Inflation data, consumer confidence: What to know this week yahoo.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from yahoo.com Daily Mail and Mail on Sunday newspapers.
A loss of confidence by corporations that contracts share buybacks
Whatever the event is, which is currently unexpected and unanticipated, the decline in asset prices will initiate a “chain reaction.”
Investors will begin to panic as asset prices drop, curtailing economic activity and further pressuring economic growth.
The pressure on asset prices and weaker economic growth, which impairs corporate earnings, shifts corporate views from “share repurchases” to “liquidity preservation.” Such removes critical support of asset prices.
As asset prices decline further and economic growth deteriorates, credit defaults begin triggering a near $5 Trillion corporate bond market problem.
The bond market decline will pressure asset prices lower, which triggers an aging demographic who fears the loss of pension benefits, sparks the $6 trillion pension problem.
Market Watch 666 For 25April 2021 econintersect.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from econintersect.com Daily Mail and Mail on Sunday newspapers.
Calculated Risk calculatedriskblog.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from calculatedriskblog.com Daily Mail and Mail on Sunday newspapers.