A take on the global economy and equities markets that paints a simple and clear pictures I think.

The DJIA index has recorded seven consecutive down days in a row!  These 7 distribution days are a sign that many institutions are taking profits or establishing losses.

As we are entering the second half of 2015, financial panic is occurring globally. Currently, this tremendous financial devastation is happening throughout the world.  Stock prices are crashing in China, Europe and soon I feel the United States. Puerto Rico has now defaulted on their debts. Quantitative Easing has been masking the symptom of this endemic disease. The Greek banks are still frozen and will continue to stay this way; however, the mainstream media is not reporting on this current situation in Greece. There is a limit on weekly withdrawals of 420 Euro per (around US $455).

The corporate leaders of the major banks were left in place back in 2008/2009 and were allowed to continue receiving their huge bonuses. Their banks only existed because of the unprecedented taxpayer subsidy.  The system is still essentially the same as it was before, due to any lack of meaningful reforms that have been required.  It is this lack of change in all the required global fiscal policies that I am warning you of the coming collapse of this new “Asset Bubble”. This is where “profits” are Privatized and “losses” are Socialized.

The printing of limitless sums of virtually free money under various “Quantitative Easing” programs and simultaneously slashing interest rates to their lowest levels in history has created stock markets that have been artificially “levitated” for many years now.  This growth is based on virtually “free money”. I am  warning you that the current business valuations and calculations are NOT accurate and even NON-sustainable.  Our previous “Credit Bubble” has now been leveraged and replaced by an even larger and more dangerous “Asset Bubble”.