More Analysts Also Believe a Recession is Coming

For well over a year, since before this post in November 2017

https://fulnessoftimes.blogspot.com/2017/11/the-coming-crash.html

I have told people that I believe a recession is coming late 2019 or early 2020.

I expect the recession to begin in late 2019, and things will get worse through 2020 (and probably into 2021 and possibly into 2022 before improvements are touted by the party in control...even though their policies really won't be helpful in the long run).

Over the last year I've read more and more analysts starting to project a similar start to the next recession--late 2019 or 2020.

Today I read three articles that go right along these lines...and they are not from some fringe financial group looking to stir up fear among investors.

What Wall Street strategists forecast for the S&P 500 in 2019
https://finance.yahoo.com/news/wall-street-strategists-forecast-sp-500-2019-131219152.html 

Next US recession will be 'much worse' than the last: Euro Pacific Capital CEO Peter Schiff
https://finance.yahoo.com/news/next-us-recession-apos-much-084550079.html 

History shows a U.S. recession will probably happen within 24 months
https://finance.yahoo.com/news/history-shows-u-recession-probably-150201052.html

I have other references from the past several months, but these three were just from today.

I was anticipating a bit of a dip in the market this year. Some may question my use of dip when the stock market has been really suffering the last couple months, and more so the last couple weeks.

But, this little correction won't be much compared to what will be coming.

And, I'm not projecting a dollar collapse or full economic collapse. That will likely come after the economy attempts to pull out of the coming economic nose dive.

As I've told some people, our country is too far into debt. There is no way out of it except for a complete economic reset. The only other way is for our government to stop spending so much money, to actually set a budget, and be required to spend a lot less (like at least 20% less) than it takes in as revenue.

But that won't happen. Very few politicians are willing to cut spending, except when it applies to the other side of the aisle. But, then they'll just spend what was cut on their own political pork.

How does an economic reset occur?

The quickest and "easiest" way is a war (think - World War III), with the US getting attacked and invaded from the start.

Provided the US is on the winning team, after the war, I believe the plan would be to forgive a lot of debt (particularly where it benefits those in power) and/or debts will be paid by the losing side. A new economy would then be set up. The new economy will likely be one of even greater control, such as a completely digital currency.

Regarding a digital currency, I believe it is being tested in various forms for acceptance and viability. But, I believe there are still too many hold-outs and it would not be as well received and accepted, so it would not work in our current economic environment. However, after a war it would become more acceptable, and easier to implement.

Back to the coming recession...

Please note, I am not a financial analyst or financial adviser.

I'm not a big fan of the stock market. But, while I'm not a fan, I'm not necessarily telling anyone to get out of it, at least not at this point.

Since I do think there will be some improvement, particularly over the first half of 2019, I think keeping money in a well diversified and indexed stock portfolio may be financially beneficial for those inclined to market risk.

However, I think those who want to keep their money would be best advised to start moving their money to safe, conservative, and more secure investments/securities before the end of summer 2019. Things like high quality bonds. They won't get a high rate of return, but 4-6% will be better than the risk of the regular stock market. It won't take away all risk, and you may miss out on some temporary gains if you were to stay in the stock market, but your money will be more likely to be gaining and not losing.

Most investors have the tendency to buy high and sell low, even when they know you should buy low and sell high.

When the market drops, it's comparable to a store's sale. Yet, most investors freak out when the market drops like it has over the last few weeks. But, if you have the money and want to invest in the market, now is a great time to buy stocks in some markets because many stocks are on sale.

Yes, prices may drop some more, but you aren't paying a high premium like you would've been three months ago.

If you keep your money safe before the recession hits, then when the recession comes, you can evaluate which stock sales you want to spend your money on. Then over the next few years you can, hopefully, watch your investment grow.

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