According to a financial expert, the indicators are all showing signs of an impending economic downturn and a United States recession. Chris Watling, chief executive of financial advisory firm Longview Economics, said this economic collapse could be just around the corner.
Whenever it happens, it’ll be just in time for the preplanned solution, a central bank digital currency. However, Watling said that the standard timeline for a recession is about one year after the inversion of the Treasury yield curve. That happens when yields on shorter-dated securities rise above those for longer-term ones. As the curve first inverted in March 2022, the economic downturn could occur at any time.
We’ll just have to wait and see when the ruling class will decide to pull the plug, and Watling admitted it’s all about the timing.
The Endgame: Central Bank Digital Currency
“Every time you’ve had [an inversion of the treasury yield curve] in the U.S., you’ve had a recession. So, I think it’s coming, it’s on its way. It’s just a timing issue,” he was cited as saying.
Just last month, the inversion intensified, reaching negative 103.1 basis points, which represented the largest gap between shorter-dated and longer-term yields since September 1981, when the American economy was in the early months of a recession, according to a report by RT.
Watling also warned of the equity markets are going to also be hit hard once the recession hits
“They won’t come through it unscathed in our opinion. I’m not even sure about relatively. The reality is if you look at profit margins, they went to record highs in 2021 and a bit of 2022, and of course, when you have a lot of inflation around, you can get very good operating leverage so you can get record high-profit margins. When you get into recession, we’ve got to do a double hit on profit margins. You’ve got to normalize them back to normal levels and then you’ve got to price in a recession,” he explained.
Additionally, he claims that expectations for earnings are “way to optimistic” for all the indicators pointing to a deep and dark upcoming recession.
It Took 22 Years to Get to This Point
This article was originally published by Michael Snyder at The Economic Collapse Blog. When one...
The United States doubled its troop presence in Syria to 2,000 as the ruling class is determined...
This article was originally published by Lance D. Johnson at Natural News under the title:...
Commenting Policy:
Some comments on this web site are automatically moderated through our Spam protection systems. Please be patient if your comment isn’t immediately available. We’re not trying to censor you, the system just wants to make sure you’re not a robot posting random spam.
This website thrives because of its community. While we support lively debates and understand that people get excited, frustrated or angry at times, we ask that the conversation remain civil. Racism, to include any religious affiliation, will not be tolerated on this site, including the disparagement of people in the comments section.
Comments