We are being warned that there could be some real serious economic doom at the beginning of next month if the Democrats and the Republicans cannot agree on a deal to raise the debt ceiling. Experts are telling us that the stock market will crash, the economy will immediately plunge into a recession, and tens of millions of Americans will not get their Social Security payments. Treasury Secretary Janet Yellen says that a U.S. debt default would begin somewhere around June 1st. She can’t nail down the date precisely, because there is some uncertainty regarding how much tax money will come in over the next few weeks. But what is exceedingly clear is that time is very short, and there are only four days when the House and the Senate are both scheduled to be in session before June 1st. So the clock is ticking, and right now both sides are still far apart on any sort of a deal. (Read More...)
Even The Federal Reserve Is Admitting That More Than A Million Americans Could Soon Lose Their Jobs
How would you feel if a million Americans lost their jobs? Would you consider that to be a pretty catastrophic event for the economy? Well, as you will see below, even the Federal Reserve is projecting that more than a million Americans could lose their jobs in the months ahead. Needless to say, Fed projections are usually wildly optimistic. So what will the real number be? Ultimately, I think that things are going to be far worse than most of the experts would dare to imagine right now. According to Challenger, Gray & Christmas, the number of layoffs during the first three months of this year was 396 percent higher than the number of layoffs during the same period in 2022. A tremendous amount of negative momentum has been building up, and there is a whole lot of fear out there. (Read More...)
Most People Believe That Life In America Is “Worse” Than It Was 50 Years Ago
If you could go back and live in 1973, would you do it? To me, that is not an easy question to answer. I think that for many of us it would be a real challenge to adjust to a world without the Internet and so many of the other technologies that we enjoy today. But I also think that if we were suddenly transported back to that time we would be absolutely shocked by how freely people lived. In 2023, there are literally millions of different laws, rules, regulations and ordinances that constrain how we behave down to the smallest detail. A lot of us still think that we are “free”, but that hasn’t actually been true for a very long time. In addition, the values of our society are completely different from what they were in 1973. Over the past 50 years our culture has been completely turned upside down, and we can see the nightmarish consequences of this cultural revolution all around us. (Read More...)
It Could Happen To You
Those that are wrecking our economy don’t seem to have much empathy for the millions upon millions of people that they are hurting. As you will see below, one Fed official is actually suggesting that interest rates may need to go even higher even though the interest rate hikes that we have already seen are turning lives upside down all over the country. Everywhere you look people are in severe pain, but this is only just the beginning. And I would encourage you not to ever look down on those that have had a run of bad fortune, because it could happen to you too. (Read More...)
Economic Despair Is Rapidly Spreading As The Cost Of Living Rises To Extremely Oppressive Levels
This new economic downturn is starting to bite, and we are starting to see signs of severe pain all over the nation. In fact, unless you are independently wealthy, you are likely feeling pain too. The cost of living has risen to extreme oppressive levels, and this has happened at a time when close to two-thirds of the country was already living paycheck to paycheck. As a result, many Americans are having their finances stretched to the breaking point, and millions of them are reaching out for help. For example, on Saturday morning the line of people waiting for assistance at one of Boston’s largest food pantries “stretched the length of two football fields”… (Read More...)
Homeless Encampments Are Exploding In Size All Over America As Rents Soar And Evictions Surge
Communities all over the United States are being taken over by giant homeless encampments, but we are supposed to believe that this is perfectly normal. The Biden administration is trying very hard to convince all of us that the economy is in fine shape even though many of our most prominent corporations are currently conducting mass layoffs and even though Challenger, Gray & Christmas is telling us that the number of jobs cuts during the first three months of this year was up 396 percent compared to the same period last year. Just like in 2008 and 2009, large numbers of people that have lost their jobs or their businesses are ending up living in the streets, and as a result homeless encampments are absolutely exploding in size from coast to coast. (Read More...)
On The Verge Of A Banking Industry Apocalypse?
Every time that they tell us that everything is fine, things just seem to get even worse. This banking crisis was supposed to be “over” after Silicon Valley Bank and Signature Bank collapsed. It wasn’t. Then it was supposed to be “over” after First Republic collapsed. It wasn’t. By now, most of you already know about what has been happening to PacWest, Western Alliance, First Horizon and countless other regional bank stocks. In all my years, I have never seen banking stocks fall so quickly. If this avalanche continues to pick up momentum, pretty soon we will have to stop talking about a “banking industry crisis” and start talking about a “banking industry apocalypse”. (Read More...)
Is The Federal Reserve Trying To Cause An Economic Depression?
They actually did it. Even though banks are collapsing, the commercial real estate market is imploding, home sales are plunging, and large companies are laying off workers all over America, the Federal Reserve just decided to raise interest rates even higher. This is nothing less than economic malpractice. They know that higher rates are crushing the economy, but they apparently believe that more pain is needed. Officials at the Fed just hiked rates another 25 basis points, and they are now the highest that they have been since August 2007… (Read More...)