For years we've preached the From the Outside In principle of markets: When trouble starts, it nearly always does so out in the weaker periphery before creeping towards the core.
We saw this in the run-up to the housing bubble collapse, as sub-prime mortgages gave way before prime loans, and in Europe, as smaller economies like Greece, Ireland, and Cyprus have fallen first and hardest (so far). We see this today in accelerating food stamp use among poorer U.S. households. In each case, the weaker economic parties give way first before being followed, over time, by the stronger ones.
Using this framework, we can often get several weeks to several months of advance notice before trouble erupts in the next ring closer to the center.
Which makes today notable, as we're receiving a number of new warning signs. The periphery is giving way.
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Vaccine information needed
I’m Scared…but I’m Hopeful
AndrewOregon: 45 mins ago
Just came across this from last July.
I’m Scared…but I’m Hopeful
Phred: 6 hours ago
Bad sign: “normal people” stealing food at higher and higher rates
Daily Digest 1/26 – Powell, With Year to Run at Fed, Aims to Avoid Past QE Mistake, Unemployed Supertankers Are About to Get Junked on Asia’s Beaches
thc0655: 6 hours ago
Bottom Line
I’m Scared…but I’m Hopeful
Mohammed Mast: 8 hours ago
Hat Tip for the Article Link
I’m Scared…but I’m Hopeful
DennisC: 18 hours ago
COVID Vaccinations 101
I’m Scared…but I’m Hopeful
Mountains are calling: 20 hours ago
One Marriage is Enough! MMast
I’m Scared…but I’m Hopeful
agitating prop: 21 hours ago
The Lyme controversy is by no means over
I’m Scared…but I’m Hopeful
Phred: 21 hours ago
Thanks for the suggestion Mohammed Mast
I’m Scared…but I’m Hopeful
pinecarr: 22 hours ago
LOL
How Real Estate Investing Protects Against Inflation
Mohammed Mast: 22 hours ago