Economy
Related: About this forumBaltic Dry Crashes To New Record Low As China "Demand Is Collapsing"
Despite a brief dead-cat-bounce late November, which Jim Cramer heralded as evidence of stabilization in China, the world's best known freight index has collapsed to new all-time record lows this morning. Amid a persistent glut of ships and ongoing concerns about Chinese steel imports, The Baltic Dry has tumbled to 471 - the lowest level in at least 30 years.
Worst. Ever.
http://www.zerohedge.com/news/2015-12-16/baltic-dry-crashes-new-record-low-china-demand-collapsing
CoffeeCat
(24,411 posts)...we were told that levels under 1,000 were catastrophic. This was the tipping point that signaled that something was horribly wrong with the world economy.
The 2008 crash caused an economic panic that began in the US and worked it's way out.
People demanded less of everything because they were scared shitless. I remember stores having blow-out sales. They could not move their inventory. It was serious.
Now, we're at 484. For the BDI to be this low signals a worldwide shift in demand. It's more than China.
The BDI measures the price charged to ship raw materials through global freighter routes. There's less of everything moving everywhere.
That anemic number is jarring.
Wellstone ruled
(34,661 posts)You mentioned 2008,point of interest,Samsung moved much of their Appliance Manufacturing out of China and to Mexico during Q 1 of 2009. Since then other companies have made similiar moves. Been in the camp that China is toast and the Commodity Collapse will continue. Dumped our Shippers in 07'. Only Bulkers alive will be Oil and that is for storage.
LiberalArkie
(15,721 posts)LiberalArkie
(15,721 posts)An interesting comment at the site is:
http://www.zerohedge.com/news/2015-12-16/baltic-dry-crashes-new-record-low-china-demand-collapsing
Turbineguy
(37,356 posts)and capacity. In addition fuel prices are relatively low. In addition there has been and increase in engine efficiency. It's not just a reduction in trade.
westerebus
(2,976 posts)We are at the tipping point of the generational age curve. 1950. A few years either side.
Even with the shift to the part time work force, opting into Social Security is expanding.
China's long term growth depends on expanding its at home in place economy.
Tapping into the third world and interdependence between second world economies will not sustain China's accelerated rate of growth.
Consequently, deflation in commodities and manufacturing will continue. IMHO.
magical thyme
(14,881 posts)I already grow as much of my own veggies as possible. With my extra time and the extra warm fall and winter so far, I'm expanding the garden slowly and steadily.
Learning to bake my own bread. Will be learning to knit this winter. Was gifted 2 angora bunnies to grow my own wool.
What little money I spend is small investments in my home or self to cut my expenses longer term. Or small investments to hopefully generate a little under table cash or support me if TSHTF in a real way.
westerebus
(2,976 posts)Just inside the working middle class mix.
No debt or low debt, credit is a good thing when confronted with major home improvements. Interest free two year loan comes in handy.
I like your plan. As for right now, employed and opting into part time some time next year. Same company.
Moving to where I am now was the plan back in 90. So far, so good.