.K. that are extremely alarming… Most Americans are completely and utterly unprepared for any sort of an economic collapse. Today, 59 percent of us are living paycheck to paycheck, and a survey that was just released discovered that the financial situation of most Americans has not improved since the last stock market crash and crisis. For most of us, the pain of the last recession is a fading distant memory, and things have been relatively stable for an extended period of time. So for the moment, most of the population is not too alarmed about what is coming. Unfortunately, that will soon change in a major way.
Dark clouds have been looming as Deutsche Bank staff are bracing themselves for one of the most severe job culls in banking since Lehman Brothers collapsed a decade ago with the German lender’s board set to approve plans to shed tens of thousands of people and more than €50bn of assets.
This could lead to the biggest stock market crash in History as the global financial system is very vulnerable, global stock markets are on all time high and we are in the biggest bubble in the history of mankind. The things are happening in with Deutsche Bank is a serious economic collapse warning sign. Deutsche’s investment banking chief Garth Ritchie has gone from Deutsche Bank, and Christian Sewing’s plan to make 15,000 to 20,000 job cuts across the bank looks increasingly like a done deal. On Sunday, the board seems likely to rubber-stamp the proposed reorganisation, which would see up to 50% of jobs in the corporate and investment bank disappear. On Monday, it will all begin.
Many experts sounding the alarm about the economic collapse that Deutsche Bank could cause in the near future. “You could see Lehman-style scenes outside Deutsche Bank on Monday,” says one recently ex-managing director from the German bank, referring to the staff who streamed out of Lehman with their posessions in boxes in 2008. “It’s very sad what’s happening.” Renaissance Technologies, the hedge fund giant that Deutsche Bank AG has counted as one of its largest clients, has been taking money out of its prime brokerage accounts with the German lender over the past few months, according to people familiar with the move.
