Dawn Bennett Writes Article, “The Year Ahead,” Regarding the Economic Year Ahead

Dawn J Bennett, CEO and Founder of Bennett Financial Services and host of Financial Myth Busting, recently published an article titled “The Year Ahead,” regarding the economic year ahead and her financial predictions for 2016.

“I’ve been saying for over a year that the so-called “recovery” being promoted by the government and mainstream media is propaganda to cover failed policy initiatives from both the White House and the Federal Reserve,” said Dawn Bennett. “Real Americans just aren’t seeing the supposed benefits. A good example of this is this year’s holiday retail numbers. Consumer spending is especially important to the United States, because it makes up 70 percent of our GDP, and holiday retail sales have been disappointing if not depressing.”

“Looking at the numbers from credit card companies, Black Friday sales were down by nearly $1.2 billion, which is good neither for the retail sector nor the economy as a whole. Why? Well, aside from the obvious facts that we simply don’t have the money or the job security to spend-spend-spend, there may be other reasons. AlixPartners, a consulting and research firm, took a look at consumer spending trends over the last year. They reached the conclusion that weak holiday retail numbers are partially a result of upper-middle class shoppers being scared by a fluctuating stock market and waiting until the last minute to shop. And with 300 point drop in the Dow last Friday, it seems like that volatility will remain a factor for even last-minute shopping. Reuters reported that sales growth for the holiday season is expected to be half what it was last year at this time. It seems like high income and low income families alike will be spending less on the holidays this year.”

Below are Dawn Bennett’s predictions for 2016:

  • Prediction 1: The Fed will continue tightening monetary policy (not a one-and-done rate hike) until our fragile economy rolls over even more.
  • Prediction 2: The junk bond asset class is going to continue to liquidate. This started in August and September of this year, but really became apparent in the last several weeks. The media hasn’t given it much focus, but they should, since every major crash traditionally starts with a single asset class the first domino to fall.
  • Prediction 3: Corporate profits and revenues will continue to be weak, along with manufacturing and exports in general, pointing to the fact that we are already in a recession.
  • Prediction 4: The Fed’s rate hike will prove to be very painful. It will continue to soak up liquidity for 2016, which could be as much as $800 billion in excess liquidity taken out of an already fragile and illiquid system.
  • Prediction 5: Greece’s problems will become exponentially worse and Europe’s along with them.
  • Prediction 6: Gold and silver have a strong potential to rise 25 to 50%.

Read more from Dawn J Bennett here: http://www.releasewire.com/press-releases/dawn-bennett-writes-article-the-year-ahead-regarding-the-economic-year-ahead-652454.htm

 

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