The U.S. economy is staring down the barrel of a financial shotgun thanks to the Chinese real estate bubble that just popped.
“The mess in China does not stop with Evergrande,” according to Mike Shedlock.
How huge? Well, we’ve seen this before in the U.S. (the Great Recession) and in Japan, where the real estate bubble of the late 1980s led to a “lost decade.” These economic events don’t respect national borders. They go global.
With that in, here’s how bad it might get
China officials asked to get “ready for the possible storm”
Get ready for the possible storm ahead…
That’s exactly what the Chinese leadership warned local authorities after the Evergrande collapse became apparent. According to a Kitco report:
Jim Rickards...writing the following on Twitter: