Is China About to Trigger Another “August 2015”-type Meltdown?

Just as we predicted, the Bank of Japan has begun to lose control.

Since the November US Presidential election, the Bank of Japan has been aggressively devaluing the Yen. They are doing this to take advantage of the brief window between the election and when Trump takes office and trade deals are renegotiated.

gpc121316

As I wrote previously, this scheme will work for a while, but eventually something will “break.”

It just did.

When the Yen collapses, the $USD rises sharply. And this is a MASSIVE problem for China which has its currency pegged to the $USD.

China is the second largest economy in the world. And every day that the $USD moves higher, it puts tremendous pressure on China’s financial system.

See the below story:

China’s foreign exchange reserves fell nearly $70bn last month as the country’s central bank burnt through more of its war chest in its battle to defend the renminbi from greater depreciation on the back of accelerating capital outflows.

Source: Financial Times

If you’ll recall, it was precisely this situation that caused the market meltdown of August 2015…and January 2016.

gpc1213162

We’re set up for the another similar meltdown. Stocks are severely overbought. Everyone is super bullish. The markets are literally one giant lopsided trade waiting to implode.

THIS WILL HIT BEFORE THE END OF JANUARY.

Another Crisis is brewing… the time to prepare is now.

If you’ve yet to take action to prepare for this, we offer a FREE investment report called the Prepare and Profit From the Next Financial Crisis that outlines simple, easy to follow strategies you can use to not only protect your portfolio from it, but actually produce profits.

We made 1,000 copies available for FREE the general public.

As we write this, there are fewer than 29 left.

To pick up yours, swing by….

http://phoenixcapitalmarketing.com/Prepare1.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Research

 

 

 

 

Disclaimer: The information contained on this website is for marketing purposes only. Nothing contained in this website is intended to be, nor shall it be construed as, investment advice by Phoenix Capital Research or any of its affiliates, nor is it to be relied upon in making any investment or other decision. Neither the information nor any opinion expressed on this website constitutes and offer to buy or sell any security or instrument or participate in any particular trading strategy. The information in the newsletter is not a complete description of the securities, markets or developments discussed. Information and opinions regarding individual securities do not mean that a security is recommended or suitable for a particular investor. Prior to making any investment decision, you are advised to consult with your broker, investment advisor or other appropriate tax or financial professional to determine the suitability of any investment. 

Opinions and estimates expressed on this website constitute Phoenix Capital Research's judgment as of the date appearing on the opinion or estimate and are subject to change without notice. This information may not reflect events occurring after the date or time of publication. Phoenix Capital Research is not obligated to continue to offer information or opinions regarding any security, instrument or service. 

Information has been obtained from sources considered reliable, but its accuracy and completeness are not guaranteed. Phoenix Capital Research and its officers, directors, employees, agents and/or affiliates may have executed, or may in the future execute, transactions in any of the securities or derivatives of any securities discussed on this email. 

Past performance is not necessarily a guide to future performance and is no guarantee of future results. Securities products are not FDIC insured, are not guaranteed by any bank and involve investment risk, including possible loss of entire value. Phoenix Capital Research, OmniSans Publishing LLC and Graham Summers shall not be responsible or have any liability for investment decisions based upon, or the results obtained from, the information provided. 

Phoenix Capital Research is not responsible for the content of other websites or emails to which this one may be linked and reserves the right to remove such links. OmniSans Publishing LLC and the Phoenix Capital Research Logo are registered trademarks of Phoenix Capital Research. Phoenix Capital Management, Inc.
What Happens When the Everything Bubble Bursts?
  • By trying to corner the bond market (risk-free rate)
  • the Fed has created a bubble in everything
  • We call this THE EVERYTHING BUBBLE
  • Reserve your copy of our Executive Summary
  • To prepare for what's coming down the pike!
Your contact information will never be rented or sold to anyone EVER.