A worsening shortfall in new credit
Global macro economic data has been weak for many years, but there’s now a very real chance of a world-wide recession happening in 2017.
Why? A dramatic and worsening shortfall in new credit creation.
The world’s major central banks have, again, done the world an enormous disservice. Instead of admitting that maybe/perhaps/possibly the practice of issuing debt at more than twice the rate of underlying economic growth was a very bad idea over the past several decades, they instead doubled down and created an even larger debt monster to be dealt with.
The resulting global asset price bubble -- or, more accurately, set of nested and incestuously intertwined bubbles -- can collectively be called the Mother Of All Bubbles (MOAB). None has ever been larger in history.