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Chaos In China, Economic Suicide, Shenanigans From The Fed And 3 Ominous Warnings!
from KingWorldNews:
On the heels of China’s historic adjustment of the yuan, today a 50-year market veteran spoke King World News about the chaos in China, economic suicide, shenanigans from the Fed and 3 ominous warnings!
John Embry: “We saw the usual drill in the stock markets yesterday in the wake of these massively overvalued entities in both China and the U.S. giving every indication of breaking down last week. In the eyes of the central planners this can’t be allowed to happen because it would send all the wrong signals to the unsuspecting public….
“Thus, we had explosive rallies in the stock markets yesterday, which in my opinion are just contributing to building an even larger massive top formation in both the U.S. and Chinese markets.
Chaos In China As They Dump U.S. Treasuries
What is most interesting in China is not the gyrations in their stock market created by their market manipulators trying to defy gravity, but rather the more significant and dramatic weakening of their economic numbers. This shouldn’t come as a surprise to anyone who has been watching the massive overbuilding by the Chinese in all phases of their economy over the last few years. Manufacturing facilities, real estate and infrastructure are all dramatically overbuilt and there is excess capacity everywhere.
As a result of this totally uneconomic aspect, the Chinese banking system is now riddled with a staggering amount of bad debt. Not surprisingly this has led to the Chinese offloading a portion of their U.S. Treasury holdings. I think I saw a figure of $180 billion, which is not insignificant.
