In this video, we are going to take a look into how the United States got to this point, the catalysts behind the protests now being publicized around the world, and the ways in which these cases of civil unrest point to the coming martial law in America. While Americans seem to be reacting to a particular topic and particular event, what we are really seeing is an overall expression of anger and frustration with the country at large. A new great depression, catastrophic job loss, extended stay at home orders, and widespread financial instability are just a few of the major issues now facing US citizens.
There is no doubt that we’re all living difficult times. Uncertainty and insecurity have been a constant in our lives, and while the situation is getting worse to millions of Americans, the stock market has been hitting record highs and it seems to be still profiting during this storm. Every week, we have been reporting how the unemployment rates are sky-rocketing, but this time we’re going to be graphical about it, with updated data for you to clearly understand the dimension of this downfall.
Our goal here is not to make you lose your expectations about recovering from this crash, but to give you a realistic perception of the situation. We want to report you what the mainstream media is failing to share, whether because they want to give their version of the truth or because they’re hiding the real numbers and projections. The main point is to question ourselves: “why with over 30 million job losses and a crash in our economy, the Wall Street is still managing to ascend through a crisis that is literally tearing people’s lives?” or, in a shorter note: “to whom this crisis was created for?”
On the 20th of April of 2020, at around 2pm, something historic happened: WTI, short for West Texas Intermediate, crude oil futures traded at negative prices for the first time ever. From there, everything went downhill, and oil prices reached the impressive mark of negative $37.63 a barrel, which translates to a 300% crash. For perspective, this means that if you had bought the oil contract which traded at that price, you would have been paid $37,630, as the contract entailed the sale of a thousand barrels of crude. However, as expert Neil Irwin pointed out, “that is about five tanker trucks’ worth, so any joke about storing the oil in your basement will have to remain just that”.
The immediate reaction by many economics commentators to this bizarre event was to simply shrug it off as price adjustments to the collapsed demand for oil. Some also blamed it on lack of storage at the Cushing, Oklahoma delivery point. While this certainly isn’t false, it is a very simplistic way of looking at a complex market with many strong players. American and Saudi elites, in particular, have very significant stakes in oil production and market manipulation has become, over the years, a normal practice. In fact, meddling by powerful oil players is probably why most media outlets have not been very helpful in their reporting of the oil price crash. So, let’s take a serious look at what’s been happening in the oil market for the past few months, shall we?
The current situation has been taking a toll on financial institutions the world over. As the economy grounds to a halt, so do many of the daily transactions that keep money moving and ensure the balance of financial markets. As companies start massive layoff programs and furlough their employees, liquidity demand is rising to levels similar to those of long-forgotten bank rushes. In a bid to prevent widespread commercial bank failures and worldwide financial collapse, Central Banks are extending their liquidity facilities and slashing official interest rates. While this does help commercial banks with meeting their immediate needs for cash, it is nothing short of financial Armageddon for investment banks. However, because so many commercial and investment banks are intertwined, policy makers are faced with a situation where, no matter their decision, it will have a negative impact across the board. Whatever Central Banks do, or even if they do nothing at all, dire consequences will follow. In this scenario, their priority becomes damage control, as they try to choose the least harmful options in search of an appropriate balance. What would you do if you were a decision maker? Would you provide cash to hold off the collapse of commercial banks, or would you try to constrain money supply to save investment banks and financial markets?
The whole world is going through very difficult economic times. Supply chains are being disrupted and entire economies are collapsing all over the world. The United States has the largest economy in the world but also it has not been spared by this global economic meltdown. The US economy has also been shut down at this moment we are at the verge of a total collapse.
If the US economy remains shut for the next 2-3 months, we will witness a historic number of layoffs that has not been experienced for many decades. What has already happened so far is difficult to believe. It is just last week when the department of labor announced that more than 3.3 million Americans had already lost their jobs and they were filing for unemployment benefits across various states. This is more than four times compared to the last all time unemployment claims. Things are getting worse every passing day and this week experts are warning that the number of unemployed people will continue surging as more companies and businesses shut down their operations. This will be the most challenging time for the United States economically because this level of unemployment was lastly seen during the great depression back in the 1930s.
The United States is going through a very big health crisis and the whole economy has been severely hit. The outlook of the US economy does not look impressive and now economists are predicting that the US economy might plunge into an economic crisis. We have had a historic economic expansion for the last 10 years and this has come to an end because of the current global economic meltdown and panic. The hit on the American economy has been so big and now this is being reflected in the real GDP, employment, consumer consumption and in the industrial production. It is projected that the united states GDP will falter in the first quarter of the year and probably throughout the year. Firms like the Deutsche Bank, JPMorgan, Goldman Sachs and the Bank of America all expecting the US economy to have the worst year in many decades. If the health crisis continues, we will end up in an economic crisis that will be bigger than what we had in 2008. Right now many companies are suspending their operations and this is being reflected in the labor market where the jobless claims are skyrocketing every day.
For the last two months, we have been going through a global health problem and an economic crisis at the same time. many people alive today have never seen anything like this because right now many economies are coming to an halt and what is materializing in our eyes will be bigger than the great depression. This will end up being the most severe economic collapse in the history of the world. The stock market is already crashing at a pace that has not been seen in recent years. This has been so severe to a point where trading had to be halted several times in the last two weeks. The real estate industry is also at the verge of collapsing and this time it the crash will be bigger than what we had back in the 2008 financial meltdown. At the same time millions of Americans are losing their jobs and when all this is factored into the current economic turmoil, we have a perfect economic bomb that is about to blow up in our faces. This is just the beginning of another great depression!
For many decades, our economy has been debt dependent and this has created the biggest bubble in history. Stock market, education, banking and housing are all big bubbles that have been inflated for many years. However, these bubbles in the American economy have just begun bursting and this global panic is the pin that is popping the bubbles.
The Federal Reserve has created an economy where we have the biggest bubble in history and the current economic crisis is just the beginning. More air will come out of the bubble and a lot of damage will be done to our bloated economy.
The current move by the Trump’s administration to send cash to all Americans will be disastrous to the economy. This is like dropping money from a helicopter. It doesn’t help but instead this will cause extremely high levels of inflation and prices for basic products will just skyrocket in a short time. Pumping more money to the economy does not add any value; we need real product not just paper.
The stock market crash has already begun and economists are predicting that there will be a 40 percent collapse from the all time highs. We are expecting the market to crash further and in the process trillions of dollars will be lost from the stock market. At the same time, the bond market is also headed to the same direction as the stock market. In the last 5 weeks, more than $25 trillion of ‘paper’ wealth has been lost from the markets and this has wiped the gains we have had for the last 3 years.
The US economy is going through tough economic times and right now we have an economic crisis and a depression might be coming very soon. We have the biggest economic meltdown in history despite the Federal Reserve’s efforts to try and boost the slowing economy. The financial markets are already plummeting and the stock market has lost trillions of dollars in just a few weeks and experts are warning that this market crash will continue for a foreseeable future.