Aug 11, 2015 2:00 PM
As the global economic situation continues to
deteriorate, the world central bank created debt bubble is hyper-inflating.
In
their latest desperate move China has shocked global markets with a surprise
steep currency devaluation, and the world stock markets are taking a hit.
It
is certainly no secret that the worlds second largest economy is in a lot of
trouble, in fact the Chinese government has gotten so desperate as of late that
it has taken unprecedented steps to stop the free-fall of their stock markets.
Below is a quote from an article I wrote this past June10th titled: The Stock
Market May Be About To Take A Great Fall.
"With
governments like China today, directly getting involved in market manipulation:
forcing brokerages to buy stock, halting trading on large swaths of their
markets, not allowing certain transactions to take place, and not allowing
share holders with a greater than 5% stake in a company to even sell their
stock, we have certainly hit an all time high with regard to stock market
rigging."
Right now the world is deeply embedded in a
hyper-inflated debt bubble, sparking a full-on currency war, and China's latest
move is simply the latest salvo.
The
current environment is causing massive capital misallocation across the
spectrum, thus forcing this hyper-inflationary debt bubble to gain even more
strength, and there lies the problem. World central banks, including the
Chinese central bank, are so desperate to keep these bubbles inflated that they
will do anything and why? Because
the alternative is too horrible to contemplate. As I have been
saying for years, the global debt crisis IS NOT simply a financial issue, it is
a resource crisis. In order to just sustain the current global population, more
debt in greater and greater amounts must be borrowed into existence.
It
should be evident to everyone that China, the worlds second largest economy, is
in deep trouble. Moreover, because we now live in a global economy situation,
the ramifications of a China meltdown is going to affect every single aspect of
the world economy-the US is certainly
not immune.
In
my opinion we have hit the moment of PEAK DEBT, but what are world central banks going to do about it?
Continue to inflate and why?
Because
there is simply no alternative but understand: no action by any world
government or central bank can stop what is coming, and that is a bursting of
the debt bubble. The ramifications
of the inevitable bursting of the debt bubble will be Biblical.
RELATED
VIDEO. Click here: ALERT! THE GLOBAL COLLAPSE IS
ACCELERATING, CHINA REACTS.
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