My Political Road Map for 2017
This year will be a tumultuous one. Central bank subsidization of the financial system, which began with the Fed invoking a zero interest rate policy in 2008, gave way to international distrust of the enabling status quo that unfolded across the planet. Prins’ prognosis is for more destabilization, financially and politically.
In last year’s roadmap, Prins wrote that we were in a “transitional phase of geo-political-monetary power struggles, capital flow decisions, and fundamental economic choices. This remains a period of artisanal (central-bank fabricated) money, high volatility, low growth, excessive wealth inequality, extreme speculation, and policies that preserve the appearance of big bank liquidity and concentration at the expense of long-term stability.”
Going forward, there’s endless amount of information to process. The state of economies, citizens and governments remains more precarious than ever. Major areas on the upcoming docket include central bank desperation, corporate defaults and related job losses, economic impact of political isolationism, conservatism and deregulation, South America’s woes, Europe’s EU voter rejections, and the ongoing power shift from the West to the East.
Prins discusses watching central banks; volatility for stock markets; rising corporate defaults and oil prices; turmoil in South America; rising dollar and sideways gold; the power shift from West to East through China and Japan; anti-EU sentiment and economic hardship in Europe; the upside for Russia; angst in the UK; and the Trump effect.