I have always maintained a decent long term view of markets and that has worked well over many years. Yet they were all based on persistent credit expansion at the non government level. Now governments have basically flooded those credit markets to stay afloat directly or indirectly and the private sector is reacting to rising bad business news.
The real icing on the cake is the contracting energy sector everywhere. Throw in pending technological replacement for the oil industry and we have a perfect storm of medium and long term contraction in the energy business on top of the pending recapitalization of the whole financial sector once again.
The only way out is to deliver credit globally at the community level under guidelines i have discussed before. Otherwise we invite thieves... That will massively expand private credit.
Why is this The Chart of Doom? It's fairly obvious that private credit is contracting in Japan and the Eurozone and stagnant in the U.K.