22 Red Flags Indicating Very Serious Doom

Discussion in 'Economy' started by ScreamingEagle, Apr 25, 2012.

  1. ScreamingEagle
    Offline

    ScreamingEagle Gold Member

    Joined:
    Jul 5, 2004
    Messages:
    12,887
    Thanks Received:
    1,610
    Trophy Points:
    245
    Ratings:
    +2,159
    If you enjoy watching financial doom, then you are quite likely to really enjoy the rest of 2012. Right now, red flags are popping up all over the place. .......

    ....A whole host of problems that have been festering just below the surface are starting to manifest, and we are beginning to see the ingredients for a "perfect storm" start to come together. The greatest global debt bubble in human history is showing signs that it is getting ready to burst, and when that happens the consequences are going to be absolutely horrific. Hopefully we still have at least a little bit more time before the global financial system implodes, but at this point it doesn't look like anything is going to be able to stop the chaos that is on the horizon.

    The following are 22 red flags that indicate that very serious doom is coming for global financial markets....

    #1 According to CNN, the level of selling by insiders at corporations listed on the S&P 500 is the highest that it has been in almost a decade. Do those insiders know something that the rest of us do not?

    #2 Home prices in the United States have fallen for six months in a row and are now down 35 percent from the peak of the housing market. The last time that home prices in the U.S. were this low was back in 2002.

    #3 It is now being projected that the Greek economy will shrink by another 5 percent this year.

    #4 Despite wave after wave of austerity measures, Greece is still going to have a budget deficit equivalent to about 7 percent of GDP in 2012.

    #5 Interest rates on Italian and Spanish sovereign debt are rapidly rising. The following is from a recent RTE article....

    #6 The government of Spain recently announced that its 2011 budget deficit was much larger than originally projected and that it probably will not meet its budget targets for 2012 either.

    #7 Amazingly, bad loans now make up 8.15 percent of all loans on the books of Spanish banks. That is the highest level in 18 years. The total value of all toxic loans in Spain is equivalent to approximately 13 percent of Spanish GDP.

    #8 One key Spanish stock index has already fallen by more than 19 percent so far this year.

    #9 The Spanish government has announced a ban on all cash transactions larger than 2,500 euros. Many are interpreting this as a panic move.

    #10 It is looking increasingly likely that a major bailout for Spain will be needed. The following is from a recent Reuters article....

    #11 Analysts at Moody's Analytics are warning that Italy has now reached financially unsustainable territory....

    #12 It is being projected that the Portuguese economy will shrink by 5.7 percent during 2012.

    #13 There is even trouble in European nations that have been considered relatively stable up to this point. For example, the Dutch government collapsed on Monday after austerity talks broke down.

    #14 The head of the IMF, Christine Lagarde, says that there are "dark clouds on the horizon" for the global economy.

    #15 The top economist for the IMF, Olivier Blanchard, recently made this statement: "One has the feeling that at any moment, things could get very bad again."

    #16 A recent IMF report admitted that the current financial crisis could lead to the break up of the eurozone....

    #17 George Soros is publicly declaring that the European Union could soon experience a collapse similar to what happened to the Soviet Union.

    #18 A member of the European Parliament, Nigel Farage, stated during one recent interview that it is inevitable that some major banks in Europe will collapse....

    #19 The IMF is projecting that Japan will have a debt to GDP ratio of 256 percent by next year.

    #20 Goldman Sachs is projecting that the S&P 500 will fall by about 11 percent by the end of 2012.

    #21 Over the past six months, hundreds of prominent bankers have resigned all over the globe. Is there a reason why so many are suddenly leaving their posts?

    #22 The 9 largest U.S. banks have a total of 228.72 trillion dollars of exposure to derivatives. That is approximately 3 times the size of the entire global economy. It is a financial bubble so immense in size that it is nearly impossible to fully comprehend how large it is.

    The financial crisis of 2008 was just a warm up act for what is coming.
    ....


    22 Red Flags That Indicate That Very Serious Doom Is Coming For Global Financial Markets
     
  2. ThinkCritically
    Offline

    ThinkCritically Open to opinion

    Joined:
    Apr 4, 2012
    Messages:
    491
    Thanks Received:
    31
    Trophy Points:
    16
    Location:
    San Francisco
    Ratings:
    +31
    The entire global economy is a sham....whats new. Unless you are in a position to change this fact, I suggest you protect your assets for the coming show.....The dollar is going to crack, along with the EURO. If you were fortunate enough to ride the market up since the crash then now might be a good time to consider exiting. 1) The stock market is inflated due to record low interest rates. 2)I have to wonder if there hasn't been a little irrational exuberance as well.

    Gold is still around $1600 and holding pretty strong. This is pretty much just a reflection of the amount of money currently in the system. Usually gold prices reflect inflation, but what we are currently experiencing is a rise in gold due to a major increase in the money supply. The fact that over the past few years central banks all around the globe have been stocking up on gold supplies is also another red flag.
     

Share This Page