History will say that the hairless monkeys wouldn't accept reality, so they were duly monkey hammered...
Picture the economic surprise index on the verge of turning negative at the apex of the largest asset bubble in human history. What it portends is a glut of everything as panic buying will soon turn to panic selling. True believers are running out of life savings to create this exorbitant illusion:
COVID was the wake up call that the competitive conformity mass consumption lifestyle is over. Now, it's all about competitive self-destruction. Those who didn't get the memo are the ones throwing their life savings away in order to create this transitory illusion. All because no one told them that the virtual simulation of prosperity is a monetary illusion, so how would they know?
What we have in this era is the sum of all prior era's stupidity coalescing into one epic clusterfuck: a combination Tech bubble, housing bubble, corporate debt bubble, crypto bubble, sovereign debt bubble all in a late stage "economy" running on record deficits. When it all explodes, there will only be so much bailout money to go around, and zero appetite to bailout the wealthy. Therefore, we will soon be seeing a glut of everything as panic buying panics turns to panic selling.
Global capital is now chasing "returns" from one pump and pump scheme to the next. What gain is achieved, is at everyone else's expense. Already the Tech deflation trade crashed in February, and now the crypto Ponzi scheme is crashing.
Which leaves social mood hanging by a thread. Both the Global Nasdaq and Bitcoin are back-testing their 200 day moving averages. The next level of major support is last year's lows.
Global margin call beckons:
The inflation assholes are already wrong on their crypto hustle, and they are about to be wrong about all of their other predictions as well.
This week we learned that housing starts fell sharply and unexpectedly in April. It was mostly blamed on high lumber prices which in turn were previously blamed on high housing starts. However as we see via the chart below, all it was is another speculative buying panic that artificially bid up housing AND lumber prices.
So why do they blame lumber prices for the fall in demand? Because they don't want to admit that we're in a speculative housing bubble that pulled demand forward into buying panic:
The term "regret" is far too premature at this juncture:
No discussion of carbon reduction would be complete without a discussion of the crude oil market. One of the top performing sectors year to date is the legacy Energy sector. Which is a total reversal from last year when green energy led and fossil fuel stocks collapsed. Nevertheless, the pandemic took a decade chunk out of demand, and we see via the weekly data it has a long way to recover.
What we see is that these central bank sponsored bailouts are merely short-term gimmicks with a familiar ever-decreasing pattern.
Today's super moronic pundits call this the new "commodity super cycle".
This level of denial is sad and pathetic.
In summary, we don't have to "fix" global warming, because Mother Nature already took care of that problem. She pre-programmed the hairless monkey to self-implode which is why this species has not gained one wit of wisdom over the past thousand years. All of our base instincts are encoded in the most primitive hard-coded areas of the brain. Were Socrates alive today he would be an intellectual giant in a Lilliputian world of semi-literate mental midgets with their entire lives tethered to an iPhone.
Malthus was right. There are too many idiots on this planet.
