Commentary
“Battle not with monsters, lest ye become a monster, and if you gaze into the abyss, the abyss gazes also into you.”—Friedrich Nietzsche
Most analysts are pondering whether the upcoming recession will be mild or a “bit more severe.” I do wonder, however, have my forecasting colleagues truly accounted for all things lurking in the shadows of the economy?
As mentioned previously, we envisaged a route to a deep economic contraction in December 2019. In the Special Report, we outlined what we saw as the main inflection points of the coming crisis. We said, “The two inherently-entwined vulnerabilities, where the crisis is likely to start, are: the [U.S.] credit/stock markets, outlined above, and the European banking sector.”…
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