How Bad Will The Financial Collapse Be This Time?

The comparisons between the economic indicators in 2008/2009 and now have been coming ad nauseum.  The only way you can avoid seeing them is if you are a Fed official, a CNBC/Bloomberg/Fox Business talking head or a complete moron.

I wanted to keep this simple and just look at what is considered perhaps the best barometer of global economic activity:

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You’ll note that the price of copper is headed lower and is back to the price level where it was in the middle of 2008, right before the great financial collapse.  You’ll note that $3.6 trillion in Federal Reserve money printing – on top of trillions in Bank of Japan, ECB and People’s Bank of China money printing – has not been able to keep the price of copper from crashing again.

Is there anything that can keep the global financial system from collapsing?  Hint…

NYSE circuit breaker

11 thoughts on “How Bad Will The Financial Collapse Be This Time?

  1. Copper is or better was a very good indicator. I think it has been replaced by oil. But different commodity, same carnage! 😉

  2. When I think of all of the juvenile shit that I have seen from the FED- my all time favorite was the Sept. rate hike “mistakenly” posted on their website. Prior to that- it was Bernanke’s ridiculous comments about gold or that he simply dodged any talk about gold.

    I am actually looking forward to Sept. and the great alleged rate hike of point 25. My over under is 60 they don’t, 40 they do. Either way- it won’t matter. The effects of the great economic printapalooza are coming to an end. Once that happens- all hail the arrival of QE4. By that time- everyone in the free world will recognize that the FED is completely full of shit- just like this zombie economy. This is getting gooder by the day.

    1. Yes, except they won’t call it QE4, and they’ll do it secret while proclaiming rate hikes, “See? Even though our rates are higher, the ‘free market’ is still able to compete!”

  3. 20,000 contracts dumped today in gold this morning? A whole days volume in silver dumped this morning I heard? Wow. Fed minutes Wed….

  4. Uh. I may be missing something here copper gurus but looks like copper prices were pretty low for 8 years from 95-03. There were some huge growth years in there. I think your copper analogy is kinda weak. I’m open to learning something if you care to explain.

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