Yeldub, no doubt the last GFC took you totally by surprise. The next one will absolutely shock you.
Australia has an overvalued currency and a very expensive real estate market. Australia has a banking system heavily reliant on ongoing house price rises to stay profitable. It also has a heavy reliance on foreign funds.
The mining boom is basically over for iron ore and coal. For example, iron ore prices are below US$90 which is over 50% down from this time last year. And the cost of mining and infrastructure keeps increasing in Australia and is now 50% higher than it is in the USA.
We have a Government that only knows how to spend. It considers money only as an 'input'. It is an economic and financial pygmy.
Join the dots. The coming Great Correction scenario is not in doubt only the timing.
