HSBC Bank Warns Clients: World Economy is like the Titanic, and there are not enough Lifeboats to save you!
by Rob Richardson, Off Grid Survival
HSBC chief economist Stephen King warned clients this week about the impending demise of the world’s economy. In a letter to HSBC clients King warned, “The world economy is like an ocean liner without lifeboats. If another recession hits, it could be a truly titanic struggle for policymakers.”… “In the event we hit an iceberg, there aren’t enough lifeboats to go round.”
As the race for the White House once again heats up, many of the world’s top economists are warning that we are likely to see a repeat of the economic collapse that happened around the 2008 election cycle. As we noted in an article earlier this year, many economists see the 2016 presidential elections as the iceberg that may sink the ship.
Jeremy Grantham, co-founder and chief investment strategist of Grantham Mayo van Otterloo has been telling his investors for the last year to watch out for 2016. He warns that stocks are 65 percent overvalued, and says the bubble will burst around or after the 2016 presidential election – something like a bad replay of the 2008 financial crisis that broke right before the elections.
In King’s letter to investors, he noted that the so-called recovery (since the 2008 crisis) is nothing to be excited about. He warned, “Whereas previous recoveries have enabled monetary and fiscal policymakers to replenish their ammunition, this recovery — both in the US and elsewhere — has been distinguished by a persistent munitions shortage. This is a major problem.”
Since the economic crisis in 2008, President Obama has almost doubled the national debt. On the last day of President Bush’s term in office the National Debt hit a staggering $10.626 trillion; sadly, it has since ballooned to well over $18 trillion. During that same period welfare has grown out of control, one in five U.S. millennials lives in poverty, and almost two-thirds of children in the U.S. now live in a home that receives assistance from at least one government welfare program.
If you haven’t started taking steps to prepare yourself for the coming economic chaos, you really need to rethink your strategies and take a hard look at what’s going on in this country. The signs are everywhere; from an economy that never really recovered in the first place, to governments and banks increasingly attempting to ban paper currency, the writing is on the wall.
How to Prepare for an Economic Collapse
I devoted an entire section to financial preparedness and the coming collapse in my book, The Ultimate Situational Survival Guide; I believe it’s one of the most serious threats we face. Some of the suggestions I outline include: