When Is It Going To Happen? The Truth Is That It Is Happening Now…

For a long time, we were warned that a cost of living crisis would be coming.

That is happening now.

For a long time, we were warned that delinquency rates would rise because consumers were piling up too much debt.

That is happening now.

For a long time, we were warned that foreclosure filings would surge when the current housing bubble started to burst.

That is happening now.

For a long time, we were warned that cryptocurrency prices would plummet.

Now more than a trillion dollars in cryptocurrency wealth has been wiped out.

Another thing that we have been relentlessly warned about is the weakness of the labor market.

Today, we learned that “the pace of layoffs has picked up over the past four weeks”…

~ Full article…

Ed Dowd: It Has Begun — Housing, Credit and FCF Have Cracked … Stocks Are Next

Ed explained that the math just isn’t mathing. OpenAI, the company behind ChatGPT, needs something like $900 billion of annual subscription revenue at 25% margins just for a 10% ROI.

Nope, not going to happen.

And certainly not before their first waves of chips wear out and have to be replaced at enormous cost.

So, what happens when this bubble bursts? Ed believes that a serious market crash is in the cards. Of course, this means stocks will drop in price, but the main action is going to be in the credit markets.

Treasuries will continue to advance in price (fall in yield), making them an attractive option to ride out the storm, while other forms of lesser credit will implode, as is already happening across the subprime lender space (TriColor, PrimaLend, First Brands).

When will this happen? According to Ed, it already is.

https://www.activistpost.com/ed-dowd-it-has-begun-housing-credit-and-fcf-have-cracked-stocks-are-next/

Fed Quietly Injects $125 Billion in Repo Market

The public must have confidence in the banks, and the banks must have confidence that the Federal Reserve will always catch them before they fall. We’ve seen several smaller banks go under in 2025, yet they were small enough not to raise concerns. The Fed fears panic more than it fears inflation. Powell knows that the central bank lost the ability to control inflation, but for now, it can control panic.

https://www.theburningplatform.com/2025/11/12/fed-quietly-injects-125-billion-in-repo-market/