Links of the Day

Recession fears are spreading among investors at a time when valuations across major assets are looking dangerously stretched following years of monetary stimulus, the latest Bank of America Corp. survey shows. About a third of asset managers polled believe a global recession is likely in the next 12 months, the highest probability since 2011 — when Europe was engulfed by a sovereign-debt crisis.”

More here.

The US yield curve, considered by investors to be a predictor of a recession, on Monday flattened to levels not seen since before the financial crisis.”

But hey, we are spending like the recession is already here:

The U.S. fiscal deficit has already exceeded the full-year figure for last year, as spending growth outpaces revenue. The gap grew to $866.8 billion in the first 10 months of the fiscal year, up 27% from the same period a year earlier, the Treasury Department said in its monthly budget report on Monday. That’s wider than last fiscal year’s shortfall of $779 billion — which was the largest federal deficit since 2012.

Imagine what we’ll need to spend once the recession hits.

And now think about all the candidates who are promising to spend like there’ll never be a recession. Of course, they are all lying to get elected. That’s what politicians do. But we are not under contract to believe them, are we?

Go on the tightest budget you can, save, set a hard savings goal every month, get as ready as you can.

8 thoughts on “Links of the Day”

        1. “Clearly a recession in US about in the beginning of 2021.”

          Oh, well, as long as it doesn’t start until after the 2020 election… 🙂

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            1. “Frankly, what difference does it make?”

              Obviously, the perceived state of the economy on election day will make a big difference in whether the incumbent president wins re-election.

              Like

  1. Ah, listen to the gleefully horrible economic predictions spilling out from the MSNBC and CNN cable news shows’ blatantly anti-Trump channels, and from the equally twisted partisan website pages at http://www.salon.com and http://www.slate.com — and you’ll see how rabidly eager the Democrats are to see the U.S. economy crash — and are perfectly willing to take down millions of union and non-union blue-collar American families, and even those at the edge of the American middle class working paycheck to paycheck — just to see that Donald Trump doesn’t get re-elected.

    The economists speaking tonight on Fox News (whom I trust no more and no less than the hysterics on MSNBC and CNN — after all, economics of all stripe have about the same degree of accuracy depicting tomorrow’s economy as most weathermen do about the weather) claim that the forecasted recession, it it comes at all, won’t arrive until after Trump’s re-election in 2021.

    So we’ll just have to fasten our economic seat belts and buckle up for the ride. Secure your boots in the stirrups, grab the saddle horn with your dominant hand, and enjoy the rodeo!

    Like

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