The key mistake economic forecasters are making is believing that wages are the main source of inflation.
The main source of economic inflation is the asset bubble. Which is why we will see the fastest demand collapse in U.S. history and today's economists won't see it coming. pic.twitter.com/HUMrzLhaDG
— Mac10 (@SuburbanDrone) June 27, 2022
Metals Crash Like Great Recession…
(Bloomberg) — Industrial metals are on track for the worst quarter since the 2008 financial crisis as prices are pummeled by recession worries. Copper, the great economic bellwether, has ricocheted into a bear market from a record four months ago, while tin just tumbled 21% in its worst week since a 1980s crisis froze London trading for four years.
It’s a dramatic reversal from the past two years, when metals surged on a wave of post-lockdown optimism, inflationary predictions and supply snarls. Now, inflation is here and supplies are still tight. But prices are plummeting as worries about a slowdown in industrial activity across major economies dovetail with slumping demand in China.
For a metal like copper, its uses in everything from heavy industrial machinery to advanced electronics mean the market is tightly linked to economic shifts, and the retreat marks a signal from commodity markets that efforts to get prices back under control are having some early successes. The mood in metals has soured even as Chinese Covid-19 lockdowns start to ease, and there are signs that traders there are betting copper prices will fall further.
*The US 10yr v 2yr spread is just 0.09bps from inverting – which will be the second time since April
This is very telling as it shows bond investors are pricing in deflation and recession while Fed tightens into a slowdown
Black swans are lurking pic.twitter.com/x6V46xW4F1
— Adem Tumerkan (@RadicalAdem) June 27, 2022
#recession … #Fed Pushing on a String edition
Heading for a hard landing for "soft landing" Google searches 👇 t.co/GrCWB1r24y
— Invariant Perspective (@InvariantPersp1) June 27, 2022
History will say that those who never questioned Ponzi markets never got out intact.
Because over six months rate hike and recession odds BOTH sky-rocketed at the fastest pace in HISTORY. pic.twitter.com/pOYgNpxTRJ
— Mac10 (@SuburbanDrone) June 27, 2022
"IPO market's shutdown, SPAC market's shut down & private fundraising market is close to a shutdown….lots of good companies…are finding themselves in a position where a strategic exit to a cash flushed strategic…is probably their only exit." – $MC Co-Founder
[📊:@FactSet] pic.twitter.com/IiFGAuDq12
— The Transcript (@TheTranscript_) June 27, 2022
#recession … #GFC2 US #manufacturing #PMI edition t.co/YtZceZ7xgO
— Invariant Perspective (@InvariantPersp1) June 27, 2022
#recession … #GFC2 #Pensions edition t.co/9id655X6Gj pic.twitter.com/TtFgs3mB2Q
— Invariant Perspective (@InvariantPersp1) June 27, 2022