Financial collapse leads to war

[Little John]

http://cluborlov.blogspot.co.uk/2016/01 ... .html#more

......Financial collapse is already baked in, and it's only a matter of time before it happens, and precipitates commercial collapse when global supply chains stop functioning. Political collapse will be resisted, and the way it will be resisted is by starting as many wars as possible, to produce a vast backdrop of failure to serve as a rationale for all sorts of “emergency measures,” all of which will have just one aim: to suppress rebellion and to keep the oligarchy in power. Outside the US, it will look like Americans blowing things up: countries, things, innocent bystanders, even themselves (because, you know, apparently that works too). From the outside looking into America's hall of one-way mirrors, it will look like a country gone mad; but then it already looks that way. And inside the hall of one-way mirrors it will look like valiant defenders of liberty battling implacable foes around the world. Most people will remain docile and just wave their little flags.

But I would venture to guess that at some point failure will translate into meta-failure: America will fail even at failing. I hope that there is something we can do to help this meta-failure of failure happen sooner rather than later.

[johnhemming2]

At the time of typing the FTSE 100 is up 36.67 points. For there to be a financial collapse there has to be something difficult in the fundamentals like for example a shortage of oil and spike.

I won't call this as the bottom for FTSE 100, but although commodity and energy companies will see some problems in the long term oil prices will go back up.

To me the sad situation is undermining renewables which is where we really need to develop more energy supplies.

[raspberry-blower]

At the time of typing the FTSE 100 is up 36.67 points. For there to be a financial collapse there has to be something difficult in the fundamentals like for example a shortage of oil and spike.

I won't call this as the bottom for FTSE 100, but although commodity and energy companies will see some problems in the long term oil prices will go back up.

To me the sad situation is undermining renewables which is where we really need to develop more energy supplies.

That rally was short lived - the FTSE is now down 24.18 points.
However the FTSE 100 is not a great barometer of the UK economy when you consider the fact that many companies in said list have operations throughout the world.

There is evidence that market forces see that Commodity prices will sink even further which has worrying implications. This could lead to a mass stampede to the exits which could trigger another Stock Market crash on a similar scale to Black Monday

The one thing missing from John Hemmings reply is whether he believes there will be another bout of QE. Because that appears to have been the main reason for the speculative bubble that drove up the prices of commodities post 2008. It would be the sole reason for any future commodity price rise in the foreseeable future

[johnhemming2]

QE will be driven by the fundamentals (as in how profitable businesses are and what is happening in terms of employment) rather than a snapshot of market positions.