IMF Warning: “Bad, Ugly, or Severe” Global Outlook

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Okay, the International Monetary Fund, they come out with their global growth report and mind you, okay, I look at these things and you will have to take it sometimes, all times with a grain of salt. Again, are they ever right? No, they tend to either underestimate or overestimate things. Let’s just say from,

this report, let’s hope that they underestimated what they feel is going to happen. And I’m going to explain why. Best way to describe this IMF report and what they see coming for the global economy. They said there’s basically three options. It’s either bad, ugly or severe. Bad, ugly or severe.

Every, every issue that has been facing the global economy, they are saying is going to intensify. And this is due to what is going on right now in the Middle East. Insufficient growth, burdensome cost of living, excessive inequality that bifurcated economy, high deficits, large debts.

and limited policy flexibility, really being able to do anything about it. Again, not very good signs. Do I believe that the United States without a doubt is more insulated from this? Of course. There’s no doubt about that we are. There’s no doubt about the fact that we are in a much

better position than most countries. Due to the fact, again, obviously we have our oceans of protest, also, again, for all intents and purposes, we’re pretty much energy independent.

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With that being said, with that being said, are prices looking to go up? Yeah, they’re gonna go up. They have been going up. Are our input costs going to be going up? Yeah, they are. Anything that we’re bringing in from overseas, the price is gonna going up. Energy costs around the globe are much, much higher. Again, input costs going into cars, into whatever it may be, okay? The prices are going to be higher.

And this is going to affect all the way down the line. When I talk about a bifurcated economy here in this country, and again, the left likes to call it income. It’s not even so much income inequality. It’s just inequality. And yeah, to some degree, it is income. But this is something that we’ve talked about and predicted for almost 30 years now.

Almost almost really, you you’re talking, you know, 2001 to 2002 when I really started sounding the alarm bell when it came to inflation and the fact that the only way you’re going to beat this, the only way you’re going to get ahead of the game is by having your money work extraordinarily hard and you have to be an owner. There’s no other way around it. And that’s where we’re at now.

That’s where we’re at now. It’s a real interesting scenario. Again, know, certain people, don’t. They look at one side of it and they don’t look at the other. And the president just did an interview with Maria Bartiromo and he was talking about we have the greatest economy of all.

It’s greatest economy of all time greatest thing ever And he start pointing to the you know how the Dow hit 50,000 and all of these things Listen, okay. Yeah

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I stock market economy can be two separate things. One of the things that has really helped our markets. And if you’re positioned correctly is obviously the tech sector. We’re the only game in town. When I say the only game in town, the town is a world.

That’s just the reality. We own that. We own it. Nope, nothing really coming. I got a chip maker in the UK. other than that, for the most part, that’s ours.

That’s ours. And that’s driven a lot of what has taken place. We’ve seen it. What’s happened in our markets here. Everybody’s got to come here to buy that stuff to keep up. No doubt about that. However, is it a reflection higher stock market, an actual reflection of what is happening in the overall economy? No.

No.

I’ve done story after story here on the program talking about the economic numbers of consumer confidence, all these various different things. And like I said, the numbers don’t lie. The attitudes don’t lie. Input costs like energy. And like I said, God willing, you know, this is one of the reasons why I really do think that we’re going to be walking away, but quick.

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But quick is because we’re aware of this.

We’re aware of this. We cannot have a major spike in oil is not sustainable up here. There’s gonna be real pain to be had. Like I said, I’m hoping, I’m hoping they’re wrong because bad, ugly and severe are not very good choices. Watchdogonwallstreet.com.