Washington- The global economy is in turmoil, with some of the world’s leading financial markets sliding lower.
The experts in the field of economics have caused the comment face and the fear faced by the world economy, which has been drawn from the major signs and indicators of the world in recent years.
The global economic landscape is moving towards the danger zone due to global conflicts and various macroeconomic factors.
From de-dollarization trends to dumping billions worth of US Treasuries and settling trade in local currencies, the paradigm shift is occurring in real-time.
The BRICS alliance is making it worse as it’s involved in all three formats that can cause damage to the US dollar and the stock market.
According to Macroeconomist Henrik Zeberg, in a report published on watcher.guru. The risk of global economic collapse is mentioned, in affect the stock market and the dollar.
BRICS kick-started the de-dollarization agenda, dumped US treasuries worth billions, and is also paying local currencies for global trade. This move from BRICS could eventually trickle down on the US economy and could affect the stock market and the dollar. (Read here) to know how many sectors in the US will be affected if BRICS ditches the dollar for trade. say the report.
The analyst shared a chart that compared the two-year Treasury yields with the Federal Funds Rate.
The chart shows historical patterns where the market yield preceded the Federal Reserve actions. (Read here) He also pointed out that inflation at 3.4% today is also worrisome as the Feds failed to control price rise. BRICS is also trimming US Treasuries from its reserves since 2022.
“A crash in 2-year yields is coming. And we got clear recession signals. Be worried! Be very worried! I am! The coming recession will be the worst SINCE 1929. But – first blow off top in US Equities (stock market) and Crypto,” the expert said, Henrik Zeberg.