Friday, August 15, 2014

14 reasons why "bubble" burst false prosperity of the United States




Did you know that the financial markets have recently been a rare event which has not been seen since the 2008 crisis? If you rely only on the media, it is unlikely that you have heard about it. On the eve of the last stock market crash, huge amounts of money were taken out of “junk” bonds.


Now history is repeating itself. However, this is not the only sign that the economy of the United States are waiting for hard times. Retail sales is extremely disappointing, the number of applications for mortgage loans – the minimum for 14 years, and the growing geopolitical tensions “scares” investors.


Below we consider the 14 signs that the “bubble” false prosperity USA soon burst:


# 1 Market “junk” bonds the UK earlier this month survived the event class “Six Sigma.” In other words, an event whose probability is 1 in 500 million cases. Billions of dollars are derived from the “junk” bonds, and some analysts fear that the collapse is not far off.


# 2 The last of the “junk” bonds was something like that during the financial collapse of 2008 As recently celebrated the publication of The Telegraph, the collapse of the bond usually occurs before the collapse of the stock …


# 3 retail sales did not meet expectations of 3 months in a row, and the data for the last month became the worst since January.


# 4 Everything is so bad that even Wal-Mart started to have problems. Comparable store sales figures have fallen for five straight quarters, and future prospects – not particularly rosy.


# 5 four-week moving average of mortgage applications reached 14-year low. Today’s rate is even worse than at the height of the 2008 financial crisis.


# 6 It is assumed that the technology sector is booming, but the massive reduction of personnel by 68% ahead of last year’s figures.


# 7 According to the Federal Reserve, 40% of the population of the United States today are experiencing financial distress.


# 8 The level of home ownership in the United States fell to the lowest since 1995.


# 9 According to the research, 76% of Americans do not have enough savings to cover the 6-month costs.


# 10 The rumors of the approach of the correction in the stock market spread so fast that even the media is talking about it. For example, take the headlines CNN, screaming that “coming correction!», «Wall Street on the edge!”.


# 11 The Civil War in Iraq is gaining momentum, and Barack Obama has announced that he intends to send 130 military personnel as part of a “humanitarian” mission. Iraq was ranked 7th in the world in oil production, and disruption of its supply could lead to serious consequences.


# 12 As a consequence of the conflict in Ukraine, the USA, Canada and the EU imposed sanctions against Russia, which responded in kind. Will this reduction in the volume of world trade on the economy of the United States?


# 13 The three-day truce between Hamas and Israel came to an end, and the Hamas leadership has announced preparations for the “long-term confrontation.” If the conflict is not resolved soon, the Middle East could ignite a major regional war.


# 14 The number of deaths due to Ebola virus, is growing exponentially, and if the epidemic spread to the United States, it could damage the country’s economy.


Meanwhile, in other countries the situation is even worse. For example, because of the economic slowdown in Europe began deflation.



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