Jephraim Gundzik writes for Asia Times on financial matters; and he is one of a handful of investment advisers who seems to maintain some connection with Planet Earth. This is not an optimistic assessment; and this site has been saying for some time that the magic carpet of the housing market had faulty aerodynamics. The crisis of accumulation that has swallowed billions for decades is turning toward the metropolitan middle class now to “externalize” the costs of all that fictional value.

Investing in a fool’s paradise
By Jephraim P Gundzik

The rapid slowing of America’s economy has been shrugged off by stock markets worldwide, which continue to vault higher on the increasingly misplaced notion that corporate profits will grow perpetually.

In sharp contrast, currency markets have grasped the idea that the US economy is falling into recession, punishing the dollar. As economic weakness intensifies in the months ahead, expect FULL ARTICLE

Posted by stan in Analysis