A Pessimists’ Guide To 2017: When Everything That Can Go Wrong, Does Go Wrong

Jon Alternative Media, Blogosphere, Economy, Geopolitics, Politics, Real Estate

There’s a lot to be worried about going into 2017 both in terms of financial markets and in terms of geopolitical concerns.
Globaly, SocGen’s latest quarterly “Swan Risk” chart points out that China is the big “‘pure’ economics” risk in the G5, with the “most significant risks with pockets of significant excess in housing, high debt levels and a burgeoning NPL problem,” and thus they see the risk of a hard landing at 20%. Taking it one step further, they added that “insufficient” structural reform “leaves the economy at very significant risk of a lost decade, which we set at a 40% probability.”
Broader political risk remains a major threat, conjoining the numerous upcoming European elections, potential spillover from policy uncertainty in the EU, and “significant uncertainty” regarding future US policy (with Europe the most concerning).”

This post was published at Zero Hedge on Dec 6, 2016.