View: The Four Macro Horsemen of the Apocalypse......Evil Plan 85.0 (by...

The gloomy galloping global marco monetary picture of our times has been discussed ad infinitum at this point, and four deft distinctly defined models have now clearly emerged, laying out the most probable route taken to our ultimate unenviable dystopia. These dreaded dire dangerous paths have been best championed by the following fabulous forecasters; David Stockman, Jim Rickards, John Maudlin & Ray Dalio.  I have dubbed them the four macro horsemen of the coming apocalypse.  Out of the furious fab four, only Ray Dalio riding the dark horse on the right, handily holding a weighing balance dubiously dangling in mid air, believes we could possibly avoid a dooms day debacle.  Although even he has warned that it is a painful perilous long winding road we travel down, full of potential precarious pitfalls.

Let's us now listen to their observations & conclusions in their own words........

1st Horseman David Stockman rides the white horse on the left that prophetically warn us all:  

"I don't think we are at the beginning of a recovery, I think we are at the very end of a disastrous debt super cycle........"

2nd Horseman Jim Rickards rides the red horse with sword raised for battle in the currency wars:

"The FED, the Treasury and the White House want a weaker USD to double exports via currency devaluation.......and also want to diminish the value / burden of huge debts owed abroad via reflation."

3rd Horseman John Maudlin rides the gangrene horse of fiscal contraction & forced austerity:

"These aren't growth numbers that are being driven by increased production, or private investments....but rather government spending which is unsustainable......."

4th Horseman Ray Dalio rides the dark horse with his precarious post bubble balancing act: 

"In all deleveragings, the most important thing is to achieve the right balance between fiscal austerity and enough monetization of debt, in order to achieve an interest rate that is below the nominal growth rate, so that over a period of time, in an orderly way, the debts go down relative to the incomes..."

   ********************************************************************************************

The main thing I'd like to point out is that all four of these rough ragged roads do indeed take us down the inescapable putrid paltry path of severe economic stagnation, or perhaps potentially much worse. Whether it be via Stockman's debt bust day of reckoning, Rickard's zero sum competitive devaluations, Mauldin's necessary austere fiscal contraction, or Dalio's long orderly deleveraging, it all ends emphatically with plain people in pain. The stock market will rapidly reflect this inevitable economic end game in unavoidable unwavering swift short order. In the end, you simply can not print your way to prosperity, same as it ever was.

All you reflation to infinity bulls out there, beware the approaching horsemen of the apocalypse.

Evil Plan 85.0........the four harrowing hooded horsemen will take you daft darlings down.

     BDI SOH's Idiot Savant