Crashes, Crashes Everywhere! These 11 Are Happening Right Now – Is the Stock Market Next?

Almost everywhere you look, there are signs that a financial avalanche has begun [and,] in many ways…[it] all is extremely reminiscent of 2008…so does that mean that a horrible stock market crash is coming as well? [Let’s review] the 11 economic crashes that are happening RIGHT NOW [and query what might] happen for the rest of the year.

So says Michael (http://theeconomiccollapseblog.com) in edited excerpts from his original article* entitled 11 Economic Crashes That Are Happening RIGHT NOW.

This post is presented compliments of Lorimer Wilson, editor of www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds), www.munKNEE.com (Your Key to Making Money!) and the Intelligence Report newsletter (It’s free – sign up here). You can also “Follow the munKNEE” daily posts on Twitter or Facebook.

The article may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read.

Please note that these paragraphs must be included in any article re-posting to avoid copyright infringement.

Michael goes on to say in further edited excerpts:

The 11 economic crashes that are happening RIGHT NOW

#1 Bitcoins

The price of Bitcoins has fallen more than 70% from where it was on Wednesday.  This is one of the reasons why I have never recommended Bitcoins to anyone.  Yes, alternative currencies are a good thing, but there are a lot of big problems with Bitcoins.  Why would anyone want to invest in a currency that could lose 70 percent of its purchasing power in just two days?  Why would anyone want to invest in a currency where a single person can arbitrarily decide to suspend trading in that currency at any time?

#2 Gold

The price of gold was down by about 4% on Friday.  Gold has now fallen below $1500 an ounce for the first time since July 2011.  Overall, the price of gold has fallen by about 10% since the beginning of the year, and it is about 22% below the record high set back in September 2011.

Yes, the price of gold is likely being pushed down by the banksters and, yes, gold is a fantastic investment for the long-term, but there will be times when the price of gold does fall dramatically just like we saw back in 2008.

#3 Silver

The price of silver fell by about 5% on Friday.  If it falls much more it is going to be at a level that presents a historically good buying opportunity.

Just like gold, there will be times when the price of silver swings dramatically but the truth is that silver is probably an even better long-term investment than gold is.

#4 Oil

The price of oil declined by about 3% on Friday.  Many will consider this a positive thing, but just remember what happened back in 2008.  Back then, the price of oil dropped like a rock.  If the price of oil gets below $80, that could very well be a clear signal that a major economic crisis is about to happen.

#5 Consumer Confidence

Consumer confidence in the U.S. just had its biggest miss relative to expectations (78.6) that has ever been recorded (from 78.6 to 72.3).

#6 Retirement Accounts

The number of Americans taking loans from their 401(k) accounts has risen by 28% over the past year. According to the Wells Fargo report, based on an analysis of a subset of 1.9 million eligible participants in retirement plans that Wells Fargo administers, of the participants who took out loans, the greatest percentage were to people in their 50s (34.2%), followed by those in their 60s (28.9%) and then by those in their 40s (27.3%). “The increased loan activity particularly among older participants is concerning because those are the years when workers can start to make ‘catch-up’ contributions and really need to focus on preparing for retirement,” said Laurie Nordquist, director of Wells Fargo Retirement.

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#7 Casino Spending

Casino spending is declining again.  Many people (including myself) would consider this to be a good thing, but casino spending is also one of the most reliable indicators about the overall health of the economy.  Remember, casino spending crashed during the last financial crisis as well.  That is why it is so alarming that casino spending is now back to levels that we have not seen since the last recession.

Over in Europe, things just continue to get worse.

#8 Employment In Greece

The unemployment rate in Greece has soared to 27.2%, which was up from 25.7% the previous month.  That means that the unemployment rate in Greece rose by 1.5 percent in just a single month.  That is not just a crash – that is an avalanche of unemployment.

#9 European Financial Stocks

This week, European financial stocks fell to seven month lows [which is no surprise given the fact that] most of the major banks in Europe are essentially insolvent at this point – and this is probably only just the beginning.

#10 Spanish Bankruptcies

The number of Spanish companies going bankrupt has risen by 45% over the past year and up 10% from the previous quarter according to Reuters report of a survey by credit rating agency Axesor.

#11 Demand For Energy

The overall demand for energy in the United States is falling rapidly just like we saw back in 2008….Yes, it is good for people to use a bit less energy, but it is also a clear indication that economic activity is really starting to slow down.

Stock Market Bubble?

Despite everything that you have just read, the Dow and the S&P 500 have been setting new record highs and, if you listen to the mainstream media, you would think that this stock market bubble can continue indefinitely. Fortunately, [however,] there are a few voices of reason out there.  For example…Marc Faber recently predicted in a “Squawk Box” interview on CNBC that:

• in the near-term, the U.S. stock market is overbought,
• any more near-term gains portend big trouble for the market and that
• if we continue to move up, the probability of a crash becomes higher and
• it could happen sometime in the second half of this year.

As I have written about previously, a bubble is always the biggest right before it bursts.  I hope that we still have at least a little bit more time before it happens, but I wouldn’t count on it. The economic fundamentals tell us that the stock market should be plunging, not rising.  At some point the boys over on Wall Street will get the message and the market will catch up to reality very, very rapidly.

Optimism Reigns

As the stock market continues to show record highs, the number of Americans who say things are going well in the country has reached 50% for the first time in more than six years 50% according to a new national survey by CNN.

My Questions

1. What do you think will happen for the rest of the year?
2. Do you think that the good times will continue to roll?
3. Do you believe that the bubble is about to burst?

Your Answers

Please feel free to share your opinion by posting a comment below.

Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.

*http://theeconomiccollapseblog.com/archives/11-economic-crashes-that-are-happening-right-now

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