Bank Crisis and Recession in Europe Ignored By Most U.S. Media Giants
Watch Fox News tonight and you’ll see news about the upcoming U.S. Election, the U.S. Housing “Recovery,” and of course the Olympic Games. What you won’t see, is any news about the banking crisis in Europe and the recession.
But why are Fox News and other U.S. Media giants ignoring this tremendous threat to the entire global economy? The agendas of Rupert Murdock and other media moguls are always trying to distract the American people from the ugly truth of what is really going on in the real world outside of U.S. borders. It’s not getting better in Europe, on the contrary, it’s getting increasingly worse.
Anyone who has studied the history of financial markets knows that the Great Depression of 1931 was sent spiraling out of control due to a bank failure in Europe. But no one in the U.S. notices or seems to care about this pending threat of history repeating itself. Instead they are gorging themselves on news from media giants like Fox News that choose to highlight the fact that Obama was descended from a slave. Seriously?
But if Europe continues to spiral out of control, how will this affect the U.S. economy? It certainly won’t strengthen U.S. banks and lead to an abundance of lending. My prediction is that bank lending in the U.S. will tighten up even more, as the European debt crisis worsens. Although no one has a crystal ball to be able to predict how the crisis in Europe will ultimately unfold, one thing seems clear. U.S. banks will certainly not be encouraged to loosen up lending by what’s happening with the Euro banks. If anything, they will likely become even more conservative than they are today and borrowers will have even less options for credit.
For this reason, private money and hard money lenders will become even more important going into 2013 to provide loans for businesses and investments to create jobs and other opportunities in the U.S. Economy. Keep a vigilant eye on what’s happening in Europe. History may be about to repeat itself while our eyes and ears are on the U.S. Elections and Olympic Games.
