John Rubino relates that last week saw the global financial system tip from delusion — where it had happily drifted for several years — into chaos. Consider the following more-or-less randomly chosen data points:
Oil’s price falls by $10.36/bbl, or 13.5%, in a single day, to its lowest price since 2010.
Copper falls by 6% to $2.86/lb, 25% below its 2013 high.
European bond yields fall to record lows. Even Italy, with government debt exceeding 130% of GDP, can now borrow for around 2%. Japan, meanwhile, issues bonds with negative interest rates.
European inflation approaches zero, with several member states apparently already in deflation.
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