Asian markets are disintegrating overnight. Check any news source you like, it’s nothing but bad news out there, and this looks to be a tidal wave following the sun around the globe. The markets have not capitulated… yet. It’s close though. Beatdowns are being delivered across the board… stocks, bonds, credit markets, foreign exchange, you name it. This is a crisis of confidence of historic proportions, folks.
For an intriguing perspective on this mess, check out William Engdahl’s latest piece. I think Engdahl went off the reservation with his embrace of abiotic oil, but his perception of other forces at work is pretty good, I think. What Engdahl is describing is stealth economic warfare right now, as the various shadow powers struggle to determine the new financial world order. If this mess doesn’t get fixed soon, the warfare could end up being more than just economic in nature. I’m not trying to be a scare-monger here… financial crises are often the start of major conflagrations.
I’m no fortune teller, so I have no idea how far into the abyss this whole thing is going. It’s not looking very good right now, and the people calling the shots seem to be more interested in covering their own asses rather than trying to truly fix things. Keep your eyes open, think about your future, and stay flexible. Pay attention, and be prepared.