The Real Story Behind the China Trade Deal
Harry Dent | April 04, 2019 | Since last November I've been forecasting that we are likely moving into another Dark Window of spectacular gains before a big crash in early 2020. It didn't look that way into December when stocks were down 20% or more, the largest correction since 2011 during the euro and Greek crisis. But my short-term indicators were saying this was not yet a crash, just another correction. But then the Fed backed off its aggressive tightening stance. Capitulating to Trump? More like the slowing global economy from Europe to China. The response brought a sharp rally: Markets are still high "on the crack" and raring to go on good news. After the 20% to 25% rally in March, the markets looked like they might take a break and correct before exploding up into the next wave … But the markets won't back off. In fact, they're now looking for the second relief switch: The Trade Deal with China. Currently, stocks look likely to retest the late September/early October highs before taking a substantial correction. Oh, it's got to be imminent. China needs it more than us as they export 3 -4 times to us what we export to them… But you have to remember that China has a long-term plan: To become the number 1 country in the world and supplant the U.S. leadership since World War II. They are more willing to take more pain for that than we are… And Chairman Xi is now largely grandfathered in forever as their leader. I cover this "peak in globalization" in Zero Hour with a great long-term chart with peaking surges in global trade in 1913 and NOW – every 100 years or so. Trade just seemed to peak recently, as this chart shows. 
Donald Trump should be worried about that. The president is perhaps the most controversial figure to hold office in history. He knows he needs to get re-elected in 2020. And I am predicting the greatest crash in our lifetime to likely start by early 2020… READ MORE »
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