Worldwide Indicators of SHTF, September 2012

Global Economy. Moody's downgrades the Global Economy,..."Moody's analysts states that: risks to the global forecast remain to the downside and have risen relative to the risks perceived earlier in the year. The main risks to the global macro outlook stem from (i) a deeper than currently expected recession in the euro area, for example caused by deeper credit contraction; (ii) the risk of a hard landing in major emerging market economies, including China, India and Brazil; (iii) an oil-price supply-side shock resulting from resurfacing geopolitical risks; and (iv) the risk of sudden and sharp fiscal tightening in the US in 2013, given recent political gridlock."

Spain. Jobless roster grew to 4.63 million people in August 2012. The Spanish are suffering a nearly 25 per cent unemployment rate.

France. Unemployment now at 10%; businesses and capital are leaving France at an alarming rate due to high taxation on businesses and the wealthy by the new Socialist Government. 

Greece is expected to hit 27 to 29% in early 2013. 1 in 3 Greece businesses are closing.

Iran is now reported to be much further along than previously thought in development of a nuclear weapon, both in the enriching of uranium and the computer modeling for weapons design.

United States:
Many Urban food pantries supporting the poor are depleted. Donation both monetary and food supply wise are way down now while the demand is increasing.

Latest data has 46.7 million people on food stamps. Food stamps has doubled in the last four years and there is no reversal in site.

Food Prices already up by an average of 30% in the last 18 month is expected to go up another 8% in the next three months.

U.S. Cities going bankrupt San Bernadino, Mammoth Lakes, Stockton are bankrupt. Fresno, Compton and San Jose are not far behind,...and these are just in California. Rhode Island has Central Falls. Other cities on the bubble (and going to fall) include: Miami; Detroit; Rockland County, NY; and Gary, IN.

National drought. The U.S. Drought Monitor estimates that up to 80% of the contiguous 48 states faced moderate to exceptional drought conditions over the summer. A lack of rain coupled with high temperatures severely damaged corn and soybean crops. The U.S. Department of Agriculture expects the corn harvest to fall 13% from last year’s crop, and expects the soybean crop to fall 12%.

Collapse of the Dollar. The dollar is dropping, and to be fair it comes up and goes down, then comes up again and goes down, but overall the buying power of the U.S. dollar and the respect if has as the World's Reserve Currency is greatly diminished. The Fed is initiating another type of Quantitative Easing which will certainly devalue the dollar more. Fuel prices will go up, as will virtually everything else on the planet.

Oil prices are no longer expected to ever drop below $80 a barrel. In fact, some experts are bracing us to see $200 a barrel in mid 2013.

Hey, things are good. Take that extra $30 and go see a movie. You don't need to buy more foods, supplies or ammunition!!