Global Financial collapse

[Finnster]

Originally Posted by Obeast44

They supply the world with the majority of its products.If the majority of the world doesnt have the money to buy said products, what will the Chinese sell?

They could help a lot and start buying from themselves. China will prob come down one day, no idea when. I do know they are starting to experience some pretty severe inflation as a consequence of their currency manipulation schemes.There is an unnatural imbalance that can't last forever.
Also, the Chinese workers will only tolerate being the world's workshop for so long until they demand a fair share of the things they produce. Sounds like things are starting to happen, but prob a slower process than many would like. If they got some money and starting buying goods from abroad that would be great.

I don't like what is going on right now, and thankfully I took advtange to sell out most of my positions in the July rally here. Since 2009 I've been very heavy in stocks w/ good results, but now almost all cash trying to figure out what to do next.

I'm pretty disappointed in the leadership we have, such as it is. All the focus is on debt and everyone has forgotten about job creation. As if solving the former will somehow fix the ladder. No one has a coherent explanation of how that would work, and all historical examples and economic models which show how "expansionary austerity" falls flat on its face, but that seems the driving mentality now.

I'm trying to stay a bit more upbeat about the US. We have plenty of options to act, but simply political paralysis, mistrust and fear to do it. That can change.

Europe tho, esp the Eurozone, seems in for a world of hurt. Strangely, its a policy direction some on the hard right want us to follow, but I don't think they are really aware thats the implication they are making. Since our president doesn't ever actually take a firm position on anything, I have no idea what he is doing.