saw these prediction over on nat. from a website called automatic earth. food for thought and maybe debate.
So 2011 is nearly upon us! Rejoice, rejoice as we enter our Dystopian paradise. The 11 themes of 2011 are as follows:
1) Markets begin their downturn with a vengeance. As has been stated, bullishness is at extreme levels.
Check.
2) Massive declines in real estate prices globally. The Australian and Canadian bubbles are ripe for the picking.
Check. Throw in a handful European countries for good measure. Caveat: housing markets have tons of inertia. Real bottoms may take years to reach.
3) QE2 or QE3 precipitates further deflation due to collapsing margins.
Check.
4) Commodities will plummet as demand is eviscerated. Oil below $10.
This one also could take longer than VK thinks. A lot of fake capital can flow into oil yet. Nothing to do with peak oil, however, as many will claim. Just finance, dough, credit. In the end, it's all down all the way.
5) One or more countries will leave the EuroZone, precipitating a huge confidence crisis in the single currency. Euro will collapse against the dollar.
Euro will lose vs USD, no doubt there. Countries leaving may take a few years.
6) Long term US treasuries will sell off as people realize what a basket case the revenue expense differential is. 10 Year at 4.75%.
Again, the fake money present throughout may delay this one. Interest rates sure to rise, though. As is the move towards shorter-term bonds.
7) Sharp rise in the value of the dollar. The 2008 highs on the dollar index will be easily breached.
Check?!
8) Expect more banker bailouts as the system will reach the abyss once again. Expect a few major global banks to go under.
Check on part 1. Part 2 may be harder with the bankers' check on the political system.
9) Sharp rise in global unemployment post the recent lull.
Check.
10) Social unrest due to the above, and as austerity measures will have to deepen to allow for plunging revenues.
BIG ONE. Will make Greece this summer look like a tea party. Pun intended.
11) Shortages of goods & services to emerge as international trade declines and lots of companies go bankrupt due to insufficient cash flow [and available credit] to service their debts.
Check.
So 2011 is nearly upon us! Rejoice, rejoice as we enter our Dystopian paradise. The 11 themes of 2011 are as follows:
1) Markets begin their downturn with a vengeance. As has been stated, bullishness is at extreme levels.
Check.
2) Massive declines in real estate prices globally. The Australian and Canadian bubbles are ripe for the picking.
Check. Throw in a handful European countries for good measure. Caveat: housing markets have tons of inertia. Real bottoms may take years to reach.
3) QE2 or QE3 precipitates further deflation due to collapsing margins.
Check.
4) Commodities will plummet as demand is eviscerated. Oil below $10.
This one also could take longer than VK thinks. A lot of fake capital can flow into oil yet. Nothing to do with peak oil, however, as many will claim. Just finance, dough, credit. In the end, it's all down all the way.
5) One or more countries will leave the EuroZone, precipitating a huge confidence crisis in the single currency. Euro will collapse against the dollar.
Euro will lose vs USD, no doubt there. Countries leaving may take a few years.
6) Long term US treasuries will sell off as people realize what a basket case the revenue expense differential is. 10 Year at 4.75%.
Again, the fake money present throughout may delay this one. Interest rates sure to rise, though. As is the move towards shorter-term bonds.
7) Sharp rise in the value of the dollar. The 2008 highs on the dollar index will be easily breached.
Check?!
8) Expect more banker bailouts as the system will reach the abyss once again. Expect a few major global banks to go under.
Check on part 1. Part 2 may be harder with the bankers' check on the political system.
9) Sharp rise in global unemployment post the recent lull.
Check.
10) Social unrest due to the above, and as austerity measures will have to deepen to allow for plunging revenues.
BIG ONE. Will make Greece this summer look like a tea party. Pun intended.
11) Shortages of goods & services to emerge as international trade declines and lots of companies go bankrupt due to insufficient cash flow [and available credit] to service their debts.
Check.
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