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The Fed has burst the Everything Bubble.
No one has noticed it. Indeed, everyone in the US seems to be blissfully
unaware. But the reality is that the massive bubble created between 2008 and
2018 is in the process of bursting.
And the Fed was the needle.
If you think I’m being dramatic, consider what has happened around the
world in the last nine months.
While US stocks have continued to move higher courtesy of capital flowing
into the US as a result of the Fed’s policies (more on this shortly), the
rest of the world is entering a meltdown.
China’sstock market is down 10% year to
date. But if you go from the 2018 recent highs, Chinese stocks
are down OVER 24%...meaning they are in a
full-fledged bear market.
China is not unique.
Germany is down 17% peak to trough…just a few bad
days away from a bear market too.
Even Japan, which is being propped up by its
Central Bank on a near daily basis,is down 12%.
So why is the US not in trouble yet?
Because the Fed policies of raising rates is making the US EXTREMELY
attractive to capital. Today, the yield on short-term US debt
is over 2%.
This is happening at a time when MOST of the world is still
posting NEGATIVE yields.
Put simply, the Fed is making US debt EXTREMELY attractiveto
capital… at a time when other nations are PUNISHING their debt
holders.As a result of this, capital is moving into the US propping
up our markets, while the rest of the world collapses.
The black line is the US stock market. The blue line represents global
stocks excluding the US.
Again, the Everything Bubble is bursting. And smart investors who put
capital to work here stand to make LITERAL fortunes.
On that note, we are putting together an Executive Summary outlining all
of these issues as well as what's coming down the pike when the Everything
Bubble bursts.
It will be available exclusively to our clients. If you’d like to have a
copy delivered to your inbox when it’s completed, you can join the wait-list
here.
Do NOT delay... there are fewer than 29 slots remaining.
https://phoenixcapitalmarketing.com/TEB.html
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