Is US Stock Market on the Brink of Collapse?

Is US Stock Market on the Brink of Collapse?

On Friday evening, the U.S. stock market opened with a decline, an unusual trend that immediately touched the nerves of American officials.

When the Nasdaq index fell by about 1%, Federal Reserve Governor Waller immediately made emergency market-saving remarks: The Fed may cut interest rates by another 50 basis points at the November interest rate meeting.

Although the Federal Reserve officials briefly regained the market's confidence, can the U.S. stock market really defy gravity and keep rising without falling?

Experts warn: The U.S. stock market is about to crash.

Michael Oliver, who became famous for accurately predicting the 1987 stock market crash, warned the market that the U.S. stock market is about to crash.

Michael Oliver is the founder of Momentum Structural Analysis (MSA), and he is highly regarded in the financial markets for his unique momentum structural analysis method.

Oliver's analysis focuses on using momentum indicators, rather than traditional price charts, to identify potential market trend reversals, crashes, and significant turning points.

According to him: From a technical analysis perspective, they have discovered an unusual situation in the U.S. stock market through momentum analysis, which is that the U.S. stock market may experience a crash, not just a simple decline, but a sudden, rapid, and impactful drop.

The U.S. stock market seems to be in good condition now, but when he plots the monthly price of the S&P 500 and then analyzes it against the three-quarter moving average, he gets a different momentum chart, which often looks very different from the price, and a similar situation occurred during the 1929 crash.

According to his research, the Nasdaq 100 index has increased 16-18 times since the 2009 low, while the S&P 500 index has only increased 7-8 times.

If the U.S. stock market experiences a pullback in the fourth quarter, it is very likely to trigger a stampede-style crash.

At the same time, he predicts that the price of gold may rise to between 3000-3200 U.S. dollars, but this does not mean that this is the top of the gold price.

In addition to gold, the price of silver may soar to 55-60 U.S. dollars.

Many people may still remember the crash of the U.S. stock market in October 2008, when the stock market and gold fell together for nearly a month and a half, but before the stock market fell, gold had been rising, but the U.S. stock market had been bearish for nearly a year.

At that time, the technical situation of gold and silver also showed signs of adjustment, and in the end, the decline of gold and silver exacerbated the decline of the stock market.

Historically, there has not been much positive correlation between gold and the stock market.

During the 1987 crash, every time the stock market plummeted, people would rush into the gold market, causing a surge in gold prices.

So is this time the U.S. stock market's decline just another wolf story?

The dollar has lost credibility.

The dollar is now very different from the dollar of the past, and even if the Federal Reserve cuts interest rates, it may not be able to save the U.S. stock market.

In the past, no matter whether the dollar raised or lowered interest rates, it could transfer trouble to other countries because it was bound to oil settlement, whether it was manufacturing in China, oil-producing in the Middle East or Russia.

But when the dollar loses the anchor of oil, the dollar's interest rate cuts or printing money will instead accelerate the decline of the dollar.

Many people say that the dollar has no worries, and the Federal Reserve can print money indefinitely.

This is a solution, but no country or government that does this can escape the backlash.

In 1947, the gold yuan voucher, which was the national debt at the time, was exchanged for dollars, gold, and Yuan Datou, but the unlimited issuance of gold yuan vouchers eventually sent the Kuomintang to the island.

The yen has been printed indefinitely, acting as a shadow currency of the dollar, but what is the situation of the yen now?

The dollar that has lost its actual anchor is infinitely overdrafting its own credit, but the devaluation speed of the yen is also the fastest.

This is also why most of the Japanese with a little assets have gone overseas to buy property.

How much has the yen been printed, and how much has the Japanese housing price risen?

How much inflation has Japan had over the years?

Why is Japan's aging so serious, and why is Japan the country with the most young people who can't think of the world?

India and Saudi Arabia increase gold reserves.

According to the latest report on September 20, India's gold imports in August were about 100.6 U.S. dollars, reaching a historical high level, three times that of the previous month.

And last night, the price of gold once again reached a historical high of 2622 U.S. dollars.

The domestic spot gold price also broke through 590 yuan.

In addition to India, Saudi Arabia is also secretly buying gold.

According to reports, since the beginning of 2022, the Central Bank of Saudi Arabia has been secretly buying gold in Switzerland, with a total of 160 tons.

The purpose of Saudi Arabia's concealment of gold purchases is not to offend the United States.

In the past, after Saudi Arabia exchanged crude oil for dollars, it basically bought U.S. debt, but now it has exchanged all the dollars for gold.

According to analysis, the gold reserves owned by Saudi Arabia are far more than the current estimated amount, because for so many years, Saudi Arabia is one of the countries with the most dollars after the United States.

Finally, the article also subtly said that a certain country in the East is also secretly buying gold.

In short, countries around the world are preparing for the decline of the dollar, and the devaluation speed of the dollar in the next few years may exceed any time in the past few decades.

It is not even ruled out that the dollar will trigger a greater disaster.

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