As markets lurch between relief rallies and sudden reversals, ten developments now unfolding across equities, bonds, currencies, and commodities suggest the global monetary order is quietly being rewritten heading into Q1 2026.
AS I POINTED OUT EARLIER IN THIS THREAD.....52 card p.u., R U DOING YOUR DUE DILIGENCE?
Examining the causes of the Great Depression raises multiple issues: what factor set off the first downturn in 1929; what structural weaknesses and specific events turned it into a major depression; how the downturn spread from country to country; and why the economic recovery was so prolonged.[6]
Many rural banks began to fail in October 1930 when farmers defaulted on loans. There was no federal deposit insurance during that time as bank failures were considered a normal part of economic life. Worried depositors started to withdraw savings, so the money multiplier worked in reverse. Banks were forced to liquidate assets (such as calling in loans rather than creating new loans).[7] This caused the money supply to shrink and the economy to contract (the Great Contraction), resulting in a significant decline in aggregate investment. The decreased money supply further aggravated price deflation, putting more pressure on already struggling businesses.
A $10 US gold certificate. The U.S. used the gold standard until 1934 and controlled nearly half of the global gold supply during the inter-war period.
The U.S. Government's commitment to the gold standard prevented it from engaging in expansionary monetary policy.[clarification needed] High interest rates needed to be maintained in order to attract international investors who bought foreign assets with gold. However, the high interest also inhibited domestic business borrowing.[citation needed] The U.S. interest rates were also affected by France's decision to raise their interest rates to attract gold to their vaults. In theory, the U.S. would have two potential responses to that: allow the exchange rate to adjust, or increase their own interest rates to maintain the gold standard. At the time, the U.S. was pegged to the gold standard. Therefore, Americans converted their dollars into francs to buy more French assets, the demand for the U.S. dollar fell, and the exchange rate increased. One of the only things the U.S. could do to get back into equilibrium was increase interest rates.[citation needed]
In the late 20th century, Winner of the Swedish Central Bank Nobel Memorial Prize in Economic Sciences economist Milton Friedman and his fellow monetarist Anna Schwartz argued that the Federal Reserve could have stemmed the severity of the Depression, but failed to exercise its role of managing the monetary system and ameliorating banking panics, resulting in a Great Contraction of the economy from 1929 until the New Deal began in 1933.[8] This view was endorsed by Fed Governor Ben Bernanke who in 2002 said in a speech honoring Friedman and Schwartz:
Let me end my talk by abusing slightly my status as an official representative of the Federal Reserve. I would like to say to Milton and Anna: Regarding the Great Depression, you're right. We did it. We're very sorry. But thanks to you, we won't do it again.[9][8]
— Ben S. Bernanke
Stock market crash
The Wall Street Crash of 1929 is often cited as the beginning of the Great Depression. It began on October 24, 1929, and kept going down until March 1933. It was the longest and most devastating stock market crash in the history of the United States.
THERE WAS NOT ONE SINGULAR FACTOR...MANY FACTORS CONVERGED TOGETHER AND THE RESULT WAS CATASTROPHIC....SO WHEN U SAY IT IS HYPERBOLE.....U R ASSUMING IT WILL NOT HAPPEN AGAIN.....PERHAPS,PERHAPS NOT...BUT WHEN U LOOK AT THE POSTS ABOUT THE FINANCIAL GURU'S SCRATCHING THEIR HEADS AND STATING...WE DON'T KNOW WTH IS HAPPENING....IT GIVES ROOM FOR PAUSE AND RECONSIDERATION...IF U R FORWARD THINKING..
homeagain wrote:
..BUT WHEN U LOOK AT THE POSTS ABOUT THE FINANCIAL GURU'S SCRATCHING THEIR HEADS AND STATING...WE DON'T KNOW WTH IS HAPPENING....IT GIVES ROOM FOR PAUSE AND RECONSIDERATION...IF U R FORWARD THINKING..
Financial “gurus” don’t know what’s happening because Trump is making unconventional moves. All your gurus likely said the tariff negotiations would crash the economy and were probably the same gurus who predicted his 2016 win would destroy the economy. It’s probably a better idea to use your own reasoning, unclouded by TDS or course. What do the gurus think about the trillions of investment dollars pouring into the country? Probably not even factored in to their lame predictions.
The left is angry because they are now being judged by the content of their character and not by the color of their skin.
I CAN ONLY RESPOND WITH THIS....BUFFETT BLOWS THE MARKET,BRINGS HOME BUNDLES OF CASH....U DECIDE, WAS HE WRONG OR DID HE FORESEE FAILURE AND FOLLOWED HIS ADROIT INSTINCTS ???
Or maybe he was looking at his retirement and positioning the company in such a way as to allow his successor to chart their own course rather than trying to adhere to his?
OR PERHAPS HE WAS POSITIONING THE COMPANY TO RIDE IT OUT AND THEN INSTITUTE THE PROPOSED CHANGES (i AM SURE HE MADE SOME SUGGESTIONS).......BUT TURNED IT OVER, WITH FULL CONFIDENCE THAT HE HAD DONE THE RIGHT THING.
So you agree . . . there are many possible reasons that Buffett acted in the manner he did that are outside a feeling of failure in the near future.
This isn't the first and only time Buffett withdrew from the market and into a stronger cash position. Mostly he has followed this path when he feels the market is overvalued. He has a history of not investing heavily during times when the market is expanding rapidly, sometimes at the expense of profits that may have been earned had he been willing to participate in the expansion.
The most important aspect of Berkshire in Buffett's eyes has always been its reputation, not it's net worth, and he has sacrificed the latter to protect the former many times during his tenure.