Chile Reports A Collapse In Demand For Copper - Its Primary Export

We highlighted Chile as a proxy for globalization last year. Chile is a gargantuan supplier of copper to the global economy. Now Chile has reported demand for copper has fallen 47% although demand has improved in the last month. All of the data coming out in recent months proves one simple point. Central banks are trying desperately to reflate the global economy. In other words, banks are shoving asset prices in conjunction with government stimulus in an attempt to recreate underlying demand through the perceived return of wealth. Alan Greenspan wrote constructively of rising asset prices creating wealth per se some months ago and we criticized it on here as Ponzi economics that will fail.

So, curiously, has anyone wondered what is driving supposed economic growth in the global economy if demand for commodities has fallen so substantially? It's a trick question. The answer is obviously debt generally for the sake of debt as opposed to providing any sustainable economic vibrancy. Paper, scissors, rock. Game over. Central bankers and politicians lose. Volatility wins.