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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: Beobe who wrote (27816)3/4/2005 4:04:27 PM
From: Jim Willie CB  Read Replies (2) of 110194
 
the wreck is happening right now

since end 2000, consumer debt is up 24%
since end 2000, mortgage debt is up 42%
since end 2000, US mfg cap utilizaion has been under 80%
since end 2000, US gasoline prices up 40%

since end 2000 to spring 2004, US consumer debt up $331 billion
since end 2000 to spring 2004, Chinese trade gap up $322 billion
yup, that is hemorrhage with China drawing blood from Uncle Sam on his back

it is accelerating
from summer 2004 to present, US consumer debt up $42B more
from summer 2004 to present, Chinese trade gap up $117B more

since end 2000, wages rising half as fast as producer prices
since end 2000, wages rising 1/5-th as fast as energy costs
since end 2000, jobless rate has been around 9.0%
(divide USGovt unemploymt rate by participation rate)

the crackup is happening right under your nose
you must believe the USGovt growth story
and Greenscheiss healthy USEconomic picture
so do you believe inflated assets never go into retreat?

first evidence of crackup is likely to occur in China

/ jim
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