From Neil Dwane, head of European equities at Allianz Global Investors, which oversees €412 billion ($463 billion) of assets:
Commodity markets are telling us this is quite serious.
If Mr. Dwane had a clue, his statement would have read: “Commodity markets have been telling us this is quite serious.” Like most mainstream economists he had no idea that crashing commodity markets since last year were signaling financial turmoil, economic contraction, and falling asset prices. SLL and other sites have been calling falling commodity prices the canary in the coal mine for months (see “Oil Ushers in the Depression,” SLL, 12/1/14). His “quite serious” also manages to understate the dangers of debt contraction and its attendant consequences after the largest credit expansion in history. Multiple and interrelated bubbles popping in a world with over $200 trillion in debt promises to be no less than earthshaking (see “Crisis Progress Report (10): Bust,” SLL, 8/21/15). Whatever Allianz Global Investors is paying Mr. Dwane, it’s too much. Investors should consider being among the first to remove their money from the €412 billion the firm oversees.
