It will start out that this is "just a normal correction"........and then escalate into panic
PMI numbers have been falling.
Wholesale sales numbers today saw the largest plunge since March 2009.
Problems in Europe still exist.
Japan is in deep economic trouble.
Geo political risks abound.
And the FED's balance sheet is now over 3.3 TRILLION DOLLARS.
Housing is already in another bubble.
Unemployment is NOT improving enough to increase consumer spending.
Demand for products is falling because we are in an economic "flat spot" where there is no "must have" item.
The fact is, the stock market has been fueled by artificial stimulation by the FED's massive injection of liquidity.
But that can't, and won't continue.
The FED made a HUGE bet that their liquidity injection would boost the stock market and housing prices and therefore create more consumer spending, which would lead to increased hiring by companies.
But the fact is, there are many things wrong with that theory, and many things that the FED did not consider.
And this economy, investors, and people throughout the this country and other countries around the world are about to experience the fallout from those failed and misguided policy decisions.
I must agree. If printing money was a REAL solution do you not think the FED would have just started with a Quadrillion dollars? There never would have been a need for the next QE. Making the rich richer will exacerbate the problem until a revolution ensues like Egypt, Greece, Spain, etc. are experiencing. The u.s. is by far the worst offender when it comes to profligacy. This IS the end of the empire. A very dumb, self-entitled, miseducated society cannot prosper and will devolve into a collective with a cumulative brain power less than that of a mid-century telephone.