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‘Without Action, Another Plunge Is Likely’: Bulls Tested By Dour Color From Sentiment Survey
Some might be inclined to call it a "surprise". I'd be tempted to characterize it as inevitable.
University of Michigan sentiment came in below expectations for July in the preliminary read on Friday, printing 73.2 against estimates for 79.
The range was 75 to 85 from 57 economists, so this missed even the most pessimistic forecast.
The accompanying color from the survey's chief economist, Richard Curtin, is not encouraging. He does not mince words.
"Consumer sentiment retreated in the fir
Haven’t the elites in the US read any one of the numerous accounts that describe what happens when people are hungry and don’t have work? Accounts that include governments not protecting and providing for the general welfare of the citizens? They’ve been too busy looting the last 30 years to read books, much less change and adapt.
This is all continuing to shape up as a recipe for systemic change. Should have happened in 2008-2009. Maybe now it will.
Don’t worry – Pompeo just rolled out a new policy focusing on human rights, and by human rights, the administration is specifically emphasizing property rights (and religious liberty).
In all seriousness, the summaries that Dalio has been writing are very instructive at a time like this. I still find it hard to imagine any sort of violent revolution or a major shooting war (optimistic bias and all that), but we need leaders to acknowledge that there is a severe need for a peaceful transfer of wealth (e.g. universal healthcare, UBI, infrastructure, etc.). That’s the least painful way out of the low growth/wealth inequality trap that we’ve created. I’m hoping the last 4 years, and more specifically this year, will be a time we look back on and say we’re glad we figured out how to get through this largely peacefully and we’re all in a better spot for it.