JP Morgan, Economists Agree: Market Collapse Will Strike in 2013

Kevin Hayden – TruthisTreason.net

Source: MoneyNews

According to a major bank, a pair of noted economists, and one controversial billionaire, 2013 will be a “year of terrible reckoning” for the stock market.

JP Morgan just released its outlook for the first quarter. Surprisingly, this regularly bullish company has reversed course and revealed an ominous chart that every investor needs to be alerted to.

As you can clearly see, stocks have retraced the pattern from the last two big market rallies (averaging over 100%), and now face a massive decline in 2013 (of over 50%).

JP Morgan isn’t alone in its stark predictions.

Hayden’s Note:

This is a must-read article. Additionally, by looking at the chart above, one can clearly see that from ’97 to ’00, it was a moderate uphill climb, followed by a very similar descent. In ’02, it took much longer to get to that high market rally point before descending much more rapidly than the previous fall. The ’09 ascent will likely not top off for several more months, suckering in more market-players before crashing faster than ever before.

Just be prepared for it; I would get out of any risky holdings and hedge myself with a portion of precious metals – physical metals, not paper investments – as well as looking at other currencies to get into. Tangibles of various types always pay dividends, as well. - This is not financial advice; I simply enjoy rambling and offering my opinion. 

Economist and NYU professor Nouriel Roubini has said in recent interviews that there is a chance that an economic “perfect storm” will devastate global markets in 2013. He points to a worsening eurozone crisis, a hard landing for the Chinese economy, and a war in the Middle East that could push oil prices above $200 a barrel.

Agreeing with Roubini’s worrisome outlook is billionaire Jim Rogers. In a recent interview with Yahoo Finance, Rogers says regarding 2013, “You should be very worried, and you should prepare yourself.”

Rogers referenced a little-known economic cycle that proves the United States experiences a slowdown every four to six years (and 2013 marks four years since our last slowdown).

Perhaps most alarming of all are the predictions made by economist Robert Wiedemer.

In a recent interview for his New York Times best-seller Aftershock, Wiedemer says, “The data is clear, 50% unemployment, a 90% stock market drop, and 100% annual inflation . . . starting in 2013.”

Now before you dismiss Wiedemer’s claims as impossible or unrealistic, consider that he and his team of economists correctly foresaw the real estate collapse in 2006, the stock market crash of 2008, and the federal debt bubble plaguing America now.

And bear in mind, Sam Stovall of Standard & Poor’s has stated that Wiedemer “makes a compelling argument for a chilling conclusion,” and MarketWatch’s Paul Farrell called Wiedemer’s work “your bible.”

When the interview host questioned Wiedemer’s latest data, the author unapologetically displayed shocking charts backing up his allegations, and then ended his argument with, “You see, the medicine will become the poison.”

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