Historically the relationship between the US dollar and CRB index is one of inverse. Meaning when one goes up, the other goes down.
Since January, CRB index has risen 34%. That means the price of your goods like fuel and food have gone up generally in that range.
The dollar index is rapidly rising as the FED raises rates and cuts back QE (printing). This is a bid to slow inflation but as prices soar and continue to soar regardless of the dollars value against other currencies, it's too little too late.
What does this result in?
As the dollar increases against other currencies, the cost of commodities in those currencies moves up. Raw materials should move down in prices. However, that's not what is happening now. We are seeing an increase in prices as the dollar moves up. This is going to result in further increase in costs from sugar to copper.
The stock market is simultaneously sitting on a razors edge.
So...ready for a crash soon? I'm clueless on this kind of thing, so your explanation actually helps quite a bit. I've heard people on here saying a crash has to happen for real change to occur. Are you of that same mindset?
The financial crash is absolutely coming. The cost of food and fuel is going to soar and there will be shortages in several goods that we consume. Fuel prices will become unbearable unless domestic production and consumption ramps up.
Yes, I do believe a terrible crash needs to occur for normies to pop out of their bubble.
The FED is pretending it can stop inflation or rather reduce it by cutting QE and raising rates but it's too late.
Real inflation (what it costs you to live) is near 18%-20% while the government says it's around 8% which is a massive lie.
Consumer debt is at ATH (all time high) as you can see here:
Mortgage Backed Securities (assets that pool mortgages and loans) are now near all time lows. This is the stuff banks live off (Mortgages, refinancing etc) and as the FED raises rates, consumers do not want to take out loans especially as the cost of living rises.
The housing market is still red hot but not as hot as last year. Prices continue to increase while wages continue to decrease (don't let anyone convince you wages have increased. They haven't. When you consider inflation, the value of each wage increase is negative as inflation rises faster and faster comparatively).
These are just some of the problems.
Yes, it's going to collapse and yes, normies need it.
Great response. We're prepped and ready over here because I've been watching and listening even if I don't always understand the why around it. Thanks again!
No this is far worse than 2008. What's happening in the chart has never happened before. it has always been an inverse relationship. Inflation is so bad right now that even a strong dollar cannot compete with price increases.
I'm not even sure the GD matches this one. When the crash happens, it will be incomparable. And frankly that is required to usher in a Great Reset.
In some places yea. In others, no. It's going to depend on local resources.
Places like Montana if they begin pumping oil again will have cheap fuel. Same with Texas. But the cost of meat and produce will go up because these places won't be able to sell them to external markets as easily. Also, local employment will be a factor. Restaurants who serve some exotic food from outside of their local area will inevitably have to change their menu or begin lay offs leading to potential bankruptcy. It's a complicated chain.
These are of course just a few examples. The real effect will be much, much worse.
So some places will get hit very bad. Others will be alright.
If you're in NY City for example, it's gonna be terrible. Packed population with massive imports for damn near everything and little local production (not nearly enough to feed 8M people) compounded by government taxes and red tape for everything.
Completely nuts. I am watching the open interest levels on the metals markets. Its still within normal range but the July contracts look like they might ‘bloom’. When that time comes, know with 100% certainty the rollovers wont happen. Backwardation will signal the Vesuvius level eruption in prices stackers have been waiting for. COMEX traders jumping out of windows type shit.
That makes perfect sense if you take into consideration what futures traders anticipate for fuel prices come summer time. Also, there should be another 2 fed rate raises between now and then.
The premium on silver is going to explode even higher. I've been stacking for years in anticipation of such events.
Bro … Its been overt fraud since 2009. Always had SOME fukery, but not overt. That linear channel in the equities markets … not a free market. Not even close. I THINK the fed has been buying equities thru blackrok and vangard on the way way down low.
I've been telling my husband that the market needed to collapse before Trump can come back. A big "I told you so". If that happens, at least there is a silver lining. But it will be hard times for us and many of our neighbors in the meantime.
What is the CRB index?- It tracks these commodity prices-
Aluminum, Cocoa, Coffee, Copper, Corn, Cotton, Crude Oil, Gold, Heating Oil, Lean Hogs, Live Cattle, Natural Gas, Nickel, Orange Juice, RBOB Gasoline, Silver, Soybeans, Sugar and Wheat
Historically the relationship between the US dollar and CRB index is one of inverse. Meaning when one goes up, the other goes down.
Since January, CRB index has risen 34%. That means the price of your goods like fuel and food have gone up generally in that range.
The dollar index is rapidly rising as the FED raises rates and cuts back QE (printing). This is a bid to slow inflation but as prices soar and continue to soar regardless of the dollars value against other currencies, it's too little too late.
What does this result in?
As the dollar increases against other currencies, the cost of commodities in those currencies moves up. Raw materials should move down in prices. However, that's not what is happening now. We are seeing an increase in prices as the dollar moves up. This is going to result in further increase in costs from sugar to copper.
The stock market is simultaneously sitting on a razors edge.
Get yourselves ready we are on the CUSP
So...ready for a crash soon? I'm clueless on this kind of thing, so your explanation actually helps quite a bit. I've heard people on here saying a crash has to happen for real change to occur. Are you of that same mindset?
The financial crash is absolutely coming. The cost of food and fuel is going to soar and there will be shortages in several goods that we consume. Fuel prices will become unbearable unless domestic production and consumption ramps up.
Yes, I do believe a terrible crash needs to occur for normies to pop out of their bubble.
The FED is pretending it can stop inflation or rather reduce it by cutting QE and raising rates but it's too late.
Real inflation (what it costs you to live) is near 18%-20% while the government says it's around 8% which is a massive lie.
Consumer debt is at ATH (all time high) as you can see here:
https://fred.stlouisfed.org/series/TOTALSL
Mortgage Backed Securities (assets that pool mortgages and loans) are now near all time lows. This is the stuff banks live off (Mortgages, refinancing etc) and as the FED raises rates, consumers do not want to take out loans especially as the cost of living rises.
The housing market is still red hot but not as hot as last year. Prices continue to increase while wages continue to decrease (don't let anyone convince you wages have increased. They haven't. When you consider inflation, the value of each wage increase is negative as inflation rises faster and faster comparatively).
These are just some of the problems.
Yes, it's going to collapse and yes, normies need it.
Great response. We're prepped and ready over here because I've been watching and listening even if I don't always understand the why around it. Thanks again!
You're welcome, fren! Glad you are prepared.
My read - They are unable to suppress inflation any more
Precisely.
Honest question here - what happens if it crashes? Are we looking at a 2008 type scenario, or Great Depression type event?
No this is far worse than 2008. What's happening in the chart has never happened before. it has always been an inverse relationship. Inflation is so bad right now that even a strong dollar cannot compete with price increases.
I'm not even sure the GD matches this one. When the crash happens, it will be incomparable. And frankly that is required to usher in a Great Reset.
So this is all according to plan.
Ok, so are we talking about breadlines and other stuff we've read about?
In some places yea. In others, no. It's going to depend on local resources.
Places like Montana if they begin pumping oil again will have cheap fuel. Same with Texas. But the cost of meat and produce will go up because these places won't be able to sell them to external markets as easily. Also, local employment will be a factor. Restaurants who serve some exotic food from outside of their local area will inevitably have to change their menu or begin lay offs leading to potential bankruptcy. It's a complicated chain.
These are of course just a few examples. The real effect will be much, much worse.
So some places will get hit very bad. Others will be alright.
If you're in NY City for example, it's gonna be terrible. Packed population with massive imports for damn near everything and little local production (not nearly enough to feed 8M people) compounded by government taxes and red tape for everything.
Cities … go back and watch the ORIGINAL Escape from New York With Kurt Russel. No longer fiction … more like a spoiler alert.
WAY WAY worse. In 2008 the Fed/Treasury had ‘bailout’ levers. Those days are fuking long gone.
SPX and DOW lose EASILY 35-40% by EOY. Probably way more than that.
STELLAR STELLAR STELLAR POST!!!
I wish I could upvote the shit out of this. This is VERY VERY INDICATIVE.
haha glad you enjoyed it, fren. I'm also glad there is someone else watching the markets because they are insane right now.
Completely nuts. I am watching the open interest levels on the metals markets. Its still within normal range but the July contracts look like they might ‘bloom’. When that time comes, know with 100% certainty the rollovers wont happen. Backwardation will signal the Vesuvius level eruption in prices stackers have been waiting for. COMEX traders jumping out of windows type shit.
That makes perfect sense if you take into consideration what futures traders anticipate for fuel prices come summer time. Also, there should be another 2 fed rate raises between now and then.
The premium on silver is going to explode even higher. I've been stacking for years in anticipation of such events.
What does this mean?
Some fucky
I just posted the explanation under it lol
It means u need to buy 5 deep freezers and fill that shit with chicken, beef, and silver. 😂😂😂
Is this fraud?
Does fraud vitiate everything?
This is what happens when a corrupt government entity is allowed to destroy a nations currency.
We haven't even really started the "recession" yet.
Dude … how have we not tag teamed this before.
Probably cause there are few anons who watch the markets lol
LOL. Yep.
I’m out of the stock market completely however I still keep an eye on them ...thank you for this I haven’t looked at this in a long time.
Yes, sir!
Bro … Its been overt fraud since 2009. Always had SOME fukery, but not overt. That linear channel in the equities markets … not a free market. Not even close. I THINK the fed has been buying equities thru blackrok and vangard on the way way down low.
Are you participating in the fraud?
We are all participating in the fraud. Most just have no clue.
Is there any way to not participate in the fraud? Are we all trapped in it? Must we participate?
Yes.
I've been telling my husband that the market needed to collapse before Trump can come back. A big "I told you so". If that happens, at least there is a silver lining. But it will be hard times for us and many of our neighbors in the meantime.