'Happy Days will Bust again...'

Tom's Journal. http://tomschuckmanjournal.blogspot.com/

tschuckman@aol.com


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“There Is A Dark Side To Our Species” This Is What People Fear The Most In A Societal Collapse… And It Isn’t Hunger, Disease or Exposure
It is true that we are a social species whose members would rather work together to build a society, but that doesn’t mean that there aren’t disasters which could easily bring out the worst in us.

Hackers Breached A Dozen Power Plants In May – Could Be A Dry Run For Something Bigger
There’s an arms race going on between hackers and the cyber security systems that protect our way of life, and it appears that we are losing that race.

Scientists Fear Grid Failures During Solar Minimum
Cosmic beams pose a health hazard to astronauts, and a single stray cosmic ray could cause a satellite to malfunction. As well as wiping out communication systems, a solar blast could down power grids.

Foreword in Norwegian: 


Bra dag, venner!
Mine blogginnlegg i dag har å gjøre med stor gjeld, og økonomi... kanskje en tørr gjenstand, men den påvirker hele verden av menneskeheten. Den hemmelige samfunn, 'World eliter' arbeid bak kulissene, i røykfrie rom og spille spill med de fleste av hardtarbeidende mennesker av mange folkeslag, at de har tenkt å gjøre mer dårlig, i nær fremtid. De er alle en del av Satan's world, og inspirert av demoner! Pass deg, vennene dine, de du er ikke en slave til dem som låner du penger. Planlegg, nå ! Eller bli mer så flau, men være lutfattige, fattige og sultne.
"Jern sliper jern." ---Ordsprog 27: 17.
Varm hilsen
Thomas G Schuckman
e: tschuckman@aol.com


Dear Readers:
    Of all the people in then world....  "I don't have a leg to stand on !"
      Worse yet...  not to be vulgar or too graphic,  but I often feel as though I were a 'one-legged man in an ass kicking contest !!'   I SHOULD KNOW BETTER,  because I worked in the Financial Industry and know all the tricks and great ways to get OUT OF DEBT.    But I run with the other guys my age, and spoil myself, when I WANT something that I see, weather on-line, or in the 'brick and mortar stores.'    I feel that I am well on my way to being a good, solid Prepper.   The apostle Paul said:  "Having food and clothes -- we shall be content."   --- 1st Timothy 6: 8.  
      Of all people,  I know how dangerous Credit Cards can be if you don't have self control and will power !!   All you friends and relatives live in an up scale neighborhood in "nice" houses, drive new cars and wear "nice --cool" clothes, and then they make you feel like you are a loser because you cannot keep up with them !   Like I keep saying with Biblical proof,  we are living in Satan's world,  full of greed, selfishness, wrongful desire of all fleshly things !   
      Yes,  we must pay our bills on time, and we need transportation and a roof over our heads --- but too many of us buy on impulse -- things that we really DO NOT NEED !   We all need to pray about this.   

Warm Regards,
Thomas G Schuckman
Email:   tschuckman@aol.com


---Long needles for the hurtful, painful, knees, and then the VA also cut us all back to the bare minimum Pain Meds., to boot,  recently,  across the board !    But then... that is how America treats their combat Veterans !  

  Mr. Trump is TRYING TO CHANGE the VA System.....

Money and Markets: Investing Insights

Economist: Happy Days Will Bust Again!

Tony Sagami | Tuesday, July 11, 2017 at 4:00 pm

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Are you ready for the next “Minsky Moment”?
Minsky? Don’t feel bad if you’ve never heard of either Minsky Moments or Hyman Minsky, the economist who coined the term. Few investors have.
But we’ve all felt the effects of a Minsky Moment, even if we didn’t realize it.
Hyman Minsky was a St. Louis-based economics professor who spent his academic career studying financial crises.
His “Financial Instability Hypothesis” concluded that financial crises spring from long periods of prosperity. These prosperous periods lead people to get careless with leverage and to amass excessive debt.
Minsky didn’t think that financial crises are necessarily bad. Rather, he believed that:

“The financial system swings between robustness and fragility, and these swings are an integral part of the process that generates business cycles.”

In short, it is economic stability itself that breeds instability.
However, the frailty part is what makes investors lose their lunch. That’s because a Minsky Moment causes a sudden collapse of asset prices.
Is a Minsky-style financial meltdown in our immediate future? Well, the world — governments, businesses and individuals — are certainly awash in debt.

Image credit: ZeroHedge.com

At the start of 2017, total U.S. government debt was just below $20 trillion. And I’ve heard nary a peep about shrinking our national debt from any politician this year.
And don’t think the U.S. is alone in its spend-a-holic ways. According to the Institute of International Finance, global debt has soared to $217 trillion, or 327% of global GDP.

Image credit: ZeroHedge.com

 
American businesses have been borrowing like mad, too. Which is no surprise, given the Fed’s addiction to near-zero interest rates. The most troubling aspect of the corporate-debt balloon is the rapid growth of the junk bond markets.

Image credit: AlphaBaskets.com

In our yield-starved world, investors have been eager to gobble up anything that throws off an attractive yield. Even if it’s high-risk (i.e., junk). Year-to-date, global high-yield bond issuance is 37% higher than it was in 2016, and pays an average yield of 6%.
Even more indebted is the average American, who has been on a credit-card, student-loan and auto-debt binge. Total U.S. household debt is approaching $13 trillion … and that figure is back to pre-financial crisis levels.

Image credit: Bloomberg.com

That debt load is starting to take its toll:

Americans owe a staggering $779 billion in credit card debt or $16,748 per household. Worse yet, the AVERAGE interest rate on that debt is a whopping 16%!
The average auto loan has grown to $31,720 and is financed over 69.3 months, or 5.78 years!
Americans owe a collective $1.4 trillion in student loans with an average debt of $49,905. Ouch!

Is all that debt pushing us closer to a Minsky Moment? It sure looks like it.
The percentage of debt that is more than 90 days delinquent increased to 3.7% in the first quarter, which is the second quarter of rising delinquencies.
And get this: The Federal Reserve reported that 46% of American households don’t have enough cash to pay a hypothetical $400 emergency expense!
I suggest you pay careful attention to the upcoming University of Michigan Consumer Sentiment Index. It’s due out this Friday.
Consumer sentiment numbers have been falling. The June reading (95.1) was down 1.6 points from May. And I expect more of the same when we get the July number.
If I’m right, you could make some big trading profits by buying shares of specialized ETFs that are poised to soar from the next Minsky moment. My Calendar Profits Trader service is designed to help you prepare. Take it for a test-drive here.
Best wishes,
Tony Sagami