Over Two Thirds of Global GDP Is Entering an Inflationary Shock
Economics / Inflation Nov 08, 2017 - 03:47 PM GMTThe world is careening towards an inflationary shock.
As was the case with the beginning of the Housing Crash, few are noticing what’s happening. And even fewer realize the true scale of what’s about to take place.
Below is a chart you have to see.
This chart shows the Producer Prices Index for the four largest economies int he world: the US, the EU, China, and Japan.
Note, that Producer Prices are SPIKING in all four economies.
H/T Jeroen Blokland
Put another way, a full 66% of world GDP is currently experiencing a spike in prices. Inflation is already rippling through the economy.
Why does this matter?
Because the Bond Bubble trades based on inflation.
When inflation rises, so do bond yields to compensate.
When bond yields rise, bond prices FALL..
And when bond prices fall, the Everything Bubble bursts.
Take a look at the chart for the 10-Year US Treasury. We’ve already taken out the bull market begun in 2007. The single most important bond in the world is tracking lower just as housing prices did in 2006 before the housing bubble burst.
Put simply, BIG INFLATION is THE BIG MONEY trend today. And smart investors will use it to generate literal fortunes.
Imagine if you’d prepared your portfolio for a collapse in Tech Stocks in 2000… or a collapse in banks in 2008? Imagine just how much money you could have made with the right investments.
THAT is the kind of potential we have today. And if you’re not already taking steps to prepare for this, it’s time to get a move on.
We just published a Special Investment Report concerning FIVE secret investments you can use to make inflation pay ou as it rips through the financial system in the months ahead
The report is titled Survive the Inflationary Storm. And it explains in very simply terms how to make inflation PAY YOU.
We are making just 100 copies available to the public.
To pick up yours, swing by:
https://www.phoenixcapitalmarketing.com/inflationstorm.html
Graham Summers
Phoenix Capital Research
http://www.phoenixcapitalmarketing.com
Graham also writes Private Wealth Advisory, a monthly investment advisory focusing on the most lucrative investment opportunities the financial markets have to offer. Graham understands the big picture from both a macro-economic and capital in/outflow perspective. He translates his understanding into finding trends and undervalued investment opportunities months before the markets catch on: the Private Wealth Advisory portfolio has outperformed the S&P 500 three of the last five years, including a 7% return in 2008 vs. a 37% loss for the S&P 500.
Previously, Graham worked as a Senior Financial Analyst covering global markets for several investment firms in the Mid-Atlantic region. He’s lived and performed research in Europe, Asia, the Middle East, and the United States.
© 2017 Copyright Graham Summers - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.
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