Phoenix Capital Research

I keep hearing that whenever “stocks are rising” it’s a good thing.

I completely disagree. If a market move is warranted by earnings and fundamentals, then yes, a sharp move higher is great. But if the market is rallying based on false hopes, or even worse, is in a bubble, then it’s actually very bad for stocks to move higher because it means the ensuing collapse will be even more violent (a la 2000 and 2008).

With that in mind, this market has essentially moved up almost non-stop since December 2012. This entire move has occurred against worsening economic fundamentals.

While the cheerleaders on TV applaud this move, it’s important to consider the “big picture” for the economy and market as a whole. Here’s the big picture:

1)   Earnings, the primary driver or prices, are falling. If you exclude financials earnings for the last quarter, earnings are down 2.9% year over year.

2)   Economic activity, the other driver of stock prices, has fallen too, leaving stocks diverging sharply to the upside.

3)   The “smart” money is fleeing the market en masse (institutions, wealthy private investors, etc.).

4)   The problems in Europe have not gone away. They’ve been shuffled under the carpet until Germany’s elections. But Spain, Portugal, and even Italy are rapidly descending into financial chaos and insolvency.

5)   Japan massive experiment with monetary policy is proving to be a disaster with industrial production falling while costs of living are rising. Japan is skirting on the verge of financial collapse.

6)   China is experiencing a hard landing, if not economic crash. If you look at their electricity consumption their GDP growth is barely 2.9%. Yet the entire world continues to believe the People’s Republic will produce 7% growth ad infinitum. Good luck with that.

Folks, there is no other way to put this… the markets are in a massive bubble. And when it bursts, things will get ugly very FAST.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in ELEVEN winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

The financial world is abuzz with the unexpected jump higher in our manufacturing and non-ISM(s). The world seems to think these two jumps are the result of the US economy suddenly getting back on track.

The whole thing smacks of political games. Is it really coincidence that the scandal-ridden Obama administration suddenly decided to focus on the economy (again) and the official economic data starts improving the next week?

Or is this an attempt to draw attention from the fact that even the mainstream financial media has caught on that the US’s employment, GDP, and inflation numbers are a joke (hence the sudden importance of ISM and non-manufacturing ISM data)?

Regardless, we cannot help but wonder where this incredible growth is occurring. Most of the growth in corporate profits over the last year have come from financials which are notorious for generating “earnings” through various accounting gimmicks.

Indeed, when you remove financials from the picture, earnings for the S&P 500 are DOWN 2.9% for the second quarter of 2013. We also see that when you remove the Fed’s absurd GDP “deflator” (the way in which it accounts for inflation in its GDP numbers) that the US is clearly back in recession.

So, somehow the US economy is roaring back in a big way? Hard to see. Over 70% of the economy is consumer spending. And spending is driven by incomes. And incomes are… falling.

What could go wrong?

The Great Crisis, the one to which 2008 was just a warm up, is approaching. The time to prepare for it is BEFORE the US stock market bubble bursts.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

Traders shot for and managed to hit 1,700 on the S&P 500. At this point, there is no real reason for this other than trader games (start of the month buying).

The rising wedge pattern we’ve been tracking is essentially complete. This final jump in the S&P 500 has been a bounce from the upper trendline. But by the look of things, this is likely the final push.

The biggest driver of equity prices is corporate earnings. The only real reason stocks are moving up is based on the belief that the US economy is about to coming roaring back and corporate profits will soar.

This is a totally misguided viewpoint. Financials are the single biggest contributors for earnings growth in the S&P 500. These earnings are entirely fiction based on accounting gimmicks, not real money being made.

Ex-financials, the S&P 500’s earnings for the second quarter are DOWN 2.3%.

There is a word for this kind of market, it’s BUBBLE.

Take a look at how extended the weekly S&P 500 chart is above the 200-week moving average.

So we have a super overextended stock market on a collapsing economy and weaker corporate profits.

What could go wrong?

The Great Crisis, the one to which 2008 was just a warm up, is approaching. The time to prepare for it is BEFORE the US stock market bubble bursts.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

The markets moved up sharply today, with the S&P 500 briefly touching 1,700. This is classic start of the month buying abetted by the ECB and Fed not doing anything, which in this environment of ongoing monetization is equated with helping the markets (in contrast even indicating that tapering of QE might occur is considered “tightening”… this is the insane world we invest in today).

The bigger story is the changes to GDP calculations that the Feds implemented. The single dumbest change pertained to counting “future pension benefits promised by governments and private companies are counted as income.” In plain English, this means that the Government now counts pension promises as cash in the bank.

In this fantasy world, if I promise to pay you $1 million a year after retirement, that promise is not equated as income and economic growth. It doesn’t matter if I don’t actually meet my promise, the promise is worth the same as cash in the bank.

Ironically, the ones touting this as a success are politicians who break every promise they ever make. This is what happens when a country is run by those with no business experience or industrial background.

The bigger story is Japan, where the Central Bank dream of doing “enough” is crashing into the wall. Japan has announced a $1.4 trillion QE effort, an amount equal to 21% of its GDP. To put this into perspective, this is the single largest QE in history, the kind of QE Bernanke and his pals could only dream of announcing.

Instead of resulting in economic growth or high employment all this has done is raise the costs of living. Industrial production and household spending both recently plunged, while inflation has risen to a 14 month high.

And thus does 100 years of bad economic theory as well as the hope of Central Banks fixing the global economy go crashing into the wall.

The Great Crisis, the one to which 2008 was just a warm up, is approaching. The time to prepare for it is BEFORE the US stock market bubble bursts.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

The big news is what’s going on in Asia.

The US financial media continues to focus on who will be the next Fed Chairman, which is unimportant in the grand scheme of things. Greenspan created the biggest asset bubble in history. Bernanke bankrupted the republic and created an even bigger bubble trying to prove his misguided theories. Whoever takes over the reins at the Fed next will simply have the honor of being in the driver’s seat when the whole mess goes over the cliff.

Ignore the next Fed Chairman debate, the world has much bigger problems to worry about.

Let’s start with China.

China’s economy is based on fraud, not actual growth. The talking heads believe China will hit 7% GDP growth this year. Their electricity consumption is only up 2.9%. Can anyone explain how a country can be consuming electricity at 2.9% growth and hit GDP growth at 7%?

Take a look at the Chinese stock market. We’ve just taken out the “recovery” trendline going back to 2009. And we’ve done this at a time when China has just pumped $1.6 trillion in new credit (that’s 21% of GDP) into its economy in the last two quarters…

When you put an amount equal to 21% of your GDP into your banking system in six months and the stock market still falls, it’s GAME OVER.

Take a look at Japan. Abenomics (print even more money faster) was supposed to bring about growth. Instead, all it’s done is increase consumer prices. This in turn hurts incomes. And that implodes an economy (one which hasn’t seen major growth in 20+ years I might add).

The Abenomics bubble has burst. The Nikkei has failed to reclaim its trendline. This bull market is OVER.

So the second and third largest economies in the world are in collapse with stock market crashes.

What are the odds the world is somehow going to continue to grow through this? What are the odds that the next Fed Chairman will be able to manage this mess?

The Great Crisis, the one to which 2008 was just a warm up, is approaching. The time to prepare for it is BEFORE the US stock market bubble bursts.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

Some truly awful economic results were released over the last week.

First and foremost, we discovered that 80% of the US adults struggle with joblessless, are near poverty, or have a reliance on welfare for at least part of their lives.

This is truly extraordinary. I’ve noted before that the employment ratio (the number of Americans of working age who have jobs divided by the total number of Americans of working age) indicates that there has been little if any real recovery in the jobs market. But the fact that four out of five adults is struggling truly shows just how endemic economic weakness is in the system.

It’s also a stunning rebuke of the Federal Reserve’s claim that its policies help Main Street. Below is a chart indicating the impact of QE(s) 1,2,3, and 4 on the employment population ratio. All told, we’ve spent over $3 trillion… and the ratio has barely moved higher.

Despite this incredible amount of money printing, the US economy has failed to recover in any meaningful way. Indeed, we have not had a single year of 3% GDP growth since Bernanke took the help as Fed Chairman.

Instead, all we’ve got is a new stock market bubble. Investing legend Jim Chanos recently noted that today more companies are trading over 3X their book value than in March 2000 (at the height of the Tech Bubble).

I also want to note that the stock market today is more stretched over its 200-weekly moving average than it was at the height of the Housing Bubble. Once this market really begins to correct, we could easily fall to this line (currently 1300 on the S&P 500).

And if things get VERY ugly we’ll take this line out and crash to new lows.

It’s just like 2007 all over again. Only this time around, we know for a fact that the Fed hasn’t fixed things and has bankrupted itself and the financial system pretending that it can.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

Anyone who believes that housing is back in a big way needs to take a look at homebuilder stocks.

Here’s DR Horton (DHI) which is down over 30% from its recent highs.

The same can be said for Pulte Homes (PHM)

The problem with the housing industry was and remains the Fed. By keeping interest rates at zero and giving institutions access to various lending windows, the Fed gave large financial firms like Blackrock to opportunity to snatch up tens of thousands of homes.

This has put a false floor beneath housing prices. Historically, housing busts in the OECD countries last 6-7 years peak to trough. But by giving certain players in the market (institutions) the opportunity to buy up vast swaths of homes, the Fed didn’t allow this natural process to take place.

The end result is that housing is once again unaffordable for most folks. Prices are surging across the board at the precise time that mortgage applications are collapsing (in part based on the rise in rates and based on housing becoming too pricey).

It’s just like 2007 all over again. Only this time around, we know for a fact that the Fed hasn’t fixed things and has bankrupted itself and the financial system pretending that it can.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

The markets had a very weak session yesterday. With Bernanke’s final stand in front of Congress out of the way, along with options expiration and end of the quarter performance gaming, the bulls are running out of excuses to gun the market higher.

This is evident in the action of the last three days. All three days traders tried to push the market higher at the open. However, there was no follow through and every time the market retracted the early gains. As I’ve told subscribers of Private Wealth Advisory is not indicative of major buying power coming into the markets.

Yesterday we noted that the corrupt edifice that has sustained the “recovery” is crumbling. A big part of this edifice is the Fed and its role as regulator of monetary policy and the banking system.

The Fed publicly claims it wants to help the economy and Main Street. However, as we are now discovering, the Fed is more than willing to sacrifice the good of the people in order to prop up a few insolvent big banks.  

Bernanke and other Fed doves continue to proclaim that QE is beneficial to the economy. However, we now know from the former head of the BLS that the Fed’s claims of job growth are incredibly inaccurate (real unemployment is over 10%) as well as its claims of low inflation (real inflation is around 8%).

Higher costs and lower job growth. Neither of those is pro-recovery or pro-Main Street.

Moreover, we now find that Wall Street has been manipulating the commodities market as well as the interest rate markets: both of which have major impacts on average Americans.

If the Fed didn’t know about this, then how can anyone trust the Fed to understand the financial system, let alone “save” it? And if the Fed did know about this, then it’s proof positive that Bernanke is happy to turn a blind eye to Wall Street’s pushing of commodity prices higher (hurting Americans across the board).

I’ve long said that this entire recovery was a sham. Real employment has yet to come back in any meaningful way. And the housing “recovery” has been dominated by large financial institutions (ones with close ties to the Fed) buying up tens of thousands of homes, pushing prices higher to the point that once again Americans can’t afford them.

It’s just like 2007 all over again. Only this time around, we know for a fact that the Fed hasn’t fixed things and has bankrupted itself and the financial system pretending that it can.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The corrupt edifice that has propped up the US big banks and financial system is beginning to crumble before our very eyes. I’ve warned subscribers of Private Wealth Advisory that this would happen. Now it is.

First and foremost, the former head of the Bureau of Labor Statistics (the group in charge of calculating the “official” unemployment numbers and inflation measures) has stepped forward and stated, point blank, that the unemployment numbers in the US are a joke.

Keith Hall believes the US economy is a lot sicker than the 7.6 percent unemployment rate would lead you to believe.

And he should know.

Hall was, from 2008 until last year, the guy in charge of Washington’s Bureau of Labor Statistics, the agency that compiles that rate.

“Right now [it’s] misleadingly low,” says Hall, who believes a truer reading of those now wanting a job but without one to be more than 10 percent.

Source: NY Post

The Government claims we’re in recovery because the unemployment rate is falling. But we have the former head of the BLS stating that real unemployment is greater than 10%.

The revelations continue with the inflation measure used by the Feds/ Federal Reserve. I’ve written about the various gimmicks the Feds use to downplay inflation many times before, but now the former head of the BLS has openly admitted the Fed’s methodology is incredibly outdated.

So how do the Feds measure inflation? They perform hundreds of thousands of surveys to see what consumers are buying. Then the BLS sends people into stores to determine how much these items cost.

So the Feds are relying on people:

1)   Remembering what they bought last month for groceries

2)   Remembering the price they paid

I don’t remember either these things in any great detail. I doubt 99% of people do either. And yet this is the basis for our inflation metrics!

The phony unemployment data and unbelievably low inflation measure are two of the biggest reasons that the Fed has to continue with its futile QE efforts. And the media is finally catching on that both are a joke.

This is just the start. I warned Private Wealth Advisory subscribers in our most recent issue that higher rates were coming noting a collapse in bonds in Europe and the emerging market space.

This could easily become truly catastrophic. The world is in a massive debt bubble and the Central banks are now officially losing control. The stage is now set for a collapse that could make 2008 look like a joke.

If you are not preparing in advance for this, the time to get started is NOW.

I’ve been warning subscribers of my Private Wealth Advisory that we were heading for a dark period in the markets. I’ve outlined precisely how this will play out as well as which investments will profit from another bout of Deflation.

As I write this, all of them are SOARING. In fact we just locked in four straight gains of 8%, 12%, 21% and 28% in the last month ALONE. In fact we just closed two more winners yesterday.

Are you ready for another Collapse in the markets? Could your portfolio stomach another Crash? If not, take out a trial subscription to Private Wealth Advisory and start protecting your hard earned wealth today!

We produced 72 straight winning trades (and not a SINGLE LOSER) during the first round of the EU Crisis. We’re now preparing for more carnage in the markets… having just started another eight trade winning streak…

To join us…

Click Here Now!

Best Regards,

Graham Summers

 

Another “growth story” is dying before our very eyes.

As I’ve warned Private Wealth Advisory subscribers, China is rapidly approaching ZERO growth. This is not less growth, but ZERO growth as in full-scale economic collapse from the days of 12% GDP growth per year.

Over 95% of “analysts” are missing this, but it is a fact. If you ignore the ridiculous GDP numbers (which even China’s Premiere has admitted are a joke in the past) and look at more accurate metrics, it’s clear China is collapsing at an alarming rate. Case in point, Electrical consumption rose by just 2.9% in the first quarter of this year.

How on earth can you generate GDP growth of 7% when you electrical consumption is rising by just 2.9% is beyond me. And when you consider that China is experiencing this weak growth despite having pumped over $1 trillion into its economy in the same quarter (an amount equal to 14% of China’s total GDP) you begin to understand the scale at which things are imploding in the People’s Republic.

Check out the chart for China’s stock market: we’re about to take out the post-2009 “recovery” trendline. And this is while China is pumping trillions in new credit into its economy!

This is a Black Swan that few are noticing. If you look around the mainstream financial media in the US, you see talk of Bernanke tapering, discussions of rising interest rates and even the occasional story about how Europe is not fixed. But you won’t find stories about China facing ZERO growth. There’s only one I’ve seen and it was published in the Telegraph, a British newspaper.

This is just the start. I warned Private Wealth Advisory subscribers in our most recent issue that higher rates were coming noting a collapse in bonds in Europe and the emerging market space.

This could easily become truly catastrophic. The world is in a massive debt bubble and the Central banks are now officially losing control. The stage is now set for a collapse that could make 2008 look like a joke.

If you are not preparing in advance for this, the time to get started is NOW.

I’ve been warning subscribers of my Private Wealth Advisory that we were heading for a dark period in the markets. I’ve outlined precisely how this will play out as well as which investments will profit from another bout of Deflation.

As I write this, all of them are SOARING. In fact we just locked in four straight gains of 8%, 12%, 21% and 28% in the last month ALONE. In fact we just closed two more winners yesterday.

Are you ready for another Collapse in the markets? Could your portfolio stomach another Crash? If not, take out a trial subscription to Private Wealth Advisory and start protecting your hard earned wealth today!

We produced 72 straight winning trades (and not a SINGLE LOSER) during the first round of the EU Crisis. We’re now preparing for more carnage in the markets… having just started another eight trade winning streak…

To join us…

Click Here Now!

Best Regards,

Graham Summers

 

 

 

 

 

At this point, the market is beyond overextended.

Last week was options expiration (Wall Street’s favorite time to shred options traders). And thanks to Ben Bernanke’s promise to keep the money printers running (“none of what we’ve said implies tighter policy any time soon”) traders shot for 1,700 on the S&P 500 last week.

What’s truly worrisome is that stocks are rallying higher and higher while economic fundamentals get worse and worse. GDP estimates for the second quarter have been reduced to 1% or even lower. Goldman Sachs has growth at 0.8%. Barclay’s sees 0.5%. And Morgan Stanley sees us hitting 0.3% growth.

These are truly horrible forecasts coming after the brutal downward revision for the first quarter (from 2.4% to 1.8%). And when you consider that growth is slowing like this while the Fed is running QE 3 and QE 4, then it becomes quite clear that the Fed is fast running out of out of evidence that QE accomplishes much of anything.

The signs of this are already showing up in corporate results. IBM, Intel, eBay, Google, Microsoft, Philip Morris, Blackberry have all missed revenue estimates.  Corporate profits can be manipulated in a variety of ways. Revenues on the other hand cannot be fudged. Either money comes in the door or it doesn’t. The fact that so many firms are missing revenues estimates does not bode well for the market.

And against this backdrop of slowing growth and weaker corporate returns, inflation is once again rearing its head. Crude oil just hit a 16-month high. Home prices are soaring across the US with year over year increases over 30% (the highest on record) in some metropolitan areas. Costs for food are up with beef rising 4%, steak rising 11%, and so on.

In short, the sheer number of negative factors facing stocks today is enormous. And in this environment of slowing growth and falling corporate results, stocks are at all time highs.

This will all end very badly.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

 

The markets are running out of steam as there is no longer a Bernanke talk to look forward to (he won’t be at the Fed’s Jackson Hole meeting in August) and options expiration is ending.

Bernanke has a thing for options. For some reason, over the last five years, he had a tendency to expand the Fed’s balance sheet on weeks when options were expiring. He even did this on weeks when the Fed technically was not engaged in a QE program.

In simple terms, whenever it’s time for options to expire, a time when Wall Street wants to manipulate the markets so it can shred options traders, Bernanke will juice the markets EVEN if there is no formal Fed program in place.

So it’s a little hard to stomach that Bernanke just happened to say that QE would continue for some time the week before options expiration week… especially given that the Fed is so divided on QE with half of Fed members wanting QE completely stopped by the end of 2013.

Bottomline: the Chairman went rogue and did it at the precise time when stocks were in need of a major boost. This is not coincidence. And now that this is over we have to wonder what’s next.

Well among other things we see that IBM, Intel, eBay, Google, Microsoft, Blackberry have all missed revenue estimates. US GDP is turning sharply south again with the second quarter currently posting 1.2% growth.

Stocks are diverging from everything under the sun: earnings, US GDP, the Nikkei, the list goes on and on.

And we are clearly in a bubble. Arguably the biggest stock bubble for the S&P 500 in the last 30 years. Below is a weekly chart of the S&P 500 relative to its 200-week moving average.

Stocks may hit new highs, but this rally has all the hallmarks of a blow off top, coming at the final stage of a bubble. Indeed, stocks have not been this overextended in over 20 years… that includes the 2007 peak. Soon after we reached that point… we then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

 

 

 

 

 

 

Today marks the final day of Bernanke’s testimony to Congress.

Highlights from the first day of testimony and Q&A include:

    Q: Are You Printing Money?

    Bernanke: Not Literally

Amazingly, no one said anything after this comment. But far more importantly was the last statement made by the Fed Chairman,

“If we were to tighten (monetary) policy, the economy would tank.”

Tightening monetary policy means if interest rates rise. Interest rates are currently being held at ZERO and have been there four nearly five years. And Bernanke has just announced that if interest rates rise, at all, then the economy would tank.

Unfortunately for Ben, rates are already rising around the world. Rates on Portugal’s ten-year are over 7%. Rates on Greece’s ten-year are back over 10%. Japan, the country of zero interest rates has seen a spike in its rates since April. Even Treasuries are surging higher, despite the Fed buying $45 billion worth of them every month.

Bernanke has told us point blank what will happen if rates rise (economic collapse). But he’s not telling us the whole truth. The fact of the matter is that if rates rise now while the Fed is running QE 3 and QE 4 then it’s game over. The Fed will have officially lost control of the system and a wave of defaults will implode the markets.

This process has already begun. As I noted before we’re seeing rates spiking around the world.

Stocks may hit new highs, but this rally has all the hallmarks of a blow off top, coming at the final stage of a bubble. Indeed, stocks have not been this overextended in over 20 years… that includes the 2007 peak. Soon after we reached that point… we then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

The winning streak for stocks broke yesterday, with stocks posting a small drop (just 0.3%). We had forecast a summer rally a few weeks back and sure enough stocks have put in a 10-day winning streak.

The important line to watch is lined out below. Bernanke’s verbal intervention managed to kick off a rally when he spoke after the market was closed on Wednesday. But if we drop back below this line again, there’s not a whole lot he can do, after all, he’s promised to maintain QE… which he already had in place.

The single biggest problem occurring today is that the economy is receding sharply while stocks continue to rally hard. The consumer is the economy in the US. And real average hourly wages adjusted for inflation today are still below June 2009 levels.

So, we have a jobless recovery (the unemployment ratio hasn’t budged) an income-less recovery (real hourly wages remain below June 2009 levels), and the yet somehow we have a “recovery” that will result in GDP taking off any day now?

Sounds a bit like 2007-2008 doesn’t it?

Stocks may hit new highs, but this rally has all the hallmarks of a blow off top, coming at the final stage of a bubble. Indeed, stocks have not been this overextended in over 20 years… that includes the 2007 peak. Soon after we reached that point… we then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

Stocks are rallying because Ben Bernanke speaks at Congress on Wednesday. Stocks historically rally into Bernanke speeches.

The markets are at new all time highs. But it is now clear that Bernanke has absolutely no clue what he’s doing.

Just two months ago, Bernanke hinted at tapering QE. Note, he didn’t actually taper anything he just hinted at it.

This talk of tightening lasted all of two months. And remember, throughout this period of hinted the Fed was spending $85 BILLION per month via QE 3 and QE 4.

Imagine if you were in the car with a driver who was going 85 MPH down a road with a speed limit of 35 MPH (this isn’t a bad metaphor as there is absolutely no evidence that QE creates jobs or GDP growth so there is no reason for the Fed to be doing it in the first place).

The guy is obviously out of control. The dangers of driving this fast are myriad (crashing, running someone over, etc.) while the benefits (you might get where you want to go a little faster assuming you don’t crash) are minimal.

Now imagine that the driver turned to you and said, “I’m thinking about slowing down.” Seems like a great idea doesn’t it? But then a mere two minutes later he says “ we need to continue at 85 MPH for the foreseeable future.”

At this point any sane person would scream, “STOP.” The driver is clearly a madman and shouldn’t be let anywhere near the driver’s seat. Moreover, he’s totally lost all credibility and isn’t to be trusted.

That’s our Fed Chairman.

As I’ve noted before… QE, which doesn’t create jobs or GDP growth, does create inflation. The cost of everything is soaring in the US. Since 2002, the cost of just about every item you buy at the grocery store is up in a big way. Check out this list compiled at The Blaze:

• Eggs: 73%
• Coffee: 90%
• Peanut Butter: 40%
• Milk: 26%
• A Loaf Of White Bread: 39%
• Spaghetti And Macaroni: 44%
• Orange Juice: 46%
• Red Delicious Apples: 43%
• Beer: 25%
• Wine: 60%
• Electricity: 42%
• Margarine: 143%
• Tomatoes: 22%
• Turkey: 56%
• Ground Beef: 61%
• Chocolate Chip Cookies: 39%

The damage doesn’t stop there. The cost of everything from healthcare to college tuition is soaring. Heck, even the new Twinkies are smaller, but cost the same (a “hidden” price increase).

Make no mistake, inflation is entering the US financial system in a big way.

Inflation is good for stocks at the beginning. But then it eats into profits very quickly. At that time, things get really ugly for the markets.

Speaking of which… corporate profits are falling sharply, as is GDP, while stocks continue to rally hard.

Sounds a bit like 2007-2008 doesn’t it?

Stocks may hit new highs, but this rally has all the hallmarks of a blow off top, coming at the final stage of a bubble. Indeed, stocks have not been this overextended in over 20 years… that includes the 2007 peak. Soon after we reached that point… we then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

The entire move last week was the result of Ben Bernanke waffling about when to taper QE (if ever).

The Fed hinted at tapering QE a mere two months ago. We now know that half of the Fed’s Board of Governors want QE tapered or even stopped entirely by the end of the year.

And yet, for some reason Bernanke cannot bring himself to even consider this, as he stated on Wednesday (after the market closed of course) that a “highly accommodative policy,” would be needed for some time.

Stocks hit a new high on the announcement.

However, the big story about Bernanke’s statement was the effect it had on the US Dollar.

Bernanke’s comments absolutely slammed the Dollar. Why is this important? Because the currency market is the largest most liquid market in the world trading volumes of over $4 trillion per day.

Wild price swings in a market of this size (that is often leveraged at 80 to 1 or even 100 to 1) mean massive amounts of wealth evaporating instantly. Historically, currencies are the first asset class to register when the system is in big trouble. These wild swings in the US Dollar are a major red flag that trouble is beginning to brew behind the scenes in the financial system.

Stocks may hit new highs, but this rally has all the hallmarks of a blow off top, coming at the final stage of a bubble. Indeed, stocks have not been this overextended in over 20 years… that includes the 2007 peak. Soon after we reached that point… we then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private Wealth Advisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

Yesterday’s move confirms what everyone suspected, that Ben Bernanke is more of a CNBC stock market cheerleader than a Fed Chairman or businessman. Is there really any other interpretation for his clear and obvious verbal intervention in the stock market? Can we really look at his actions and say that this is a man who legitimately knows what he is doing?

After all, Bernanke did not actually introduce any new policies. His Fed is torn about how to proceed with half of the Fed Board wanting to end QE by the end of 2013. And yet Bernanke felt the need to speak after the market closed about how he will keep the money printers going ad infinitum.

Who cares if the entire recovery is based on accounting gimmicks? Who cares if there is literally no evidence in history that QE generates economic growth? Who cares that Bernanke is literally betting the financial system  that his flawed theories are in fact correct? Stocks must go higher!

We did eek out a new high in the S&P 500 yesterday.

The move is very reminiscent of the 2007 top where we had a top, a brief collapse and then a final burst higher to a new high. Within a few months however, the markets had begun to descend into what would ultimately be the worst Crisis in 100 years.

Indeed, it is almost impossible to make the case that stocks are starting another major move up here. We have, in no certain order:

1)   A collapse in corporate earnings

2)   The collapse in US GDP

3)   The European banking crisis back

4)   The European sovereign crisis back (Portugal’s 10 year spiked above 8%)

5)   China’s hard landing (electrical consumption is up just 2.3%)

6)   A Fed that is literally beginning to mutiny with calls to end QE growing louder by the week

Against this backdrop, stocks are undoubtedly in a bubble.  Today, the S&P 500 is sitting a full 30% above its200-weekly moving average. We have NEVER been this overextended above this line at any point in the last 20 years.

Indeed, if you compare where the S&P 500 is relative to this line, we’re even MORE overbought that we were going into the 2007 peak at the top of the housing bubble.

We all know how bubbles end: BADLY.

This time will be no different. The last time a major bubble of these proportions burst, we fell to break through this line in a matter of weeks.

We then plunged into one of the worst market Crashes of all time.

By today’s metrics, this would mean the S&P 500 falling to 1,300 then eventually plummeting to new lows.

This is not doom and gloom. This is a fact. The Fed has created an even bigger bubble than the 2007 one.

The time to prepare for this is not once the collapse begins, but NOW, while stocks are still rallying. Stocks take their time moving up, but when they crash it happens VERY quickly.

With that in mind, I’ve already urged my Private WealthAdvisory clients to start prepping. We’ve opened six targeted trades to profit from the stock bubble bursting.

We’ve also taken care to prepare our finances and our loved ones for what’s coming, by following simple easy to follow steps concerning our savings, portfolios, and personal security via my Protect Your Family, Protect Your Savings & Protect Your Portfolio reports.

I’ve helped thousands of investors manage their risk and profit from market collapses. During the EU Crisis we locked in 72 straight winning trades and not one loser, including gains of 18%, 28% and more.

In fact, we’re currently on another winning streak having locked in nine winning trades in the last two months, including gains of 21% and 25%.

All for the small price of $299: the annual cost of a Private Wealth Advisory subscription.

To take action to prepare for what’s coming… and start taking steps to insure that when this bubble bursts you don’t lose your shirt.

Click Here Now!

Yours in Profits,

Graham Summers

Ben Bernanke has lost any last shred of credibility he might have had.

The Fed no longer believes in QE. And for good reason. We’ve seen QE 1,2,3,& 4 and yet we’ve not seen any meaningful uptick in employment or GDP growth. Indeed, since Bernanke took the reins at the Fed we’ve not seen a single year of 3+% GDP growth.

In this light, several Fed members are no longer fans of QE. Some of them want it tapered soon. In fact HALF of them want QE STOPPED completely by the end of 2013.

And yet, Bernanke decided that despite this dissent, he should make a speech stating that “highly accommodative policy” should continue along with the usual claims that inflation is under control.

These were the words of one man, not the Fed.

The markets exploded higher on Bernanke’s comments while the Dollar collapsed. And Bernanke now has a mutiny on his hands (one Fed Governor has already resigned in the last 24 hours).

Given that the Fed has been the primary driver of just about everything for the last five years, a fractured Fed is very bad news for the markets. Sure, we will see prices spike in the near term on Bernanke’s comments, but he has made it clear, point blank, that he has lost control of the market and really doesn’t have a clue what he’s doing.

This man knows only one thing: bubbles. Congratulations Bernanke, you’ve created an even bigger bubble than that of 2007. Your latest statements about providing liquidity have destroyed completely destroyed your credibility as Fed Chairman. And they’ve bought you at most a brief pause before this whole mess comes crashing down.

The entire environment feels just like 2007 again. The only difference is that this time everyone knows that we’re on shaky ground and has an eye for the exits. And in this mess, Bernanke announced nothing new, but simply stated that he remains a money printer.

If you’re looking for actionable investment strategies on playing the markets, take a look at my bi-weekly investment newsletter, Private Wealth Advisory.

Published every other Wednesday after the market closes, Private Wealth Advisory, shows individual investors how to beat the market with well-timed unique investments.

To whit Private Wealth Advisory is the only newsletter to have shown investors 72 straight winning trades and no losers during a 12-month period.

Indeed, in the last month alone we’ve locked in gains of 8%, 12%, 21% and even 28%… with an average holding period of 3-4 weeks.

To find out more about Private Wealth Advisory and how it can help you beat the market with your investments…

Click Here Now!

Best Regards

Graham Summers

 

 

 

 

China, which the investment world blindly continues to believe will power the global economy to growth, just posted its single worst export data since 2009.

All in all, Chinese exports fell 3.1% from a year earlier. Analysts had forecast growth of 3.7%. The reason? They continue to believe China will somehow pull a rabbit out of a hat and grow exports at a time when the global economy is sharply contracting.

Let’s look at the facts here.

In the last six months, China has pumped roughly $1.6 trillion in new credit (that’s 21% of GDP) into its economy. Despite this incredible monetary expansion, Chinese GDP growth is slowing.

Mind you, this slowing growth is occurring even after China massages the heck out of its GDP data. As I recently told my Private Wealth Advisory subscribers, when you look at electrical usage by the People’s Republic, real GDP growth is likely just 2.9%.

This is truly astounding: a country has expanded its credit by 21% of GDP in just six months and is barely able to generate positive GDP growth. Small wonder that the Chinese stock market has taken out its post-2009 trendline.

China is giving us a taste of what will be spreading throughout the global economy: a collapse in spite of massive monetary expansion. The entire “recovery” since 2009 has been based Central banks pushing money into the financial system… which did little more than allow corporations to borrow even more debt.

Indeed, globally the leverage in the financial system today is as bad if not worse than it was going into the 2008 Crash. Can you imagine what would happen if we suffered another collapse now, when Central Banks are already pumping their brains out trying to push market higher?

On that note, NOW is the time to prepare for another stock market bloodbath BEFORE this happens.

I’ve been warning subscribers of my Private Wealth Advisory newsletter that we were heading for a dark period in the stock market. We’ve since taken action to insure that when the market falls, we make money.

Indeed, in the last month alone we’ve seen gains of 8%, 12%, 21%, and 28%… all from basic stocks and bonds. And we’re now preparing with six carefully targeted investments that will pay out when the market falls.

To find out what they are, all you need to do is take out a trial subscription to Private Wealth Advisory. You’ll immediately be given access to the Private Wealth Advisory archives outlining our investment strategies.

You’ll also be given access to FIVE Special Reports (an $800 value) outlining the biggest risks to the financial system as well as the best means of protecting yourself and your loved ones from them.

To take out a trial subscription to Private Wealth Advisory and take action to make sure the coming months are a time of profit, not pain.

Click Here Now!

Best Regards,

Graham Summers

The economic recovery hit another record yesterday.

We’ve already had an incredible record setting streak for food stamp usage. Now we can add high unemployment to the mix. The US economy just posted its 54th straight month at which unemployment was north of 7.5%.

This has never happened before. And the worst part is that unemployment is in fact much worse than this indicates. Indeed, the Feds implement multiple gimmicks to maneuver the unemployment number down. As I’ve told Private Wealth Advisory subscribers, the most nefarious is simply not counting those who haven’t looked for a job recently as unemployed.

BOOM! Suddenly a lot of the people who are in fact unemployed don’t count and the unemployment rate drops. After all, one cannot help but wonder how one in five US households is on food stamps, while unemployment is down near 7.5%.

A much better measure of unemployment which I’ve shared with Private Wealth Advisory subscribers, is U6 unemployment, which measures those unemployed plus those who are unemployed and have looked for work in the last 12 months and those who are working part-time for economic reasons.

When you use this measurement, the unemployment rate is closer to 14.3%.

Against this backdrop of weak employment analysts continue to believe that the US economy will pick up in the second half of 2013. This is absolutely impossible. Weak employment means lower incomes. Lower incomes means lower consumer spending. Lower consumer spending means lower economic growth.

I warned Private Wealth Advisory subscribers in our most recent issue that the stock market was on borrowed time. The markets tend to stage summer rallies into the Fourth of July weekend, but with interest rates rising and the bond bubble beginning to burst, things are going to get much worse in a hurry.

This could easily become truly catastrophic. The world is in a massive debt bubble and the Central banks are now officially losing control. The stage is now set for a collapse that could make 2008 look like a joke.

If you are not preparing in advance for this, the time to get started is NOW.

I’ve been warning subscribers of my Private Wealth Advisory that we were heading for a dark period in the markets. I’ve outlined precisely how this will play out as well as which investments will profit from another bout of Deflation.

As I write this, all of them are SOARING. In fact we just closed another bringing our new winning streak to NINE trades.

Are you ready for another Collapse in the markets? Could your portfolio stomach another Crash? If not, take out a trial subscription to Private Wealth Advisory and start protecting your hard earned wealth today!

We produced 72 straight winning trades (and not a SINGLE LOSER) during the first round of the EU Crisis. We’re now preparing for more carnage in the markets… To join us…

Click Here Now!

Best Regards,

Graham Summers