We are always trying to analyze the actions of our government and others, so that we can be better prepared to deal with our reality, which is almost impossible to imagine, less live .
We see and hear about how great the US economy is... but when we talk to executives in many large corporations, that we did business with in the past decades, that tell us that they do not see any substantive strength except in the oil and gas industry in Texas. All others claim that they are suffering from rising costs, reduced markets and overstocked inventories that are rapidly approaching "stale-dates".
So, we returned to the teaching we received while studying for a higher degree in International Banking and Extreme High Net Worth Portfolio Management. I am attaching a number of links that so definitive proof of the catastrophic or dire conditions of this economy..
If raw materials are not being moved to manufacturers, then THEY ARE NOT ABLE TO MANUFACTURE THEIR PRODUCTS. This terrible drop in shipping is proof positive of a terrible condition.
Used commercial trucks hold value like no other commodity because they are a very flexible asset that always has profit potential because it can shift from one needed product to another in hours. The price of used trucks is down 50% from last year. New prices are way up but used prices 50% down??? this does not make sense unless there is no market! HELLO!
US factory down to lowest levels since just before the Lehman bank crash. Validates the Dry Baltic Index.
Rail freight, which is the cheapest mode of transport but not convenient like truck freight, because all actions require local pick-up and delivery at a train depot IS DOWN 11.5% this year. No positive info for a thriving economy in the US.
Our opinion is the stock market is really at about 6000 all above that is fluff. Anyone in the markets should be expecting their stocks and bonds being worth 1/6 of what the phony value today.
Please research all the links below so that you can use your decrement to understand what is the truth of the US economic condition.