wealth4life,
I knew of this, but its good to see a 60 min post to back me up. Look out America and look out the rest of the world.Yes I have seen this before. Looks like we are just about to hit the second wave. Was also just reading about Japan’s huge public debts. Really scary to think what will happen the next few years.
The asian term is called a "Dead Cat Bounce"!.
I have believed this is going to happen for over 6 months.
Nothing has changed since the crash except governments pumping in $$ and more $$. I believe it is all an illusion that will come to an end when the $$ runs out.The asian term is called a "Dead Cat Bounce"!. haha
thanks for that RHS
Didn't the infamous Paul Keating use that one back in the '90's?
Thanks for sharing w4w.
Apparently even though the NINJA whitewash is abating, we (or the US at least) are in the eye of the storm as those further mortgage re-sets hits next year…… I wonde if our counciles here is Aus also invested (sic) in them as theuy packaged by the smoke and mirror merchants to be investment vehicles.
Will certainly affect the US and the flow on effect here will be with credit tightening even further. I don't see catastrophic falls here as in a double bottom, however there are market and sub markets that will shine and sour differently.
Credit availability will be the biggest issue I see affecting us here and the price and confidence of that money flow.
The big question is that, Is it going to happen or just paranoia that lead to issues such as this?
I am reading a book called The Great Depression Ahead written by Harry S Dent jr
This is going to happen also due to demographics
However this is an American book and it doesn't take into account immigration. As Australia has a larger percentage of immigration when you divide new immigrants / Total Population of the country.This is a protection factor for Australia as immigrants are usually of a child rearing age and have larger families which creates demand for property and demand for consumer goods.
However in the USA you have a much larger percentage of the population (Baby Boomers) who are retiring and selling their properties and also reducing their cost of living thus causing less demand for consumer products.Also when industry finally wakes up to itself they will find that they should have been taking on new low skilled employees over the last 5 to 10 years and training them up for when the mass retirements are going to occur from the baby boomers over the next 2 – 5 years..
So when in the future a mass training program will be required the productivity will be lower and help bring on a recession or depression.
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