Economic Collapse: Peter Schiff Says U.S. Headed for Deep Recession

Peter Schiff Sounds the Alarm Bells Peter Schiff, CEO and chief global strategist for Euro Pacific Capital, thinks the current U.S. economic recovery is the stuff of fantasy. In a recent interview on CNBC’s Street Signs, Schiff said there is no recovery and that the U.S. economy is already in a recession and headed for economic collapse. “The stock market,…

Recession: The Growing Trend Keeping Wall Street Up at Night

The U.S. economy saw some good news last Friday. The U.S. Department of Labor reported that the unemployment rate dipped to 4.9%—the first time the rate has dropped below five percent since February 2008. U.S. wages also picked up as employers increased hours for workers. So, is it time to put recession fears to bed? Not so fast says JPMorgan’s…

Peter Schiff: U.S. Economy on the Brink of Recession

U.S. Economy: Peter Schiff Issues a Dramatic Warning for Investors The disappointing U.S. jobs data has once again sent markets downward on fears of another rate hike from the Federal Reserve. But investor and fund manager Peter Schiff is seeing a rate cut in the cards. Schiff explains in the video why he believes that the December rate hike was…

Recession: Three Reasons Why 2016 Will Be Bad for the Economy

Here in late 2015, almost each passing day, we get data suggesting the U.S. economy is headed towards a recession in 2016. Of biggest concern is consumer consumption, also known as consumer spending, which makes up two-thirds of U.S. gross domestic product (GDP). The chart below, courtesy of the Federal Reserve Bank of St. Louis, shows the year-over-year change in…

Forget Janet Yellen; 3 Signs the U.S. Economy is Heading for Recession

The markets were mostly upbeat last week after the Federal Reserve hiked interest rates for the first time in almost a decade by a razor thin 0.25%. Federal Chair Janet Yellen wasn’t quite ready to shout “Mission Accomplished” aboard an aircraft carrier, but her words did tell Wall Street the U.S. economy was strong enough to support a rate hike.…

Recession: These Three Charts Say It Starts in 2016

For 2016, a recession is becoming a more likely scenario than economic growth, confirmed by two leading indicators and these charts. Consumer Spending in U.S. Economy Slumps Consumer spending in the U.S. economy is in a downward spiral. Major retailers are complaining about not being able to drive customers to their stores. Investors are nervous about the earnings of major…

Economic Collapse: Crashing Retail Stocks Show U.S. Is in Recession

Retail Stocks Are Crashing at the Fastest Pace in Years Media pundits are doing their best to paint a rosy picture of the U.S. economy, but the recent crash in retail stocks shows the country could be on the verge of a recession, and even an economic collapse in 2016. As was expected, the selling frenzy triggered by the world’s…

Caterpillar Inc. (NYSE:CAT) Warns Global Recession Ahead

By looking at what giant heavy equipment–maker Caterpillar Inc. (NYSE:CAT) is saying, we’re already in a global recession. On October 22, Caterpillar reported its financial results for the third quarter of 2015. Its CEO said, “The environment remains extremely challenging for most of the key industries we serve, with sales and revenues down 19% from the third quarter last year…”…

Recession: The Untold Epidemic of American Businesses Closing

According to the U.S. Census Bureau, for the first time in 35 years, more businesses in the U.S. economy are dying each year than being established. In 2013, 400,000 businesses started in the U.S. and 470,000 closed down. (Source: “American Entrepreneurship: Dead or Alive?” Gallup Inc. web site, January 13, 2015.) We won’t know 2014 numbers for a couple of…

Recession: These Three Indicators Say It’s Already Here

U.S. economic data is very clear: we’re headed towards a recession, if we’re not already in one. There are three key indicators I closely follow that presently paint a gruesome picture of the U.S. economy: consumer confidence, manufacturing statistics, and business conditions as tracked by regional Federal Reserve banks. All three point to an economic slowdown. Recession Indicator # 1:…

Global Recession: These Two Leading Indicators Confirm It’s Almost Here

The economic-related statistics being released on an almost daily basis are gruesome…and the chances of a global recession are becoming imminent. How bad is global trade? Talking numbers, between 1983 and 2008, on average, global trade grew at about six percent per year. Now this rate is down to just three percent. Here’s something else worth mentioning: this year the…

Economic Collapse: Recession Looms After Industrial Production Data Disappoints

Janet Yellen and the ‘MIT Gang’ at the Federal Reserve are bragging about America’s business recovery, but new Industrial Production data shows the U.S. economy may be on the verge of recession. Economists had low expectations for the August Industry Production report, predicting a 0.2% month-over-month drop in the total value of output produced by manufacturers, mines, and utilities. But…

Canadian Economy Hit by Recession

Things aren’t going so well for our neighbor in the north. On Tuesday September 1st, Statistics Canada reported that real GDP (gross domestic product) in the Great White North declined for the second consecutive quarter, sending the country into a technical recession. (Source: Statistics Canada, September 1, 2015.) In June, real GDP in Canada rose 0.5%, beating the expected 0.2%…

Canada Officially Enters Recession; China Stock Market Crash to Blame

The impact of China’s stock market crash is sending shockwaves around the world, leaving the global economy on the verge of economic collapse in 2016. On Tuesday, StatsCanada revealed the Canadian economy officially entered a recession. The country’s economy contracted by 0.5% during the previous three months, marking the second straight quarter of falling economic activity. (Source: Gross domestic product…

U.S. Economy: Why Recession’s Knocking

What used to be a leading indicator, the stock market has now become a lagging indicator. For months (in these pages), I have written about how sick the U.S. economy has become. Stock market investors are waking up to the reality that world economic growth is either non-existent or even contracting—albeit too late. The Dow Jones Industrial Average is now…

Weekend Reads: U.S. on the Verge of Recession?

Is the U.S. on the verge of a recession? Is Canada’s housing bubble about to burst? Will the stock market crash in 2015? Good Sunday morning! It has been a hectic few days here at Profit Confidential. Pour yourself a hot cup of coffee and enjoy these top stories from the previous week. Global Economy: Here Cometh Deflation “Early this…

Marc Faber: U.S. Recession is Coming

Image by Simon Cunningham The Chinese economy is nowhere near growing at the rates government officials are claiming. That could result in a global stock market crash and even a recession for the U.S. economy. At least, that’s according to renowned financial commentator Marc Faber. During an interview on Fox Business Network’s Risk & Reward, the publisher of The Gloom, Boom…

Recession Ahead for U.S. Economy; These Two Indicators Say Yes

Some very interesting news (or should I say warnings) to share with my readers today… If you’ve been reading Profit Confidential for some time now, you know I am predicting a recession in late 2015 or early 2016. A recession is technically defined as two consecutive quarters of negative gross domestic product (GDP). We are almost half-way there (in respect…

U.S. GDP Contracts in 1Q15; Economy Halfway to a Recession This Year

Earlier this year in Profit Confidential, I wrote that I wouldn’t be surprised to see the U.S. economy enter a recession in 2015. I got a lot of flak here from my fellow economists…even some of my customers thought that prediction was too far off. But, lo and behold; we are already halfway there. On Friday, according to the revised…

Recession in Late 2015 a Strong Possibility as U.S. Economy Slows at Alarming Pace

Is the U.S. economy getting close to a recession? Rising business inventory and slowing consumption say yes. In these pages, I have argued over and over again that consumption data is important; it’s the biggest part of the U.S. gross domestic product (GDP) calculation. And, currently, consumption in the U.S. economy is stalling at an alarming pace. I look at…