The United States Is Already in a Recession, Satan’s Soldiers Will Be Brutal and Unforgiving, Tribulation Is Underway, and the Red Horse Is on Its Way!

HNewsWire: According to a market mood expert, the US economy is now on the brink of getting into recession. A substantial amount of malinvested wealth will be wiped away, and sections of the economy formerly impervious to crises may not be so this time around, he said.

Research shows that the economy is subject to "confidence cycles," and when consumer mood moves toward the belief that a recession is on the way, the market will actually experience one.

"I believe the mood has been baked to the point that people are now behaving on the presumption that a recession is imminent. Remember, Peter Atwater, a former hedge investor who is now a professor at the College of William & Mary in Virginia, argued that action is what truly causes a recession to arise.

The Federal Reserve's ultra-low borrowing rates have allowed hundreds of corporations to fake their profitability, according to Atwater.

There is "infinite" financial engineering potential with free money, he claimed. The Federal Reserve Bank of New York's headquarters
The Washington Federal Reserve Bank on January 26th, 2022.

As interest rates rise, these enterprises will find it more difficult to renew their loans. As he predicted, "thousands" of these enterprises might go down. "It's sucking the breath out of the room."A lot of "dream" businesses are going to fail as financing grows tighter, he said, citing investors' "overconfidence in the market" as the reason for this.

"The magnitude of equity destruction is going to be huge," he remarked of the large amount of money that was foolishly invested in order to capture dreams. This "work-from-home myopia" of the financial elite has so far prevented them from seeing the severity of the issue, he said, labeling it "work-from-home insularity."

Financial elites spend so much time away from the actual world, he added, "that I fear they've lost sight of the idea" that people who distribute their goods and live in the real world have to purchase petrol.

The safest bets for investors during prior recessions were frequently found in certain sectors of the economy. Government bonds and enterprises that cater to affluent customers, such as luxury goods makers, are examples. These days, large IT businesses are seen as secure investments.

On December 1, 2021, a trucker pulls up to the Love's Truck Stop in Springville, Utah, to fill up his tank. According to Atwater, all of them may also be battered this time around.

I don't believe investors realize that we're in the midst of both a bond and stock unwinding at the same time." There's nowhere to run," he warned. A business servicing wealthy clients can discover that its customers are in a worse financial position than predicted.

According to Atwater, there have been signs in recent years that the wealthy have taken on significant amounts of debt in order to avoid paying taxes by adopting the maxim "don't sell it, borrow against it."

His assessment of the plan: "It's a wonderful tax approach, but it has no link to reality." Thus, "none had imagined that the highest possible losses may be among the clients who have historically been the safest."

Also, he has witnessed a strange phenomena in which market participants get worn out by protracted market volatility without really experiencing a bottom.

"Everyone has a 'Are we there yet?' feeling." 'Is the job finished?' People are drained. I don't have a fear, I'm just tired. There has never been a market bottom on complaining in the sense that we're all simply worn out by it," he said.