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Friday, February 14, 2014

20 Signs That The Global Economic Crisis Is Starting To Catch Fire

20 Signs That The Global Economic Crisis Is Starting To Catch Fire | Zero Hedge

20 Signs That The Global Economic Crisis Is Starting To Catch Fire

Tyler Durden's picture

Submitted by Michael Snyder of The Economic Collapse blog,
If you have been waiting for the "global economic crisis" to begin, just open up your eyes and look around.  I know that most Americans tend to ignore what happens in the rest of the world because they consider it to be "irrelevant" to their daily lives, but the truth is that the massive economic problems that are currently sweeping across Europe, Asia and South America are going to be affecting all of us here in the U.S. very soon.  Sadly, most of the big news organizations in this country seem to be more concerned about the fate of Justin Bieber's wax statue in Times Square than about the horrible financial nightmare that is gripping emerging markets all over the planet.  After a brief period of relative calm, we are beginning to see signs of global financial instability that are unlike anything that we have witnessed since the financial crisis of 2008.  As you will see below, the problems are not just isolated to a few countries.  This is truly a global phenomenon.
Over the past few years, the Federal Reserve and other global central banks have inflated an unprecedented financial bubble with their reckless money printing.  Much of this "hot money" poured into emerging markets all over the world.  But now that the Federal Reserve has begun "tapering" quantitative easing, investors are taking this as a sign that the party is ending.  Money is being pulled out of emerging markets all over the globe at a staggering pace and this is creating a tremendous amount of financial instability.  In addition, the economic problems that have been steadily growing over the past few years in established economies throughout Europe and Asia just continue to escalate.  The following are 20 signs that the global economic crisis is starting to catch fire...
#1 The unemployment rate in Greece has hit a brand new record high of 28 percent.
#2 The youth unemployment rate in Greece has hit a brand new record high of 64.1 percent.
#3 The percentage of bad loans in Italy is at an all-time record high.
#4 Italian industrial output declined again in December, and the Italian government is on the verge of collapse.
#5 The number of jobseekers in France has risen for 30 of the last 32 months, and at this point it has climbed to a new all-time record high.
#6 The total number of business failures in France in 2013 was even higher than in any year during the last financial crisis.
#7 It is being projected that housing prices in Spain will fall another 10 to 15 percent as their economic depression deepens.
#8 The economic and political turmoil in Turkey is spinning out of control.  The government has resorted to blasting protesters with pepper spray and water cannons in a desperate attempt to restore order.
#9 It is being estimated that the inflation rate in Argentina is now over 40 percent, and the peso is absolutely collapsing.
#10 Gangs of armed bandits are roaming the streets in Venezuela as the economic chaos in that troubled nation continues to escalate.
#11 China appears to be very serious about deleveraging.  The deflationary effects of this are going to be felt all over the planet. The following is an excerpt from Ambrose Evans-Pritchard's recent article entitled "World asleep as China tightens deflationary vice"...
China's Xi Jinping has cast the die. After weighing up the unappetising choice before him for a year, he has picked the lesser of two poisons.
The balance of evidence is that most powerful Chinese leader since Mao Zedong aims to prick China's $24 trillion credit bubble early in his 10-year term, rather than putting off the day of reckoning for yet another cycle.
This may be well-advised for China, but the rest of the world seems remarkably nonchalant over the implications.
#12 There was a significant debt default by a coal company in China last Friday...
A high-yield investment product backed by a loan to a debt-ridden coal company failed to repay investors when it matured last Friday, state media reported on Wednesday, in the latest sign of financial stress in China's shadow bank sector.
#13 Japan's Nikkei stock index has already fallen by 14 percent so far in 2014.  That is a massive decline in just a month and a half.
#14 Ukraine continues to fall apart financially...
The worsening political and economic circumstances in Ukraine has prompted the Fitch Ratings agency to downgrade Ukrainian debt from B to a pre–default level CCC. This is lower than Greece, and Fitch warns of future financial instability.
#15 The unemployment rate in Australia has risen to the highest level in more than 10 years.
#16 The central bank of India is in a panicover the way that Federal Reserve tapering is effecting their financial system.
#17 The effects of Federal Reserve tapering are also being felt in Thailand...
In the wake of the US Federal Reserve tapering, emerging economies with deteriorating macroeconomic figures or visible political instability are being punished by skittish markets. Thailand is drifting towards both these tendencies.
#18 One of Ghana's most prominent economists says that the economy of Ghanawill crash by June if something dramatic is not done.
#19 Yet another banker has mysteriously died during the prime years of his life.  That makes five "suspicious banker deaths" in just the past two weeks alone.
#20 The behavior of the U.S. stock market continues to parallel the behavior of the U.S. stock market in 1929.
Yes, things don't look good right now, but it is important to keep in mind that this is just the beginning.
This is just the leading edge of the next great financial storm.
The next two years (2014 and 2015) are going to represent a major "turning point" for the global economy.  By the end of 2015, things are going to look far different than they do today.
None of the problems that caused the last financial crisis have been fixed. Global debt levels have grown by 30 percentsince the last financial crisis, and the too big to fail banks in the United States are 37 percent larger than they were back then and their behavior has become even more reckless than before.
As a result, we are going to get to go through another "2008-style crisis", but I believe that this next wave is going to be even worse than the previous one.
So hold on tight and get ready.  We are going to be in for quite a bumpy ride.
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Fri, 02/14/2014 - 20:22 | 4438382newAMGdesignnl
Fri, 02/14/2014 - 20:25 | 4438393new autofixer
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It is fortunate that my friends in Rio de Janerio are so poor, that they will never notice a recession or even a depression in the favelas. 
Fri, 02/14/2014 - 20:23 | 4438387newautofixer
autofixer's picture
"You lie!"  Obamao fixed all that and we are the beloved of the World! 
Fri, 02/14/2014 - 20:40 | 4438425new kevinduhand
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quote from one of the comments:
I have news for you, the American government closed off their gold,silver and oil land for drilling and mining and call it the wildlife protection land in US. We are saving all that for the future when we used everyone's else.Then Fed's collected all that gold from all those countries way back when the Fed's issues bonds to all those countries worldwide who ship all their gold to Fed's when gold wasn't used as currency to print money anymore. Then Fed's print money to Americans Gov to build up their arm forces by doubling everyone military combine since WW2 to protect the Fed's Gold because they have the all the worlds gold in America. The Fed's have more gold then anybody can't imagine and still do. The Fed's have so much gold that no matter if the Chinese,India and Russia bought as much as they can every year, the Fed;s will still have 20 years and more of gold bars left over to sell them not counting the wildlife protection land that we are hiding all that gold,silver and oil in America. That why the United States will never crumb as number one power and the dollar will still be king for a long time. The United Sates Out smarted the Chinese and Russian in believing they could buy all the world gold and have no idea whats hiding in United States land and  Federal Gold reserve..
Fri, 02/14/2014 - 20:40 |4438426new kevinduhand
kevinduhand's picture
My father worked with the defense dept as a GS13 (government service rank) He was the man that had to buy jet fuel for the Air Force in the Iraq Shield war when we had just practically bombed them everyday. I asked my father, who's retired now, that everytime something happens that deals with America, you disappear for days to a week before it hit the news. He said "Son, my job is to get jet fuel bought from big oil companies and get them to a area nearest to effected area we are attacking so our jet and bombers will refuel up or we will be dead in the waters without it" He also told me that the gov. is hiding 2-3 hundreds years of oil in America and had not to used it until the world started to run out. Hopefully, years down the road, 2nd and 3rd world countries nations will start running out of oil and the USA will probably be off most of the oil supplies by then. Now the United States will start to drill and the world has to depend on us for hundred's of years in 2nd and 3rd world countries. The United States thinks ahead and a lot of people think we are dumb but actually, we very smart. It makes sense! We use everyone else's oil and then use our last to keep the power of United States. Like squirrels! Don't you think we are doing the same thing with gold? I do!
Fri, 02/14/2014 - 20:42 |4438429new kevinduhand
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Fri, 02/14/2014 - 20:24 | 4438388newRusty Shorts
Rusty Shorts's picture
On the corner of TWEEK & SKETCH|RENDERING to Ceasar What Is Ceasar's...
Fri, 02/14/2014 - 20:25 | 4438394newDan The Man
Dan The Man's picture
Must have been my 8yr old that flipped my goldprice app from USD to CAD.  I saw 1448$ and nearly had a fkn heart attack. 

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