Group note . . . China's economy is struggling right now. Lines of credit are squeezed likely in part to the overbuilt, overleveraged condo market impacting their banking industry. This is now filtering into the ag industry and felt by recent defaults in soybean purchases.
China's economy is considered in a recession at a 6.5% growth rate.
Now there are signs of a break in the U.S. housing market. A sharp drop in new home March sales caught the attention of many economists today.
Janet Yellen also re-stated that U.S. interest rates will stay low for a very long time. ie: deflationary threats (IMO).Europe is now clearly battling deflation.
This sets the stage for a very interesting 2nd half of 2014. Can the equity bubble continue under these global circumstances?
Food-for-thought for all of us . . . . .
China's economy is considered in a recession at a 6.5% growth rate.
Now there are signs of a break in the U.S. housing market. A sharp drop in new home March sales caught the attention of many economists today.
Janet Yellen also re-stated that U.S. interest rates will stay low for a very long time. ie: deflationary threats (IMO).Europe is now clearly battling deflation.
This sets the stage for a very interesting 2nd half of 2014. Can the equity bubble continue under these global circumstances?
Food-for-thought for all of us . . . . .