Trader Asks: Why Are We Buying Less Stuff?
Something is again brewing in physical Silver.
Housekeeping:
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SILVER NOTE:
Something is again brewing in physical Silver.. We’re piecing the info together now and will have a special post to you all today on it…
For now, below is a definite sign manufacturing is on the rise as a necessity because consumption is on the wane.. The US and Global economies are irrevocable changing.
GSTrader: Did Something Truly Change This Week for Stocks?
Saturday Night 9:01 p.m. one of Goldman’s institutional traders penned the analysis attached below. It may be a signpost the whole global economy is shifting. Or it may just be a recessionary moment in normal economic cycles. You decide.
Background: Last week was bad or stocks. But it was a horrendous week for consumer goods businesses. On top of the cyclical nature of this reality (rate hikes lessen demand), it would seem the Anti-Goldilocks chickens are coming home to roost.
While the Mag-7 tech stocks continue to hold and even rally, other sectors are sinking fast.
One of the secular changes observed at GoldFix as consequence of de-globalization and our Anti-Goldilocks phenomenon1, is a necessary reduction in the consumer economy as the USA retools into a manufacturing one.
In the nutshell — as first detailed in the post 10 Year Investor Outlook —Americans will spend less and government will spend/invest more. That means Retail companies (among others) suffer greatly. Turns out that is happening.
In answering the paper’s title question, the GSTrader first answers an important antecedent question: What drove the substantial weakness in the group this week?