Personal income and personal spending will rise on credit driven liquidity but a fall in dollar index and rise in gold price will confirm deflation is the main theme
Special Correspondent
Feb. 1, 2007

Personal income has increased from 0.3% to 05% and personal spending jumped to 0.7%. The negative savings is the manifestation ‘no-care’ attitude that always dominates scenes before deflation driven depressions. It happened in 1929. It happened in 1980s in Japan. It is happening now in US, Europe and Asia. The scale is the biggest in Asia.

The surge in personal spending and personal income is common before massive financial meltdowns. The credit balloon is big and the amount of hydrogen pumped into it also enormous. It is just a question of time before the collapse of financial systems start especially in Asia. India and China will the biggest hit.

Personal income and personal spending will rise on credit driven liquidity but a fall in dollar index and rise in gold price will confirm deflation is the main theme
Special Correspondent
It happened in 1929. It happened in 1980s in Japan. It is happening now in US, Europe and Asia. The scale is the biggest in Asia.
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