IGNORE THE MEDIA BULLSH*T – RETAIL IMPLOSION PROVES WE ARE IN RECESSION

Here we go again. The dying legacy media will continue to support the status quo, who provide their dwindling advertising revenue, by papering over the truth with platitudes, lies, and misinformation. I have been detailing the long slow death of retail in America for the last few years. The data and facts are unequivocal. Therefore, the establishment and their media mouthpieces need to suppress the truth.

They spin every terrible report in the most positive way possible. They blame lousy retail results on the weather. They blame them on calendar effects. They blame them on gasoline sales plunging. That one is funny, because we heard for months that retail spending would surge because people had more money in their pockets from the huge decline in gasoline prices.

September retail sales were grudgingly reported by the Census Bureau this morning and they were absolutely dreadful. This followed an atrocious August report. The MSM couldn’t blame it on snow, cold, flooding, drought, or even swarms of locusts. So they just buried the story in their small print headlines. The propaganda media machine had nothing. They continue to spew the drivel about a 5.1% unemployment rate as a reflection of a booming jobs market. If we really have a booming jobs market, we would have a booming retail sector. The stagnant retail market reveals the jobs data to be fraudulent. The 94 million people supposedly not in the job market can’t buy shit with their good looks.

Despite the storyline about consumer austerity being the reason for sluggish spending, the facts prove otherwise. Consumer spending accounted for 68% of GDP in 2008 at the peak. Seven years later it still represents 68% of GDP. The difference is the spending has shifted dramatically towards services since the Wall Street created financial crisis. Spending on services has grown by 31% versus 20% for goods since 2008. Guess what has caused that surge?

OBAMACARE

Spending on healthcare has skyrocketed for the average person. Rent, taxes, utilities and educational expenses have all exploded higher. Meanwhile, real median household incomes are 7% lower than they were in 2008. They are 7% lower than they were in 2000 and equal to the level of 1989. And the bubble headed bimbos on CNBC can’t understand why retail sales aren’t booming? Did they get their journalism degrees from the University of Phoenix or Trump University?

Let’s dig into the data for some shits and giggles. First off, you need to realize how bad it really is when you consider US automakers are essentially giving away vehicles to anyone who can fog a mirror, as long as they are willing to obligate themselves into never ending debt enslavement. The average amount financed of $27,000 and the average length of loan of 65 months are both record highs. As the automakers get more desperate by the day, 7 year 0% loans are now becoming the norm. Dealer incentives in the thousands proliferate. And subprime auto loans now constitute over 20% of all sales. The pace of subprime auto loans has more than doubled the pace of prime loans since 2010.

The Fed, Treasury and Wall Street decided auto sales would be the tonic to cure our economic ills, so they opened up the debt floodgate to get everyone and anyone into a new vehicle. They needed booming auto sales to provide the appearance of economic recovery. So, while overall consumer expenditures increased by 21% since 2010, auto loan debt grew by an astounding 41%. An this is just the debt side of the equation.

Over 27% of all vehicle “sales” are actually leases. Calling a three year rental a car sale stretches the concept of sale to the limits. Anyone who finances a car over seven years or leases a car, can never escape the chains of monthly payment debt. They will always be underwater, just the way Wall Street likes it. The proof these “strong” auto sales are just another debt based scheme are the non-existent profits of automakers and stock prices at 2010 levels. If auto sales are so healthy why would GM stock be down 18% since 2013 and Ford stock down 14% in the last year?

If you strip out the debt financed auto bonanza, retail sales are pitiful on a monthly and annual basis. I thought the later Labor Day was the reason for poor August sales. Maybe kids didn’t go back to school this year. The categories with NEGATIVE monthly sales was immense: Electronics & appliances (what about that housing boom), Building materials & garden equipment, Food & beverage, Gasoline stations, General Merchandise (Wal-Mart), Misc stores, Nonstore (Amazon). Overall, retail sales excluding autos was down 0.3% over the prior month. August sales were down 0.1% over July. The news just gets worse and worse as the government reports lower and lower unemployment. A fascinating dichotomy.

The annual and year to date figures are even more disturbing. The annualized and year to date numbers show 0.8% to 1.2% increases. If you believe your government that there is no inflation (Social Security recipients will get a 0% increase in their benefits next year – should do wonders for retail sales), then those pitiful increases are valid. If you live in the real world where your costs to live are going up by 5% or more, real retail sales are negative. The way to figure out who is lying is to look at the profits of retailers. They are plunging, so shockingly the government is lying about inflation.

Retail sales have missed the expectations of highly paid Wall Street economists 7 out of the last 10 months and 10 out of the last 15 months. But they guarantee sales will be strong next month. Maybe they should double seasonally adjust retail sales like they did GDP because it gets cold in the winter. How could the retail sales be so pitiful when the unemployment rate has fallen from 8.9% to 5.1% over the same time frame? Maybe someone could ask Obama at his next press conference.

The fact of the matter is that year over year retail sales at these levels only happen during recessions. It’s really that simple. Without the crutch of subprime auto loans and student loan debt being spent by pretend University of Phoenix students on iGadgets, fitbits, hookers and blow, this economy would already be in free fall.

Look no further than what happened to Wal-Mart today for confirmation we are in the midst of a worldwide recession, if not depression. Their stock fell by 10%, the largest one day loss in their history as a public company. Their stock is down 30% this year.

Make no mistake about it, Wal-Mart is a global retailer whose annual sales dwarf the GDP of most of the countries on the planet. They announced flat revenue for the current year and slashed next year’s earnings expectations by 12%. As usual, they blame external factors for their failures. The strong dollar seems to be the excuse de jour among the multi-national corporations who rule the globe. If they didn’t want to deal with currency risk, they shouldn’t have gone global. It’s a cost of doing business, not an excuse.

I found it amusing that Marketwatch had their headline as Wal-Mart to Buyback $20 Billion of Stock, rather than reporting that Wal-Mart’s profits are crashing by billions. The propaganda machine just doing their job. Every clueless highly educated CEO of floundering corporate behemoths follows the exact same game plan. Borrow money as your profits are in decline to buyback your stock near record highs to give the appearance that EPS is growing. If you can’t make profits, fake them. At least the executives will get their million dollar bonuses while announcing more layoffs. That always delights Wall Street.

All economic indicators are flashing red and warning of recession. Retail sales, that account for two thirds of economic activity, are falling. Corporate profits are plunging. Middle class Americans haven’t seen their household income rise since 1989. The last two employment reports were horrific. The number of  job layoff announcements by corporations is up 36% year to date and has already exceeded the total for 2014.

The only people who refuse to acknowledge recession reality are the Wall Street hucksters, looking to fleece a few more muppets before their party is over. They’ve created a short covering rally, despite the awful economic news, ridiculously high valuations, record levels of margin debt, and a public who left the markets years ago. Rigging the markets, utilizing free money from the Fed, producing fake profits through government sanctioned accounting fraud and using high frequency trading machines to manipulate the market can only get you so far.

Propaganda and lies can’t stop this recession. The Fed never took their foot off the gas, so we are headed for the cliff at 100 miles per hour. I wonder what happens next.

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constman54
constman54

No. We never came out of recession. The reset button has yet to be hit. So much consumption has been pulled forward that pretty soon there will no consumption, expect for necessities.

If you pull all the future consumption forward to today eventually you will get to a day in the future and there will be none left. Who knows how many years have been pulled forward, but when we run out of next years consumption or the year after that etc… eventually we will wind up with a zombie economy.

It is the same with money. There is a fixed amount of money you can rob from the future. It is possible to rob a certain sum from the future and when you get there still have some left. But there is also an amount that you rob from the future that when you get there you find there is nothing left.

Many think the Fed can just keep on printing, but that is the same thing as robbing from the future. There is a fixed point in time where it will crash. Someone much smarter than I am could probably get close to marking the day.

For example. I sometimes get a down payment for a project. That is money I have not yet earned. I have produced nothing other than a proposal, a contract and payment terms, but the client has received nothing tangible from me yet. I may even front-load my monthly draws in order to cash-flow the project, but eventually I have to even it all out or I get to the end of the project and there is no money left to complete it. If there is not enough money to complete the job, because I “robbed” too much money from the future I then have to rob more money from the future to complete today’s project. The old rob Peter to pay Paul syndrome.

This can go on and on for quite some time. You can be broke for years and not even know it. But eventually the day comes when there is no more money to pull and you have hit that date and you no longer have a company……. or a Country!!

Goobermint just deals in such large sums and has access to seemingly unending credit so the game can be played for quite a while. But eventually, one day the reset button will be hit. There will be no alternative.

Mike
Mike

I believe that when the economy collapses here, it will cascade around the world. Everyone around the world knows that the US has been propping up the Petrodollar for quite some time. At some point during this collapse, World War III will begin in earnest. The economy will mean little when there are 6 billion dead, and a dead planet as a result of these so called “leaders” phony monetary, foreign, etc. policies.

Willard Aztec
Willard Aztec

I started reading your article but when I got to the vulgarity I hung up. Call me a prude or whatever you desire but YOU ARE USING THE SAME WEAPONS THE ENEMY IS USING. You have bought the lie that we can conduct ourselves like dogs and still rise to the top. Can’t be done. When silver is purified the dross rises (temporarily), is scooped off and discarded. Like Pogo said, “We have met the enemy and he is us.”

Lysander
Lysander

@Willard Aztec…..Wouldn’t your first clue have been in the fucking TITLE? Oops, I said a bad word and I’m not sorry monsignor, because I really meant to offend your precious candy ass.

But Hey! Don’t let the door hit you in that ass on the way out! Fucktard.

Piper Michael

What is wrong? I see the voices of confusion by the Illusion of the Mammon propaganda machine.
Abandon all hope, all ye who enter herein.

Welcome to Globalization, what they called in the 1990’s, the ‘Information Economy’ that would be born. This was Al Gore. They KNEW what they were doing with NAFTA, and GATT, and Ross Perot WARNED us with charts and graphs, yet he only got 19% of the vote. He called it; “The Great Sucking Sound”, of factories and jobs leaving America, and with it, our wealth creation ability, sacrificed on the Altar of Power, Greed and Global Domination by an Empire of Debt. And now, everybody sees(except a few of us), the Emperor has no clothes, he is also anti-American. An old story, its not only the current Emperor, it is what controls all things including the Emperor. The Rule of Gold, that; He who has the Gold, makes the Rules. And rule #1 is; Usury.

We have forgotten the lessons of Henry Ford and money that keeps its value over time. His great accomplishment was the invention of ‘Disposable Income’, so that all of his employees could buy a car… The Virtuous Cycle erupted and the modern blue middle class was born. Albeit with problems, of course.

The VIcious Circle begins now, when it is seen by the whole world that we have lost our monetary minds. The Vicious circle becomes the spiral and means that capital is deteriorating because it pays virtually nothing with zero interest rates against inflation, thus everybody is suffering, looking for growth, but there is no growth, because, we have reached the limits to growth with a system that depends on growth. You can cry and scream at the implications now, or you can get your head around it and do what many of us are doing, its called; Retro

So money became a vacuous thing called; Fiat, and you and I, if measured by inflation, have not had a pay raise, in 40 YEARS. (Despite all the lies.) But the Rich have gotten richer and the poor poorer. Now they are desperate and do all the wrong things, but, it is mostly to keep themselves in power, rather than to look out for you, haven’t you figured it out yet?

Its never been about left vs right, its about Haves vs Have nots. The 1% virtually own everything now, and we were too stupid to know that we were being played, but we have always been played by those who hold the reigns.

The only way to beat the bastards is to quit playing The Game.
Myself, I used to be a Network Systems Engineer, a Manager at a Fortune 100 company, I went Galt, now I’m learning to become a blacksmith… Fuck the System, I’m getting off.

How do you like your great sucking sound?

ct236
ct236

Why all the gloom? The people in the flying car at the end of the article don’t seem to be doing so bad.

TE
TE

Love this place and the commenters. Couple things.

The discussion over Obamacare is moot. @bb is an independent contractor/small biz guy, he HAS to file and pay taxes EVERY year. He WILL pay a penalty unless he has Obamacare APPROVED insurance. Yes, you can buy policies that do not meet the requirements (but that meets your actual needs), but unless an “approved” level of coverage (free birth control, huge deductibles for everything else, even bigger pricetag) he WILL pay a fine or suffer asset confiscation/jail if he doesn’t comply. That is the way taxes work, pay, or else. Including a 100% penalty for failure to pay/file. My son, whom has insurance through his job but not for his family, either pays $700 a month (on a salary of $32k a year gross) for his family, or he pays a percentage of income in fines. Even though not married – because of the damned insurance issue, the state will cover his daughter – his girlfriend, a stay-at-home mom, would cost $200 a month on Obamacare, the fine is magnitudes less than that. They pay the fine on their taxes and thankfully we are the only two families I know where not one of us has a daily prescription with constant trips to the doctor. Thank God for real health found in nature, not Walgreens.

The $75k welfare arguement is also a strawman. The reality is that a mother of three would have to get a job EARNING $75k a year to make up for what would be lost by leaving the dole. First comes taxes, then SS, then local taxes, then no more reduced price housing, no more free healthcare with zero deductibles, no more free school breakfasts and lunches, no more foodstamps, no more reduced rates for utilities. A family of four making $75k ARE the “rich” the politicians are always talking about. As if someone can find a job making that much unless already connected, with or without a damned degree. No, she doesn’t “get” $75,000 a year. But it would take a job earning that much to make the family even, and that is without the expenses of state sanctioned, ‘er regulated, daycare. Wake up.

As for the cars and rebates. I live in Metro Detroit, all the car ads run the costs/prices for the UNION employees and their families. I couldn’t get the 15% back. And since they have been financing with ZERO down, rolling tax, title and licenses into the loan, it would be a check back for most as it has become the norm to “buy” houses and cars for full price (and taxable value), then get off-book “rebates” and “refunds” that go straight to your pocket. Another obvious indictment of our educational system when “educated” people don’t understand that the $20k “extra” recorded as your home sales price is going to screw you for the entirety of your home’s ownership as most places start your property taxes based on stated sales price. This has been going on for at least 11 years. When we bought our home the realtor and title company thought we were nuts for wanting our “concessions” off the topline price (thus resulting in lower tax bill for the seller and a place to fight to right our property taxes). They pushed HARD to get the seller (a developer that had made a bad deal) and us to capitulate because THEIR fees/paychecks were based on topline sales price. We, apparently, were the only buyers NOT falling for that crap. Needless to say it took over 11 months for them to register the title, the agent has never contacted us again, and we obviously pissed off a lot of people by not playing that game. On the other hand the seller has been a “friend” and we keep in touch for over 11 years now. I’m not shedding many tears over the title company, which, btw, managed to register our loans and the title with papers that were not signed as a typo that was fixed the day of close found it way into the legal documents. Documents that cannot be located by the banks!

Everything is corrupted, dirty, convoluted. HSF’s drama was a perfect picture of a day in the life of a city. Add to that the fact most restaurants are FILTHY now, as the special little snowflakes we have raised, and their X’er/Boomer managers, no longer care if windows are washed, nor floors, nor tables. I HATE to think about the status of the kitchens as anyone whom has ever worked in restaurants can attest, if the dining room is dirty the kitchen is a FILTH pit.

We are de-volving at a record clip now. I watched the slow-motion downslide for years, it is accelerating at breakneck speed now.

Good luck all, we are sure as hell going to need it.

A. R. Wasem
A. R. Wasem

Some confusion out there about Obongocare penalties. Yes there are penalties; BUT – the InfernalRS cannot use it’s usual enforcement methods to collect the penalties if they are “owed”. The ONLY way they can collect is to DEDUCT the penalty amounts from amounts owed to the taxpayers on account of refunds or other amounts due to the taxpayers from the fedgov. Reason is Congress failed to provide the usual “affirmative” penalty enforcement means for the IRS when they enacted Obongocare. Provides a rare “legit” opportunity to give the Service the finger – just make sure that you’re in balance or paying when filing. BC-LR – ARW

mike in ga
mike in ga

Local GM dealers here are jam-packed with more vehicles than I’ve ever seen on the lots. Anecdotal, I know, but they’re parking ’em within inches of each other so only the skinny jeans lot jockey boys can get in and out and they are renting adjacent fields to handle overflow. I’d like to get a go-pro drone to overfly the lots to show the sea of shiny, new and unsold. We also have Mercedes dealership that is black-owned so most Mercedes drivers (75% plus) are black. My guess is 95% are leased. There are buyers for all the brands since that obnoxious radio advertising just ropes in the math-challenged status-seekers and the roads are filled with expensive new vehicles.

Yesterday I walked out of two different hair cutting joints – one for sheer incompetence at the counter (Great Clips) and the 2nd at a independent because the only woman available was sitting in the chair, with her candy-apple red head lowered into her iphone but the hair from a previous client was still littering the floor. I asked, “If you don’t clean up the floor and the chair between clients why should I trust that your other tools are sterilized?” She responded, “I will clean it up if you want me to” and started sweeping. I just walked out.

Everywhere I look I see us circling the drain.

Westcoaster
Westcoaster

So long as we’re all bitching about Obamacare, I just got off the phone with Covered California (our state “exchange” regarding a letter I received today that was demanding I prove a negative!
See, my wife recently turned 65 and became eligible for Medicare. Some of you young’uns probably don’t know that Medicare is not “free”. In order to be eligible for Medicare part “b” you must pay up and it’s taken straight out of your social security. In my wife’s case, about $104 a month. And she chose a supplement plan w/o a monthly payment. I’m not bitching about that cost.
First off, you need to know all the correspondence with Cov Cal is addressed to the wife since I entered her name first when initially signing up. So this letter arrives today addressed to her, saying that “You do not qualify for Cov Cal Plan, Premium Tax Credits, Enhanced Silver plan because:

Other Health Insurance
We were unable to verify that you do NOT (my caps) have health insurance from your job (or a family member’s job), COBRA or a government program such as Medicare or Medi-Cal.

So they’re demanding I prove a negative! I’m furious and call them. Went through the phone tree about 3 levels and finally get to the button to connect to a real person. Immediately get a fast busy.

Now I’m really pissed, they’re not getting off THAT easily. So I redial and pressed some different buttons but succeeding in getting a person. After we go through all the verify your ID BS, she finally figures out this is COV CAL’s way of saying, we are cutting off your old insurance because you now have Medicare. And I don’t really have to “prove” anything for my own coverage to continue.

So here’s the kicker….I still haven’t received an adjusted bill for just my coverage. Health Net told me that would take 30 working days. Previous for both of us it was $196.40 a month and nothing else has changed. So I ask, what’s my new premium? $180.25. So I get to pay the $180.25 for my coverage, plus we lose the $104 to Medicare. So bottom line, our health insurance just increased by about 30% monthly. We will sure as shit NOT be spending more right about the now.

Jay Sherman
Jay Sherman

It’s GOOD that retail sales are slowing! Maybe some people are finally getting the picture and saving their money, instead of buying all of the Chinese crap that they don’t need?

Whether retail sales boom or crumble, doesn’t really matter- our economy is going down either way, because we are over-taxed, over-regulated and have made it so that no one in their right mind would start a business here (in the land of the 2nd-highest corporate income tax rate in the world) which actually produces anything.

Wealth is not something which just exists for the taking, or can be redistributed. Wealth must be created by capable people- and now-a-days we do nothing but DISCOURAGE the production of wealth, and confiscate and redistribute it when it is still created.

Communism doesn’t work. We are about to see that, fully.

PaulTheCabDriver

I was stopped by a cop for out of date tags the other day. I was driving on a temporary tag until we fixed the emissions and the tag had fallen off the window & was on the back seat. I re-taped the sign, & the cop was satisfied. “Do you have any questions?” he asked me. “Yeah. How do you fix the oxygen sensor on this car?” He and I both laughed…
You don’t ask a cop for advice fixing your car. And in a similar vein, you don’t ask a physicist for fix an economy. Nor do you ask a politician.
The problem is not “capitalism”. the problem is government interfering in business, thinking they are a smart cop who can fix an emissions system. Stop asking the government to “fix” the economy. They don’t even know how it works.

mike in ga
mike in ga

Excellent point, Paul.

One of the common phrases I remember from growing up was “There ought to be a law!” After a while it occurred to me that the constant demand for specific laws is actually met by a constant supply out of congress and it was not a good thing. “We bring this on ourselves”, I thought, and a conservative was born.

On the economy – now – it’s even worse. The more they “do” to “fix” the economy, the worse the problems get. I don’t see how we avoid collapse given the unrestrained growth of government with the strangulation of regulation limiting the opportunity for individuals to compete and succeed.

Rise Up

HSF: “I did not get the impression that the overall health of the population has improved since the advent of Universal healthcare.”
================================================
I realize you meant this in jest, HSF, as we all know that improved health of the population was not the intent of Obummercare–it was improved health of the medical INDUSTRY.

Jay Sherman
Jay Sherman

Well-said, Mike and Paul!

Gotta love these asshats who are always ragging on capitalism. Funny, ’cause real free-market capitalism has not been practiced in this country for over 100 years now, if it ever was truly practiced. What we have instead, is much closer to a communist economic model- i.e. we have the redistribution of wealth and confiscatory taxes; every little thing regulated to the hilt; a central government bank which prints worthless fiat money and determines the value of it and sets interest rates, etc. And naturally, since communism/socialism does not work, the more we practice it, the worse things get- and the asshats want even more of it??!!

BRho
BRho

Here ya go from 1770:

Alexander Fraser Tyler, Cycle Of Democracy (1770)

Found 1 result for Alexander Fraser Tyler, Cycle Of Democracy (1770)

A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largesse from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over lousy fiscal policy, always followed by a dictatorship. The average of the world’s great civilizations before they decline has been 200 years. These nations have progressed in this sequence: From bondage to spiritual faith; from faith to great courage; from courage to liberty; from liberty to abundance; from abundance to selfishness; from selfishness to Complacency; from complacency to apathy; from apathy to dependency; from dependency back again to bondage.

gm
gm

Went to the Georgia national fair last week , HAD a blast . Blew 200 bucks riding rides doing whatever the kids wanted . Since previous fair trips were non existent or very low budget .
We went looking at the exhibits and stuff . Local car dealer had doge jeep etc showcased . I almost fell out Jeep grand Cherokee was 49 thousand and change . Im very fortunate to have a good paying job atm but how the heck does anyone swing a $1000 car note? And every dealership I drive by has a crap load of cars on the lot . Ive read where a car loan should not be more than 1/3rd or your salary . So who the heck makes so much that after taxes ,state local and federal and all the other crap like mandatory health insurance can comfortably afford that ? I will take a good used car for 5k .and pay cash for it .

Jay Sherman
Jay Sherman

GM, I’m surprised that they actually sell as many new cars as they do. I’ve never had a car payment in my life (I’m 53)- Just won’t do it! But even ignoring the financial issues, why would anyone buy one of these cars which are so needlessly complex and overburdened with electronics and computerized garbage, that once they are out of warranty, it does not make financial sense to repair them?! They’re weighed-down with ridiculous luxuries that only millionaires should have; and they’re stuffed with governernment-mandated air bags, back-up cameras, ABS (which actually makes stopping diostances longer), a black box, yada yada….. I just want a simple, durable, safe (full-sized) car without all the BS! Not controls on the steering wheel; not plastic bumbers that you can’t bump without doing $2K worth of damage; not heated seats and mirrors and DVD players…..; Not an 8-speed automatic or disposable CVT tranny- just a good old manual is fine for me.

They’ve even destroyed the reliability of diesels, festooning them with electronics and various complex systems which take away the simplicity which once made diesels so great!

There’s not one vehicle on the market that I’d buy. Every 10-15 years when it’s time for a “new” vehicle, I keep moving to older and older stuff.

phoolish
phoolish

“” Ive read where a car loan should not be more than 1/3rd or your salary .””

I think you are confusing cars and houses. The old guidance was 1/4 of your salary for your shelter as a comfortable level that most could make work, but never to exceed 1/3. I’m not aware of any old time guidance along these lines for cars. I think the notion that 1/3 of your income should go to a car payment would have been mind-blowing to our ancestors.

gm
gm

@phoolish your right I stand corrected !!
@jay I think the 7 year zero percent rates add to the car sales but omg 7 friggen years? and I hate all the computerized accessories ! I see so many people in my drivethru with power windows that don’t work its insane . less than 4 year old cars they drive .

KaD
KaD

Wal-Mart’s Worst Stock Crash In 27 Years Is Another Sign That The Economy Is Rapidly Falling Apart: http://theeconomiccollapseblog.com/archives/wal-marts-worst-stock-crash-in-27-years-is-another-sign-that-the-economy-is-rapidly-falling-apart

KaD
KaD

The best measure of the health of the world’s economy is the Baltic Dry Index (BDI). After reaching record lows in March of 2015, the BDI briefly rallied. However, that rally appears to have been no more than the traditional “dead man’s bounce”. Reports from October 15, 2015, indicate another downward spiraling plunge is underway, once again.

The major danger associated with a flat BDI is that it indicates that credit is hard to obtain. Obtaining credit is a prerequisite to shipping product, namely, food. According to the persistent low BDI figures, America is an economic setback from the total disruption of food shipments.

A record low BDI is a bigger threat to the American people than the military activities of the Chinese and the Russians. Americans could go to bed this Friday night and by Monday, the food shelves could be empty. Mass starvation would commence within days. This is America’s biggest national security threat.
http://www.thecommonsenseshow.com/2015/10/16/food-riots-are-coming/

KaD
KaD

The “snapping” comment was a reference to Kupelian’s new book, “The Snapping of the American Mind,” in which the author proposes multiple levels of solutions to healing America, which has been practically destroyed by what he terms a “lawless government and godless culture.” He shared some of his ideas with Noory’s audience of 3-5 million listeners earlier this week.

Read more at http://www.wnd.com/2015/10/journalist-tackles-problem-of-healing-a-broken-america/#0cxbTe3VpVSHQsi5.99

phoolish
phoolish

Contribution at church is drastically down over the last month … like a 50% decline.

starfcker
starfcker

KaD, the world economy is a mirage. If it wasn’t for widespread counterfeiting, it would have been rightsized in 2008. It’s only kept afloat by counterfeiting and our willingness to destroy america with trade deficits. We the people never agreed to that.

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