Don’t Buy The Media Terrorism And Histrionics That Market Weakness Is Because Of S&P’s U.S. Downgrade

Don’t let any of the ideologues fool you.  This recent financial market weakness has absolutely nothing to do with S&P’s downgrade of the U.S.   Z-E-R-O.  Treasury rates just hit a new record low this morning and the U.S. dollar is rising and has been putting in a longer term bottom for years.   They are both doing exactly the opposite of what S&P’s downgrade would expect them to do.   That is, if S&P were actually a competent organization.  But the reality is S&P is irrelevant and useless.  Our economic future will not be determined by S&P, I can completely assure you that. 

Contrarily, activity in financial markets is consistent with the end of globalization and global finance – a position we have uniquely written was coming for years.   What we are witnessing today is that global finance is teetering on the precipice.  That means many of our long term projections are heating up again.  Any entities (illegitimate states like Saudi Arabia, Egypt, China etc; U.S. national political hegemony, multinational corporations, bureaucracies, the investor class, etc) whose vitality is tied to globalization are in big, big trouble.   We coined this cycle the end of big.  Guess what?  That means the S&P 500.   The S&P is selling off because the globalization-induced earnings bubble is again going to pop.  We said it was going to pop before the 2008 collapse and I’m saying it’s going to pop again. 

If you work in the financial bubble, especially in the U.S., you had better pray or get out your Ouija board because a house cleaning in the financial industry jobs market is coming; something else that is part of our many long term projections.  

Back in 2006 at the height of the insanity we wrote that people have been plowing into financial jobs like there is no tomorrow.  We also wrote that year that all of the global wealth created since 2000 could all disappear before this cycle is over.  Globalization is a myth based on junk science.  Or, as it pertains to politicians and their involvement in creating this monster, no science.  Because most politicians don’t know shit from shinola about science.  That includes the Dummycrats as well.  I just had to put that in there since most of them claim Republicans are the anti-science Luddites.  The Dummycrats are just as bad if not worse because they arrogantly claim to understand many complex scientific and economic topics they really don’t know the first thing about.   In other words, there’s nothing more harmful to our economy than educated idiots who are self-proclaimed experts.  Going to Harvard doesn’t mean you know anything about science.  If you did, you’d fix this economic monster based completely on junk science.  All in due time.