Article Index
Recession

The U.S. economy is on the verge of a recession and the world could be on the verge of an economic collapse. At least, that’s the opinion of David Stockman. In an interview on Bloomberg TV earlier this week, the renowned businessman and politician delivered a dire warning…

Jim Rogers: Everyone Will Suffer Jim Rogers, the legendary billionaire investor and chairman of Rogers Holdings, says the global economy is about to get pounded into a recession and, as usual, the average person will be the one who suffers. “We’re all going to suffer,” Rogers said in…

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…

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…

Global Economy on Verge of Recession: Analyst Global financial markets are caught in a slippery death spiral. They will cause a global recession that will spare nobody, say Citigroup analysts. (Source: “Citi: World economy trapped in ‘death spiral’,” CNBC, February 5, 2016.) Citigroup’s Jonathan Stubbs says four trends…

2016 will be an interesting year no matter what. Which direction it goes depends on whom you ask. Bankers see the worst start of the year for stocks as an emotional response to economic news, which they believe is really quite strong. But I believe the elements are…

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 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…

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…

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,…

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,…

Trump Warns of Stock Market Bubble and Recession Donald Trump, the rag tag billionaire GOP presidential frontrunner, who takes a lickin’ but keeps on tickin’, has warned of a stock market bubble on the verge of popping—and a looming recession. (Source: “Trump: Economic bubble about to burst,” The…

The good thing about the Federal Reserve is that it publically discloses its balance sheet. And from its balance sheet, we can see the Fed has created about $3.5 trillion in new money after the credit crisis of 2008 to stimulate the economy. The problem with the central…

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…

The Last Time This Happened, Silver Prices Soared 420% It’s no secret that the Fed’s quantitative easing measures have had a negative impact on silver prices, but silver might soon be set to skyrocket. There’s one economic trend that has a solid track record of forecasting unexpected spikes…

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…

Is the U.S. on the verge of economic collapse? If you listen to the talking heads on CNBC, the answer is a definite “no.”  But how can they then explain the constant barrage of disappointing economic data? That was the case again this morning with the release of…

Late last year I wrote an article suggesting the U.S. could enter a depression in 2015. To some it sounded farfetched at the time. After all, the stock market was at record highs and investors remained bullish. But it seemed to me that all the economic evidence pointed…

For months, I have written in these pages about how the slowing global economy would wash ashore to America and infect our own companies. I posted repeated charts in Profit Confidential that showed leading indicators like the Baltic Dry Index and copper prices were collapsing, foretelling of poor…