60 Percent Of Americans Believe A Recession Is Coming

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Sentry18

Thrivalist
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I am not in either demographic. I am not so sure a recession is coming and I am definitely not piling up debt.

http://theeconomiccollapseblog.com/...ontinue-to-pile-up-debt-at-a-frightening-pace


60 Percent Of Americans Believe A Recession Is Coming – But Consumers Continue To Pile Up Debt At A Frightening Pace
September 10, 2019 by Michael Snyder

We haven’t seen survey results like this since just before the last recession. Right now, 60 percent of Americans believe that a recession is “very or somewhat likely in the next year”, and the reason why that figure is so high is because there is already a tremendous amount of evidence that the economy is slowing down all around us. As I have been documenting repeatedly, U.S. economic performance has not been this dismal since 2008 and 2009, and the slowdown seems to be gaining pace as we move toward the end of 2019. So it really shouldn’t be a surprise that a solid majority of the country thinks that the next recession will officially begin very soon. The following comes from ABC News

Ratings of the U.S. economy overall, 56% positive, are down from 65% last fall in this poll, produced for ABC by Langer Research Associates. Most ominously, 60% see a recession as very or somewhat likely in the next year. That’s within sight of the 69% who said so in November 2007, in advance of the Great Recession.

But at the same time, U.S. consumers continue to pile up more debt at a frightening pace.

According to NBC News, total revolving credit shot up at an 11.25 annual pace during the month of July…

According to the Federal Reserve’s consumer credit tracker, revolving credit — a category in which credit card debt predominates — increased at an annualized rate of 11.25 percent in July, the most recent month for which data is available.

“In terms of revolving debt, we see spikes like this every so often, but they don’t jump by double digits all that much,” said Matt Schulz, chief industry analyst at CompareCards. Typically, big jumps occur around the holidays, though — not in July.

If a severe economic downturn really is coming, the smart thing to do would be to get out of credit card debt.

But these days Americans have been trained to be very short-term thinkers. And when things start to get tight, it is really easy to put expenses on a credit card and worry about them later. This is something that I did when I was a much younger man, and it is something that millions of American families all over the nation are doing right now.

When the money simply isn’t there, it is just so tempting to whip out a credit card. But credit card debt is one of the most insidious forms of debt because of the high interest rates most credit card companies charge. And at this moment credit card companies are jacking up rates to a degree that we haven’t seen in many years

WalletHub says average credit card APRs for people with good credit and business credit cardholders — at 20.9 percent and 18.5 percent, respectively — are the highest they’ve been since it began tracking rates in 2010.

For people with less than stellar credit, even those rates might be out of reach, McClary said. For example, a new applicant with a credit score in the low 600s might be offered an APR of about 22 percent, he said.

Unfortunately, the more debt that you accumulate, the less likely it becomes that you will ever start building up substantial wealth of your own.

Today, tens of millions of Americans are deep in debt and are working exceedingly hard to make other people rich. And this is one of the biggest reasons why well over half the nation is currently living in “asset poverty”

Many Americans claim they simply don’t earn enough money to build any type of savings account or amass any meaningful financial assets. Now, a troubling study out of Oregon State University finds some definite statistical truth to these sentiments, concluding that over 63% of American children and 55% of Americans live in “asset poverty.”

In other words, most Americans are living right on the edge financially, and that is a very dangerous place to be. If you are not familiar with the term “asset poverty”, the following is a pretty good definition

Asset poverty means having few or no financial assets to fall back on in the event of a financial calamity, such as losing one’s job or encountering a medical crisis. Some examples of common financial assets are vehicles, houses, savings accounts, and investments. Without these assets, weathering a financial crisis is extremely difficult.

When you really don’t have any real wealth of your own, you are essentially living paycheck to paycheck, and a single major setback can be absolutely disastrous.

In America today, financial difficulties are one of the biggest reasons why so many of us are completely stressed out, and the next recession hasn’t even officially begun yet.

But with each day we continue to get more numbers that tell us that big trouble is on the way. For example, we just learned that the U.S. lost 4,500 trucking jobs last month

The trucking industry has been battling challenging circumstances so far in 2019 – which includes the loss of thousands of positions last month.

According to data from the Bureau of Labor Statistics, the industry lost 4,500 jobs between July and August.

And of course trucking companies continue to go bankrupt at a staggering pace. According to Business Insider, more than 600 trucking companies have already gone bankrupt so far this year…

Indicators from the trucking industry have been sour in 2019. In the first half of the year, around 640 trucking companies went bankrupt, according to industry data from Broughton Capital LLC. That’s more than triple the number of bankruptcies from the same period last year — about 175.

Sometimes people think that I exaggerate when I warn people about what is coming. But the truth is that I am not exaggerating at all. If anything, I feel frustrated that I am not able to effectively communicate how bad it will actually be when things start to get really crazy.

As a nation, we have been making incredibly bad decisions for decades, and we have been running in the exact opposite direction of where we should be headed as fast as we can.

In life, all decisions have consequences, and we are going to pay an extraordinarily high price for our exceedingly foolish decisions.

For the moment, things are relatively quiet. But that quietness will not last for much longer.
 
Our debt is too high. The fed is printing money to buy our own bonds. Even raising taxes won't help at this point. Our government is in tremendous debt and won't stop spending. Of course, a recession is coming. I'm thinking a depression is coming.
So, if so many people believe this, are they:
learning to grow their own food
learning to do things on their own
eliminating debt
buying/storing/preserving food
living frugally
stop relying on the govt to save their butt
learning to be self reliant

No. I doubt it.
 
...learning to grow their own food
No
learning to do things on their own
Yes
eliminating debt
Don't have any
buying/storing/preserving food
Buying and storing to a mediocre extent, but not preserving my own
living frugally
Always have (which explains my answer above regarding "eliminating debt")
stop relying on the govt to save their butt
Never have, it's usually the government that is relying on me to save their butt
learning to be self reliant
Always have been, unless you're talking to the extreme (e.g., I will buy a good knife rather than try to make my own)

One other thing ... we have been learning Day Trading, which gives you a good foundation and heads up to spot trends in the stock market. That may be a trend over several months, or a trend over ten minutes. Combine that with learning and practicing shorting assets to make money during a downturn. Learning futures and options. When the stock market crashes (it will), we want to be one of the few that make money from it, not lose money like the vast majority of people will. Priority #1 is of course protecting what you've got. But right after that comes making a killing during the drop.
 
Coming?... folks we have been in one for more than 20 years, it’s been camouflaged, buried in borrowed money and fake news ... and it will get worse. The 2008 bank bailouts were as one highly placed friend in international corporate banking (think bank to bank and bank to government) said “a heartbeat away from Armageddon”. Smoke and mirrors covered that one and it’s only gotten worse. There’s a limit to the number of times they can kick the can down the road before they miss.
 
60 Percent Of Americans Believe A Recession Is Coming
And I am one of them.
Everybody is on the bandwagon but nobody will say WHEN!!!
I will.
I'm every bit as good as half of these prognosticators.:dunno:
The recession will start in the second week of October 2020. The good news is, it will only last 4-6 months:(.
 
OK, I'll bite. Why Oct 2020? I know Oct is the worst month always for the stock mkt. Is it to draw importance to the Nov election, so the next Prez we vote for will "save us"? Or will it be then to intentionally set up Trump to look like he wrecked the economy, so a Dem will be elected, and it'll be socialism for all?
 
Claims of eminent recession always cause me to sigh. I could not even guess how many times each year I see articles or videos where they financial guru proclaims we are about to re-enter the Great Depression and the market is about to collapse. And yet time and time and time again it ends up being nothing or a tiny bump on the road. I will admit that am not the most well-versed forum member there is on this topic but I have heard people cry wolf so many times I have a very hard time believing there is a wolf.
 
you know the story of that comment? the boy who cried wolf so many times when there really was a wolf nobody believed him.

Only in this case the wolf was imaginary and never showed up. 1,987 cries of wolf...still no wolf...
 
On a serious note...yes, recession is coming. I won't predict exactly when, but I'm fairly confident it will be in the next 12-18 months. One of the best indicators of economic growth is rail traffic, and car loadings are going down across pretty much the entire American rail system. Plus, we are deep into the growth phase of the economic cycle. If you look at history, there's an economic slowdown every 7-10 years or so. We're in year 8 (or 9, depending on who you listen to) of growth...growth doesn't last indefinitely.
 
OK, I'll bite. Why Oct 2020? I know Oct is the worst month always for the stock mkt. Is it to draw importance to the Nov election, so the next Prez we vote for will "save us"? Or will it be then to intentionally set up Trump to look like he wrecked the economy, so a Dem will be elected, and it'll be socialism for all?
None of the above.
The one thing the market cannot tolerate is uncertainty.
The "possibility" of an unfavorable outcome will have them pulling their irons out of the fire long before the election.
Ever heard the phrase "last one out is a rotten egg" or "get out while the getting is good"?
It's like that.
How long the recession lasts will depend on the election outcome.

Also going to be a big correction before Christmas this year, like last year. Lots of BMW's have to make it under the tree:D.
*This is all total speculation and is as invalid as any other 'expert' reading a crystal-ball.
 

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