Financial, Economic and Social Mood Update (November 1, 2022)
Financial, Economic and Social Mood Update (November 1, 2022) The entire world is now in the midst of an unprecedented societal collapse in which all asset classes are moving in the same direction except for cash, which currently loses its purchasing power due to inflation. By the time things hit bottom, human society will have to be rebuilt from the ground up in the most marked way since the Great Flood documented in the Old Testament. The overall stock market had lost 41 percent of its record nominal value as of October 13, 2022 since values peaked from November 2021 to January 2022 depending upon the particular index or financial asset class, thus equaling the net loss in the stock market during the crash from January 2000 to October 2002 (33 months). The most recent prior stock market crash took place from October 2007 to March 2009 (17 months) when the asset market lost 63 percent of its value. This time around, the eventual cumulative loss will be much more severe. What we are witnessing in real time right now is a bear market rally – a deceptive “fool’s rally.” How lackluster has the performance of precious metals been? Let's look at gold, which is the major precious metal = it has lost 0.42 percent in the past week, 1.03 percent in the past one month, 8.05 percent in past 3 months, and a whopping 39.0 percent in the past 28 months. What does this show? The stock market, the currency market, the crypto market and the precious metals markets are all very strongly correlated to move in the same direction over the same period of time. In a deflationary collapse, only CASH will be king. Nicholas Gerli of Reventure Consulting (this channel is on YouTube) is forecasting an interest…