Thursday, May 9

Reason for another recession in USA

US Stock market are life time High and but on economic indicators are warning USA is heading for another recession.
So why do U.S. stocks continue to skyrocket? As per History Stock market in intial stage ignore the reality and keep pushing yp with so much liquidity around pumped by Fed and ECB.   Unfortunately, as we have seen so many times in the past, when stocks do catch up with reality they tend to do so very rapidly.  So you better put on your seatbelts because a crash is coming at some point.
Lets discuss the reason which are giving inkling another recession is coming.
1. The price of copper has traditionally been one of the very best indicators of the future performance of the U.S. economy.  The fact that it is down nearly 20 percent so far this year shows manufacturing activity is slowing down.
2. Retail sales of clothing is growing..

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