The perfect storm is getting closer and closer. What we have seen in the major equity markets recently is a just a whiff of whats ahead. I have shown this chart below on many occasions, and what it shows is that credit and debt markets are the biggest bubble perhaps in human history, shown by the SGR basing here, not able to get off the floor, and $SPX having had a parabolic rise over the last 6 years, since 2012, when it diverged from SGR.
Interest rates coming off 5000 years lows, where fiat money and debt are one and the same. Equal outcomes. Read the “Gulag Archipelago” to see the end result of equal outcomes.
Do not believe the narrative. Things are dysfunctional in the markets. The markets are a reflection of society, and the dysfunction is clear. This chart will have the final say, it will mean revert.
The perfect storm.