USA Watchdog May 1 2013
Financial analyst Karl Denninger has never bought the so-called “recovery” story. Just the opposite is happening right now. He says,“When you look at these indices in the context of the last three or four months, what you see is a deteriorating picture . . . deteriorating employment, deteriorating final demand, deteriorating basically everything.” So, will the Fed print even more money? It might, but Denninger says it won’t help.
“We’re seeing the leading edge of a great deal of softness, and this means the Federal Reserve’s money games have run out of gas.” A weak economy will be the backdrop for Obama Care in 2014, which Denninger says basically transfers healthcare costs to the government. Denninger warns, “If you shift more of the private expense into the government, all you do is bankrupt the government faster. How does this solve a healthcare problem?” Denninger says, “We are sowing the seeds of the next crash . . . and yes, there will be losses.”
Join Greg Hunter as he goes One-on-One with Karl Denninger of Market-Ticker.org.