The IMF assessed the state of the global economy ahead of a G20 summit meeting in Indonesia and found that just about everything was both bad and getting worse.

It blamed the darker outlook on tightening monetary policy triggered by persistently high and broad-based inflation, weak growth momentum in China, and ongoing supply disruptions and food insecurity caused by Russia’s invasion of Ukraine.

This was an even worse outlook than the IMF announced last month when it cut its forecast of global economic growth to 2.7%.

Between high inflation just about everywhere and contracting or collapsing economic activity just about everywhere, there simply are no economic bright spots anywhere. It’s all bad news.

This, of course, comes as no surprise, as the global economy has been signaling for a while now that a major SHTF moment is coming.

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The Light Up Ahead Is Not The End Of The Tunnel

The message today is very clear and very simple: Be afraid. Be very afraid. Yesterday was a bad day in the world’s financial markets. However, it was not just a bad day, nor even a collective bad day, but a synchronized bad day—where everything was bad in the same way at the same time—coming on the heels of a series of collective bad days…

4 months ago · 22 likes · 27 comments · Peter Nayland Kust

Moreover, falling fertilizer production could spell a good deal more than just food insecurity in 2023. Hunger and even famine is a very real possibility for an increasing number of countries.

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We've Had Food Price Inflation. Now We Get Food Insecurity

The good news for the world is that global food price inflation is very much on the retreat. Real food price inflation as measured by the UN Food and Agriculture Organization’s Food Price Index has declined for the past six months, with prices for some food categories moving from disinflation to outright deflation…

3 months ago · 12 likes · 8 comments · Peter Nayland Kust

Meanwhile, Europe is not merely facing economic contraction and recession. An economic depression with potential de-industrialization is a very real outcome for Europe.

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Will Europe De-Industrialize?

Europe, led by Germany, could be facing an existential crisis catalyzed by the ongoing energy crisis. Businesses, particularly heavy industry, need access to energy in order to operate. Because of the energy crisis, an increasing number of industrial firms are choosing to shut down…

3 months ago · 9 likes · 11 comments · Peter Nayland Kust

The only real flaw in the IMF’s prognosis for the global economy is that, despite an even grimmer outlook than just a month ago, it probably still has not stated just how bad things are likely to get.

Interesting times are coming…everywhere.

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The IMF Looked At The Global Economy And…