Lucky Horseshoes & Empty Promises Won’t Halt This Decline
December 3, 2012
With continued volatility in key markets, today Michael Pento writes exclusively for King World News to let readers know what is happening around the world and what to expect going forward. Here is Pento’s piece: “Many investors still hope that the global economy will experience a significant rebound in 2013. I guess it is human nature to assume the optimistic position that our economic fate will turn to the upside with the new calendar.”
Michael Pento continues:
“In fact, a Bloomberg poll of 862 global investors taken this month showed that 66 percent of respondents believe in a stabilizing or improving global economy, compared to just over 50 percent in September. The survey also indicated that the world economy is in its best shape in 18 months as China’s prospects improve and the U.S. looks likely to avoid the Fiscal Cliff.
In sharp contrast, I believe the temporary illusion of global stabilization has come from a massive increase in public sector debt, artificially-produced low interest rates that can never be allowed to increase and central bankers that have taken their cue on how to conduct monetary policy from Gideon Gono (Governor of the Reserve Bank of Zimbabwe)….