The twin evils of just-in-time inventory and globalism coupled with massive money printing have combined to create too much money and not enough stuff. Like those taking Covid vaccines, it leads to economic clotting and neurological illness. As a result, global supply chains are in a complete and utter state of chaos. Here is what container rates look like — a shitstorm.
Container rates from Shanghai to the US make yet another leap higher! Yikes! Supply chain woes lasting longer than anyone expected 🤪 pic.twitter.com/CUUFspMxhV
— Ben Breitholtz (@benbreitholtz) September 16, 2021
Meanwhile, ships are backed up and waiting at ports. Top UPS exec warns, “Order your Christmas presents now.”
Top UPS Exec Warns Supply Chain Disarray Will Leave Permanent Scar https://t.co/uyOWYPdVBM
— zerohedge (@zerohedge) September 13, 2021
With 12 million people moving off the unemployment dole and no more stymies in sight, August retail sales were down 1.6%.
“We need lower consumer demand to give supply chains time to catch up … recover efficiency … and break this vicious circle,” said CEO of Maersk’s APM Terminals, one of the largest container port operators.
All the offshoring is now taking down industries, such as domestic printing. These zombie companies are everywhere, but the lack of financial market-price discovery keeps them in limbo until they finally collapse, like big Chinese property developer Evergrande’s $300-billion Ponzi scheme. See Forbes’ “What Would A Restructuring Of Evergrande Look Like?”
The book supply chain is messed up because the publishers offshored their printing to China, and destroyed the domestic printing industry. Now books are backed up at ports, like everything else. https://t.co/gH9I63uu4Z https://t.co/NlDvReaiQL
— Matt Stoller (@matthewstoller) September 13, 2021
Meanwhile in Europe… pic.twitter.com/nYFA65vaBv
— zerohedge (@zerohedge) September 9, 2021
Major UK Fertilizer Plants Shuttered Due To Skyrocketing Natural Gas Prices https://t.co/NdhcLSBBtF
— zerohedge (@zerohedge) September 16, 2021
Last night in a sheer nothing to see here, move along coinkydink there was a fire at the interconnector, which links the British and French power grids. UK’s National Grid warned that the disruption is expected to last until March, raising more fears over tight supplies in the coming months.
The second chart and the red line shows the crippling impact of high inflation on consumers. Consumers don’t expect their earnings to keep up.
Jeff Gundlach says this inflation is understated.
Gundlach: Real CPI using accurate housing inflation is 12% pic.twitter.com/zB5VkHqMq4
— zerohedge (@zerohedge) September 14, 2021
Americans Face A Nightmare Scenario: Record High Home Prices, Record High Rents… And OER Is About To Explode https://t.co/3FPRUIyiXL
— zerohedge (@zerohedge) August 31, 2021
Expensive food costs globally are a huge issue. This opens the way for civil disorder and revolution. The New Underworld Order must be licking their lizard lips.
There is so much inflationary money and debt sloshing around versus legitimate investment opportunity that the plebs have turned to a Ponzi scam called NFTs, or non-fungible tokens. NFTs transform digital works of art and other collectibles into one-of-a-kind, verifiable assets that are easy to trade on the blockchain.
It goes without saying that these bear a strong resemblance to the Dutch Tulip Bulb mania of the 17th century.
After Christie’s auction house got involved in this scam and sold “NFT artwork” — a collage of images by digital artist Beeple for a whopping $69.3 million — NFTs have suddenly captured the attention of the Boyz, Crime Syndicate and punters.
Typical of this inexplicable mania:
Sotheby’s Just Sold A Bunch Of Ape NFTs For $24.4 Million https://t.co/uGebiw6nbs
— zerohedge (@zerohedge) September 9, 2021
When does he start at the Fed? https://t.co/gK3AznPHao
— Hipster (@Hipster_Trader) September 16, 2021
Dementia Joe thinks he is on the case.
OIL MARKET: “We’re also going after the bad actors and pandemic profiteers on our economy. There’s lots of evidence that gas prices should be going down but they haven’t,” says President Biden. “We’re taking a close look at that” #OOTT #CommodityInflation pic.twitter.com/yqPxNUqo9E
— Javier Blas (@JavierBlas) September 16, 2021
Old timer observers like Fred Hickey (and me — it’s why I don’t publicly involve myself in this sector anymore) have egg on their faces dealing with this hysteria, but you know they will ultimately be more than right.
Western investors will end up holding worthless NFTs (digital rocks, pictures of Apes etc.) “meme” stocks, SPACs, start-up firms (that should never have started), “zombie” cos. the most overpriced tech stocks in history (many of them money-losing) & then the bubbles will collapse
— fred hickey (@htsfhickey) September 16, 2021