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Wednesday, June 4, 2014

IT'S A RECESSION IN A DEPRESSION! RECESSION COMES TO AMERICANS LIVING DURING THE GREATEST DEPRESSION EVER

Back on Thursday, May 22, 2014, I wrote IT'S LOOKING LIKE MORE RECESSION IN THE U.S.A. IN 2014 based on steel production flattening and the slight downturn in starts for new housing units, which already are at historic lows of Q1 1982 and Q1 1991.

Here are the inescapable facts as measured in True Dollars™ and various ETFs:


  • The price of copper is down 71.8% from its Q2 2011 peak (First Trust ISE Global Copper ETF)
  • The price of steel is down 72.8% from its Q4 2007 peak (Market Vectors ETF)
  • The price of timber is down 37.6% from its Q4 2007 peak (Guggenheim Timber ETF)
  • The price of house builders stock is down 60.8% from its Q4 2006 peak (SPDR S&P Homebuilders ETF)
  • The price of aluminum is down 57.6% from its Q2 2008 peak (iPath Pure Beta Aluminum ETN)
  • The price of nickel is down 49.4% from its Q2 2008 peak (iPath Pure Beta Nickel ETN)
  • The price of gasoline is down 46.1% from its Q2 2008 peak (US Commodities Funds ETF)

See the charts from the Bizarro Theater Dashboard!





It should be clear by now that Ben Bernanke and his theories about both FDR's Great Depression as well as central banking are quite wrong. Any right-minded sane man or woman can describe Bernanke's Quantitative Easing with one phrase only — abject failure.