Tag Archive for 2015 financial collapse

Largest Stock Losses In History

Peter Schiff: Largest Stock Losses and Largest Gains in History in 1 Week Adding to Chaos

Source: Before It’s News

After the worst performance in four years, Peter Schiff was quick to give his thoughts on the last two weeks and what that means. First, Peter Schiff Commented On the 2 Day Stock Market Crash That Was Larger Than Any 1 Day Stock Market Crash In U.S. History. That was then followed by the best three day rally in history, followed THEN by the largest single day drop in history this past Monday dropping over 1000 points, but eventually recovering most of it before the day’s close. As Peter explains, much of what is fueling all this skepticism is the Feds constant hints it might raise rates in September. 

DOES ANYONE REALLY BELIEVE THAT?

IN A LOGICAL WORLD PERHAPS THEY COULD, BUT OUR ECONOMY IS SO FRAGILE, WHICH EVEN THE HINT OF RAISING RATES, IT GAVE US THE LAST TWO WEEKS OF CHAOS… THERE IS NO CHANCE… NONE… THEY RAISE RATES…

Between the Fed’s continual reliance on acting like they believe the unemployment numbers when they know damn well the numbers are TOTALLY COOKED, the LIES coming from the politicians, and now even CNN jumping in on the contest to who can grow the biggest Pinocchio nose to continue this FAKE rally, it just makes the crash that much worse not if, but WHEN it comes. 

Michael Snyder of the Economic Collapse Blog Writes:

On Wednesday we witnessed the third largest single day point gain for the Dow Jones Industrial Average ever.  That sounds like great news until you realize that the two largest were in October 2008 – right in the middle of the last financial crisis.  This is a perfect example of what I wrote about yesterday.  Every time the market crashes, there are huge up days, huge down days and giant waves of market momentum.  Even though the Dow was up 619 points on Wednesday, overall we are still down more than 2,000 points from the peak of the market.  During the weeks and months to come, we are going to see many more wild market swings, but the overall direction of the market will be down.

Sadly, the mainstream media is still peddling the lie that everything is going to be just fine.  So millions upon and millions of Americans are just going to sit there while their investments get wiped out.  In the six trading days leading up to Wednesday, Americans lost a staggering 2.1 trillion dollars as stocks plunged, and the truth is that this nightmare is only just beginning.

Early on Wednesday morning, CNN published an article entitled “Why U.S. stocks aren’t headed for a crash“.  I had to laugh when I saw that headline.  If CNN is going to make this kind of a claim, they better have something very solid to base it on.  But instead, these are the five reasons we were given for why the stock market is not going to collapse…

1. “The U.S. economy isn’t on the verge of a recession.”

This is exactly what all of the “experts” told us back in 2007 and 2008 too.  In America today, the homeownership rate is at a 48 year low, 46 million Americans go to food banks, and economic growth has slowed to a standstill (and that is if you actually buy the highly manipulated official numbers).  The truth, of course, is that things continue to progressively get worse as our long-term economic decline continues to unfold.  For much more on this, please see my previous article entitled “12 Ways The Economy Is Already In Worse Shape Than It Was During The Depths Of The Last Recession“.

2. “China’s effect on U.S. is limited.”

Really? Go to just about any major retail store and start reading labels.  You will likely find far more things that were “made in China” than you will American-made products.  The global economy is more interconnected than ever before, and the Chinese stock market is the second largest on the entire planet.  Of course what is happening in China is going to affect us.

3. “American businesses are doing pretty well (outside of energy).”

Actually, they were doing pretty well for a while, but now things are turning.  Many large corporations are reporting declining orders, declining revenues and declining profits.  Unsold inventories are beginning to pile up and the pace of layoffs is starting to increase.  All of the things that we would expect to see just prior to another recession are happening.

4. “The Federal Reserve sounds cautious.”

This is laughable.  Ultimately, it isn’t going to matter much at all whether the Federal Reserve barely raises rates or not.  The era of “central bank omnipotence” is at an end.  Just look at what is happening over in Europe.  All of the quantitative easing that the ECB has been doing has not kept their markets from crashing in recent days.  Those that believe that the Federal Reserve can somehow miraculously keep the stock market from crashing this time around are going to end up deeply, deeply disappointed.

5. “Stock prices aren’t crazy high anymore.”

There is some truth to this last point.  Instead of stock prices being really, really, really crazy now they are just really, really crazy.  But as I have pointed out in many previous articles, the technical indicators are very clearly telling us that U.S. stocks still have a long, long way to go down.

But let’s hope that CNN is actually right – at least in the short-term.

Let’s hope that markets settle down and that things stabilize for at least a few weeks.

In order for that to happen, markets need to become a lot less volatile than they are right now.  The rollercoaster ride that we have been on in recent days has been extraordinary

The Dow traveled another 1,600 points during Tuesday’s trading session, adding to the 4,900 points the index traveled in down and up moves on Monday.

Markets tend to go up slowly and steadily when things are calm, and they tend to go down rapidly when things are volatile.

If you are rooting for a return of the bull market, you should be hoping for nice, boring trading days where the Dow goes up by about 100 points or so.  Wild swings like we have seen on Friday, Monday, Tuesday and Wednesday are very strong indicators that we have entered a bear market.

What we have been witnessing over the past week is almost unprecedented.  Just check out this piece of analysis from Bloomberg

By one metric, investors would have to go back 75 years to find the last time the S&P 500’s losses were this abrupt.

Bespoke Investment Group observed that the S&P 500 has closed more than four standard deviations below its 50-day moving average for the third consecutive session. That’s only the second time this has happened in the history of the index.

Of course after such a dramatic plunge it was inevitable that we were going to have a “bounce back day” where there was lots of panic buying.  Initially it looked like it would be Tuesday, but it turned out to be Wednesday instead.

But if you think that the big gain on Wednesday somehow means that the crisis is “over”, you are going to be sorely mistaken.

Personally, I am hoping that we at least see a bit of a pause in the action, but there is absolutely no guarantee that we will even get that.

As the markets have been flying around, more and more Americans are becoming curious about the potential for a full-blown stock market crash.  The following comes from Business Insider

This one’s pretty easy: according to Google search trends, more Americans are searching for “stock market crash” now that at any point since the last crash.

Right now, search traffic for the term “stock market crash” is hitting about 70% of the most volume this term has ever gotten through Google search.

And so while this data doesn’t convey absolute search volume for the term, we do know that Americans appear to be looking for information about a stock market crash at the highest level in about 7 years.

Very interesting.

In addition, Americans are also becoming more pessimistic about the overall economy.  According to Gallup, the level of confidence that Americans have about the future performance of the U.S. economy is the lowest that it has been in about a year.

And remember – it isn’t just U.S. markets that are starting to go crazy.  All over the planet stocks are crashing and recessions are starting.  In fact, I can’t remember a time when there has been this much economic chaos erupting all over the world all at once.

So can the U.S. resist the overall trend and pull out of this market crash?

Financial System Out Of Control, Imminent Bank Runs?

Condition Red: The Financial System Is Now Out Of Control

Srsroccoreport.com

The global financial system is now getting out of control.  While the clowns on the financial networks continue to regurgitate the same bullish propaganda, “that everything will be fine”, quite the opposite is the case.  The system is so broken and the leverage propping it up is so extreme, the result will be the largest financial and economic calamity the world has ever seen.

After the Asian markets received a financial enema Sunday night as the Hang Seng fell more than 1,200 points and the Nikkei nearly 950 points (at their lows), the Dow Jones experienced one of the strangest trading days ever.  Of course, the Dow Jones suffered large single-day losses before, but never the sort of volatility as it experienced this Monday, August 24th.

I would imagine this type of volatility can be explained by the HFT – High Frequency Traders that have now taken over the majority of trading in the markets.  This type of stock market insanity wouldn’t have taken place 10 years ago as the system still had a great deal of retail traders.  Thus, human retail trading activity would move slower and take more time in mulling over information.

The Dow Jones moved over 4,500 points (up & down) on Monday.  This should be a warning to investors that serious dislocations in the market are coming.

U.S. Bank Runs On The Horizon??

Sean states in the video (here) that it took 10 minutes for the bank teller to come back with the total $5,000.  She replied by apologizing that it took so long, but for some strange reason there were a lot of people taking out large sums of money over the past few days.  Now, the question is, “What motivated people to take out large sums of money on Thursday and Friday?  Could it have been the nearly 900 point drop in the Dow Jones over those two days??

So, what happens when the markets really tank?  Or, when will the banks put restrictions on how much cash depositors can withdraw in a single day or week?  Folks, that time is coming.  Again, the warning signs are all over the place.

I contacted a few dealers to see what was going on in the retail end of the market.  Here was their reply:

Money Metals Exchange:

Demand for silver is outstripping the ability of Mints and refiners ability to supply, and unfortunately the recent sell-off in stock markets is compounding the problem. Demand spiked in late June when investors began worrying about events in Greece and the collapse in Chinese equities began. Now we’re seeing another wave of buying based on the turmoil here at home. On top of it all has been additional demand from bargain hunters taking advantage of lower spot prices.
The Royal Canadian Mintiscurrently furthest behind. They announced significant production issues a couple of weeks ago and we stopped taking new orders for Maple Leafs, given we won’t make delivery promises to customers we aren’t confident we can keep. Supply of silver American Eagles isn’t in much better shape. This week’s dealer allocations came in way belowwhatwas anticipated based ontheprior week so lead times for delivery moved out once again.

Given the higher premiums and delays on sovereign coins, pressure is ramping on private mints and refiners who produce rounds and bars. It is going to be very interesting to see how this plays out over the next few months.

Global Meltdown Begins With Greece

It is not only Greece that has run out of money, lots of other European nations are to follow because they are all caught in the deliberate debt slavery where these nations are owned by the evil central banks. It was a matter in inevitability, and it is also inevitable that every nation on this world will eventually fall into debt slavery to the central banks. That is why all debt is about to be erased, forgiven, so as to free the planet from the cabalists who planned all of this. But in the meantime, it is all going to fall apart. Banks are not safe, get your money out of banks now.

I like how Gregory Mannarino sums it up below…

Gregory Mannarino Warning! Contagion, Financial Meltdown, Global Economic Collapse Now!

MUST READ ARTICLE! “The world is now staring into an economic abyss unlike anything ever seen in history, and a global economic meltdown truly epic in scale.”

Global debt saturation has indeed hit critical mass.

In a very surprising turn of events, every last ditch effort to thwart a Greek financial/economic meltdown has failed. With no real solution even possible, it appears that the end is here as the gargantuan global debt bubble has topped out.

The issue here is not a just Greek problem but an insurmountable, unfixable debt bubble which has the entire world and every single developed nation in it’s hideous grip. As this debt Frankenstein begins to manifest itself, the peoples of the world are going to get a horrific dose of reality.

If now is in fact the time when this entire financial scheme of unsound money ends, the entire global landscape including a mass “correction” in human population is at hand. Click here: Global Debt And The Human Bubble.

World central banks have fostered, created, and allowed to manifest a malignant threat to every human being on this planet by inflating a financial debt bubble which is the greatest threat to human life bar none.