Barack Obama Is On Track To Be The Only President In History To Never Have A Year Of 3% GDP Growth

We just got another extremely disappointing GDP number.  It was being projected that U.S. GDP would grow by 2.5 percent during the second quarter of 2016, but instead it only grew by just 1.2 percent.  In addition, the Census Bureau announced that GDP growth for the first quarter of 2016 had been revised down from 1.1 percent to 0.8 percent.  What this means is that the U.S. economy is just barely hanging on by its fingernails from falling into a recession.   As Zero Hedge has pointed out, the “average annual growth rate during the current business cycle remains the weakest […]

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19.4 Trillion Dollars In Debt – We Have Added 1.1 Trillion Dollars A Year To The National Debt Under Obama

In 2006, U.S. Senator Barack Obama’s voice thundered across the Senate floor as he boldly declared that “increasing America’s debt weakens us domestically and internationally. Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren.”  That was one of the truest things that he ever said, but just a couple of years later he won the 2008 election and he turned his back on those principles.  As I write this article, the U.S. national debt is sitting at a grand total of $ 19,402,361,890,929.46.  But when Barack Obama first entered the White House, […]

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‘Currency Crash’ Drives British Pound To A 31 Year Low As Deutsche Bank Sinks To The Lowest Level Ever

The fallout from the Brexit vote continues to rock the European financial system.  On Wednesday, the British pound dropped to a fresh 31 year low as confidence in the currency continues to plummet.  At one point it had fallen as low as $ 1.2796 before rebounding a bit.  As I write this, it is still sitting at just $ 1.293.  Meanwhile, the problems for the biggest banks in Europe just continue to mount.  At one point on Wednesday Credit Suisse hit an all-time record low, and German banking giant Deutsche Bank closed the day at an all-time record closing low […]

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Silver: The “Five Year Plan” and the Great Leap Forward

Five years ago paper silver contracts on the COMEX hit a multi-decade high over $ 48 on April 29, 2011. At the end of April 2016 the silver price is bouncing around $ 17, down about 65% from its April 2011 high.  The low occurred at about $ 13.60 in December of last year, when paper silver prices were down about 70% from their April 2011 high. Let’s review significant prices roughly every five years back for 30 years: Date                 Low Price        High Price       Comment Dec 2015        13.60                                        Major low Apr 2011                                  48.58               Multi-decade high May 2006                                 15.20               Multi-decade high […]

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A Few Tips for Lowering Your Tax Bill This Year

I hate paying taxes, and can be something of an ideological nut job when it comes to avoiding them. In my younger days, before my wife dragged me kicking and screaming into normal, civilized behavior, I was known to subsist on rice and beans for a month or two at a time. Back then, I did just about everything I could in order to free up cash to max out my 401(k) plan, Roth IRA, HSA plan and any other tax-free savings vehicle I could get my hands on. Yes, it was Spartan. But it saved me a ton in […]

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Are You Kidding Me? Chinese Exports Plunge 25.4 Percent Compared To Last Year

We just got more evidence that global trade is absolutely imploding.  Chinese exports dropped 25.4 percent during the month of February compared to a year ago, and Chinese imports fell 13.8 percent compared to a year ago.  For Chinese exports, that was the worst decline that we have seen since 2009, and Chinese imports have now fallen for 16 months in a row on a year over year basis.  The last time we saw numbers like this, we were in the depths of the worst economic downturn since the Great Depression of the 1930s.  China accounts for more global trade […]

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2016 Market Meltdown: We Have Never Seen A Year Start Quite Like This…

We are about three weeks into 2016, and we are witnessing things that we have never seen before.  There were two emergency market shutdowns in China within the first four trading days of this year, the Dow Jones Industrial Average has never lost this many points within the first three weeks, and just yesterday we learned that global stocks had officially entered bear market territory.  Overall, more than 15 trillion dollars of global stock market wealth has been wiped out since last June.  And of course the markets are simply playing catch up with global economic reality.  The Baltic Dry […]

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20th Largest Bank In The World: 2016 Will Be A ‘Cataclysmic Year’ And ‘Investors Should Be Afraid’

The Royal Bank of Scotland is telling clients that 2016 is going to be a “cataclysmic year” and that they should “sell everything”.  This sounds like something that you might hear from The Economic Collapse Blog, but up until just recently you would have never expected to get this kind of message from one of the twenty largest banks on the entire planet.  Unfortunately, this is just another indication that a major global financial crisis has begun and that we are now entering a bear market.  The collective market value of companies listed on the S&P 500 has dropped by about […]

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Stock Market Crash 2016: This Is The Worst Start To A Year For Stocks Ever

We have never had a year start the way that 2016 has started.  In the U.S., the Dow Jones Industrial Average and the S&P 500 have both posted their worst four-day starts to a year ever.  Canadian stocks are now down 21 percent since September, and it has been an absolute bloodbath in Europe over the past four days.  Of course the primary catalyst for all of this is what has been going on in China.  There has been an emergency suspension of trading in China two times within the past four days, and nobody is quite certain what is […]

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2015: The Year No One Made Money, Unless…

In this morning’s 5 Day Forecast, Adam O’Dell, our Chief Investment Strategist, gave Boom & Bust subscribers a snapshot of what 2015 was like for stocks, bonds and commodities. The picture was ugly! So I’m going to show you too, but I’m going to let charts do the talking… Since early 2006 we’ve seen a series of major bubble tops. It started with real estate. Then it was emerging market stocks in late 2007, commodities and oil in mid-2008, gold in late 2011, Treasury bonds in mid-2012, junk bonds in mid-2013, and finally stocks in mid-2015 (although the largest cap […]

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