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The Coming Economic Collapse Will Crash Stocks

Phoenix Capital Research's picture




 

In 2008, the world experienced the worst economic collapse in 80+ years. This collapse triggered a stock market crash that erased $30 trillion in wealth.

Since that time, collectively Central Banks have cut interest rates over 600 times and have printed over $15 trillion in new money… money that has failed to generate sustained economic growth… money that has set the stage for another stock market crash.

Consider the measures of GDP growth in the US for instance.

The mainstream media likes to present the “official” GDP numbers as though they are gospel… but the reality is that the number you hear in the press is not even close to accurate.

One of the simplest means of hiding the real economic collapse is to use a bogus measure for inflation. If GDP growth is 10%, and inflation is 10%, then real GDP growth is 0%.

But what if GDP growth is 10%, real inflation is 10%, but you claim inflation is just 6%?

Boom! You can promote GDP growth of 4% to support your claim that printing trillions of dollars has boosted the economy.

To remove this accounting gimmick, you can use Nominal GDP and look at the rate of growth from a year ago. Doing this presents a VERY different view of the economy: one of economic collapse, not growth. I’ve circled periods in which the current level of “growth” occurred in the past.

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As you can see, the “recovery” of the last six years has largely involved a “growth” rate that was closely associated with recessions over the last 30 years. At best the US economy has been flatlining. At worst we’ve had bouts of economic collapse comparable to a recession.

Also, note that the previous periods in which we’ve experienced this rate of economic collapse have been associated with stock market crashes.

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The media can try to hide reality all it wants. But an economic collapse is here. It will trigger another stock market crash just as it did in the early ’90s, the Tech Bubble, and the Housing Bubble. And this time Central Banks won’t be able to stop it: they’ve used up all of their ammo in the last six years trying to create  recovery.

Smart investors are preparing now. The August-September correction was just a warm up. The REAL drop is coming shortly.

We just published a 21-page investment report titled Stock Market Crash Survival Guide.

In it, we outline precisely how the crash will unfold as well as which investments will perform best during a stock market crash.

We are giving away just 1,000 copies for FREE to the public.

To pick up yours, swing by:

https://www.phoenixcapitalmarketing.com/stockmarketcrash.html

Best Regards

 

Graham Summers

Chief Market Strategist

Phoenix Capital Research

 

 

 

 

 

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Thu, 12/10/2015 - 13:43 | 6905095 RMolineaux
RMolineaux's picture

The graphs presented in this item do not support the writer's premise, as they show continuous growth between 2 and 5 percent with minor fluctuations for the past 5 years.

 

Thu, 12/10/2015 - 12:54 | 6904741 the grateful un...
the grateful unemployed's picture

and the dow was at what level when economic growth peaked, and is (drum roll please) at which level now? apparently they are negatively correlated, DOW 20000 bitchez!

Thu, 12/10/2015 - 12:43 | 6904534 InnVestuhrr
InnVestuhrr's picture

Does anyone know what these gloom & doom mongers are peddling as an "investment", other than their doomsday newsletters, investor advisory services, etc ??????

Thu, 12/10/2015 - 11:58 | 6904364 Comte d'herblay
Comte d'herblay's picture

You ahould just write a one line note that refers to your past predictions.

That way when you post the number, say 2, we will know u mean this post.  Saves bandwidth, avoids you looking like a chronic amnesiac, and save ours and your time.

 

Thu, 12/10/2015 - 11:48 | 6904304 Thisisbullishright
Thisisbullishright's picture

Broken clock being right twice a day, etc...

 

Thu, 12/10/2015 - 11:34 | 6904228 InnVestuhrr
InnVestuhrr's picture

PMs will also be crushed.

Thu, 12/10/2015 - 12:34 | 6904572 gaoptimize
gaoptimize's picture

It isn't the market crash that dips PMs that matters.  It is the reaction that will rocket them.

Thu, 12/10/2015 - 12:37 | 6904599 InnVestuhrr
InnVestuhrr's picture

The only direction that PMs will rocket is DOWN MORE.

Thu, 12/10/2015 - 12:43 | 6904648 gaoptimize
gaoptimize's picture

So you are assuming there will not be a massive fiat hellicopter drop and injection into the banks when economic SHTF?

Thu, 12/10/2015 - 11:06 | 6904089 SMC
SMC's picture

Wake me at when the DJIA drops below 3700...

Thu, 12/10/2015 - 10:57 | 6904054 hungrydweller
hungrydweller's picture

Tick tock goes Graham's broken clock.

Thu, 12/10/2015 - 11:06 | 6904090 Groundhog Day
Groundhog Day's picture

Ive been buying the market everytime i see a phoneix capital article and making a fortune.  He's the ultimate buy indicator

Thu, 12/10/2015 - 10:40 | 6903985 surf0766
surf0766's picture

We don't win at economic collapses anymore. We are gonna make economic collapses great again.

Do NOT follow this link or you will be banned from the site!