The Next Financial Crisis is Here - Are You Ready?

When people get scared, they act scared. In 2008, we saw this with bank runs, etc. This is why I believe that the next financial collapse won’t be televised. I also think it’s happening right now.

In the UK. there are major brands like Thomas Cook going bust. Every bust is treated like an obscure/random independent event. This, to me, is a nefarious, purposeful way of obscuring the big picture. As it is, the number of UK businesses going bust is at a 5-year all-time high.

Neither is this an isolated event local to the UK. Major bands like Sears in the U.S. are filing for bankruptcy left right and center.

If this was 2008, the media would be telling you to be alarmed. They would also be making connections between falling global house prices, car sales, and equity investments, all of which are symptoms of an economy running on fumes.

I think that the powers that be might be able to get to March 2020 without announcing the disaster which is already happening. I also think that Bitcoin will rise exponentially in value in the interim. However, I also believe that Bitcoin is designed to fail on purpose at some point. I have no evidence of this. However, I belive it will happen when Bitcoin reaches around $110K in value.

Then I think Bitcoin will be blamed for the then financial crisis.

All that said, am I the only one who senses troubled times ahead? - Or do you sense it too?

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I think that a next financial crisis would strike hard in the next 4-5 years.

I would say that it is already starting though. The UK might be the first one to feel this because of that Brexit thing. After that, it would be a domino effect.

Although, I think the next crisis would be because of the likes of Uber, Fiverr, Upwork, and other companies which aren’t profitable but are poured with capital.

Sorry for my bad English in this message. As I am super-tired now. :slight_smile:

That’s interesting you said that. :thinking:

Someone else mentioned it to me not that long ago. Just like the housing bubble, something is about to hit the ceiling - I just don’t know what.

What exactly do you mean by financial crisis, though: interest rates taking a hike/falling, unemployment, trade, etc? Finance to me could be so many things.

The next crisis will likely be a liquidity crisis which is being driven by a mix of massive debt bubbles everywhere. You can’t really say what the cause will be, as there is a big feedback loop.

Take consumer credit card debt. At present, it is at an all time high in the US at over $1 Trillion. Defaulting on credit card debt is also on the rise, with millennials driving the trend.

credit%20card%20debt

Most Americans have less than $2K in savings and rely on credit cards to make ends meet ay the end of the month. Increasing defaults puts banks in the red and forces them to curb lending. (Or at least it will have to at some point.) This causes a liquidity crisis as suddenly people have less cash available which impacts everything.

Millennials are the main driving force of the economy, as they make the most big purchases. Houses, cars, education, gadgets, etc. Start limiting their credit and they buyer fewer iphones, cars. etc, and this hits businesses who start finding it harder to make a profit,

In reality, it’s worse than just making a poor profit. A lot of businesses are in massive debt and can’t secure credit or investment capital when it is clear that their comsumer base is drying up. Businesses subsequently go bust, then you have unemployment hike up a notch and even more of a liquidity crisis as even less money starts flowing back into the economy.

All that, though, is just the repercussion of having too much consumer credit card debt. At present. there are debt bombs and other potential triggers everywhere. The big one is US national debt. This is only servicable as long as interest rates are low, due to the way the US and other governments take on more debt to pay the interest on debt which is already outstanding.

(Yes, it is that crazy.)

This puts governments in a Catch 22 situation when the next crisis does hit. They can lower interest rates to pay their debt and continue as normal. However, this obliterates the value of savings for regular people and spurs inflation. (The last thing you need when you already have a liquidty crisis).

At present, car sales and even second-hand car sales are down globally. This points to an already present consumer liquidity crisis. As this escalates, it will also hit the real estate market and then the dominos will start falling.

If not selling your home in 2019 means putting your house on the market in 2020, the sooner option is the best one. In a survey of 100 U.S. real estate experts and economists by real estate information company Zillow, released in May, almost half expect the next recession to occur in 2020.

Source

Then you have the debt exposure of banks to toxic derivatives debt, coupled with the fact banks can’t be bailed out by governments in the next financial crisis, as the money to that was all used up in 2008.

It’s all really a big mixed bag of awfulness with a timer ticking down to all out chaos.

What happened to your post? Did an acorn fall on it? I just came back to watch Chicken Licken. (Was that it.) /now I’m going to have to wanter off over to YouTube… :neutral_face:

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Dinnae mind me! :wink:

I ended up in hospital again a couple of weeks ago. Can’t help but see everything in a positive light after 4 shiny new stents! :sun_with_face:

Added - sorry for hijacking the thread BTW. :slightly_smiling_face:

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I’m not negative, I’m just logical. Personally, I can’t wait for the next financial crisis. As long as it goes to plan, I’ll make a killing. :wink:

Stents mean you haven’t exactly had a head cold… :thinking: They are effective, though. I have a friend on Harris who had them put in a few years ago. He’s back to living in a Yurt in the middle of nowhere, so he is pretty much enjoying post-stent life.

It is good that you are positive, I usually am too when it comes to health things. Chico, my dog is apparently sick at the moment. I say apparently as I don’t believe the vet. He was visibly sick last week. Then after I took him to the vet I started him on a new diet and he’s already making me regret going to the vet in the first place.

No worries hijacking the thread. It’s nice to know you are well and positive!

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I think Dominic Cummings has said something similar about Brexit! :wink:

Nah - another ‘small’ MI, but recovering well, if a little tired. Worst thing is I can’t drive for another fortnight.

Big shout to the NHS for saving me again. I even had a private room this time!

Sending big hugs to Chico - he and I are both on new diets then! :slightly_smiling_face:

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Wish you a speedy recovery and positive vibes!

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Thank you folks! :slightly_smiling_face:

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You might like this article:

I’m using it is a source for a Brexit & Bitcoin piece I’m writing. It’s also another reason why my ears are pricking at the idea of impending financial chaos. That coupled with the fact that historically, major financial cataclysms usually start in October and fall on the eve on a new U.S. Presidential race.

I also can’t get over how insincere BJ seems every time he has a mic or a camera on him. To me, its clear he’s ramming through Brexit at any cost for potential personal gain.

Chico is on salmon for breakfast and mince and peas for dinner. I’d dare say you could benefit from the same. Just maybe don’t eat yours from a bowl on the floor. It could do you back in.

My go-to diet, whenever I am sick, is the Budwig Diet. It’s famous in alternative health circles as an anti-cancer diet. However, is beneficial for a host of other conditions too. You may want to look into it.

https://www.medicalnewstoday.com/articles/320352.php

You can also make Quark cheese (which you can use instead of cottage cheese) at home easily and very cheaply. Even if you don’t do it right, you just end up with greek yogurt which is comparably healthy and can be used in the same way Quark and Cottage Cheese can be.

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Is the “unicorn startup” bubble going to crash?