As the world continues to grapple with economic implosion, records continue being broken from this global collapse.
Records Continue Being Broken From This Global Collapse
April 30 (King World News) – Peter Boockvar: The discrepancy between the stock market and the US Treasury market is glaring again just as we’ve seen before. I believe the stock market seems to be mostly focused on the direction of the economic improvement that will come with a reopening while the Treasury market is likely more focused on the degree of that improvement.
… After the Fed touted all the tools that they’ve unleashed while Jay Powell reminded the fiscal authorities of their importance here, ECB President Lagarde today is likely to take the same approach. After also sharply increasing the size of their balance sheet with many hundreds of billions to go (they will add about 1 Trillion euros on this go around), Lagarde will again press governments for more fiscal help. We’re getting it but it will be her way of saying there is only so much the ECB can do.
ECB Balance Sheet Skyrocketing!
This Is The Situation As China Reopens
As the Chinese economy continues to reopen with domestic business certainly better than the export side, the April state sector weighted manufacturing and services index rose a touch to 53.4 from 53 with a bounce in services to 53.2 from 52.3 offset by a drop in manufacturing to 50.8 from 52. Services were a bit better than expected while manufacturing was slightly less. Much of the weakness in manufacturing not surprisingly was the export side which fell sharply to 33.5 from 46.4. Within services, new orders got back above 50 and business activity expectations rose to 60.1 from 57.3. Bottom line, China’s economy is becoming more dependent on themselves and less reliant on its trading partners for growth, a path the US went on over the decades.
The private sector weighted manufacturing index for April fell to 49.4 from 50.1. The estimate was 50.5. Caixin said simply “China’s economic recovery was hindered by shrinking foreign demand, despite the domestic epidemic being largely contained.”
But In Japan…
We got an April number from Japan and it was its consumer confidence index and it fell to just 21.6 from 30.9 in March. That was 6 pts below the forecast and the lowest print on record dating back to 1982. The number is not market moving and as economies reopen again this should improve.
Japan’s Consumer Confidence Collapses
To Lowest Level In History!
EUROPE: This Exposes Their Idiocy
…While now is the absolutely worst time to have higher inflation which would further squeeze many who have lost their jobs, the April Eurozone CPI rose .4% y/o/y, above the estimate of up .1% and the core rate rose .9% y/o/y, above the forecast of up .7%. These are still low levels but again, this exposes the idiocy of wanting higher inflation that would just crush the livelihood of the average person, especially now.
Bottom line on all the economic data we’re seeing in Europe and the US, the March and April data is basically irrelevant in that we know what caused it. It’s like banging your head against the wall and then having a headache. We don’t need to analyze why you have a headache, only how long it lasts. In China and other parts of Asia as things are still mostly open, the domestic data is more relevant and in coming months in the US and Europe it will become important again as things reopen.
Kirkland Lake Gold Skyrocketed From $1 To Over $50!
Two Billionaires Just Bought Huge Stakes In The Next Kirkland Lake Gold!
To find out which company two billionaires just bought huge stakes in they believe will be the next Kirkland Lake Gold click here.
Celente Issues Major Trend Forecast
***Also Released: Gerald Celente Just Issued This Major Trend Forecast CLICK HERE.
***To hear Michael Oliver’s call for gold to hit new all-time highs click here or on the image below.
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