All posts by Gary Lammert

New Target for Global Crash Low: 8 December 2023

US long term debt instruments reached an inter-day low of 0.4 pc on 9 March 2020 and have risen to a high of 4.997 pc on 23 October 2023. The US central bank is simply allowing supply and demand market forces to apply QT to an overheated economy fueled by printed money, 2 plus trillion dollars of covid savings, and covid forbearance of payments on US MBS related mortgages and US-lended college debt. Covid savings and easy forbearances on debt payments are expiring or have expired. Outstanding credit card debt, subprime automobile debt, and student loan debt make it difficult for further private debt expansion for the masses in the US consumer based economy.

The current fractal pattern of the US Ten Year Note interest rates, in conjunction with the monthly, weekly, and daily fractal patterns of global equity, gold, commodity, and cryptocurrencies provide predictive guidance for the 2023 interim crash low for the non-debt asset entities.

After completing a March 2020, 7/16/17 month :: x/2-2.5x/2-2.5x fractal growth series, US Ten Year interest rates have self ordered into an observable 2/4/4 month fractal growth pattern. On a weekly basis this 2/4/4 month growth fractal is composed of two fractal series: 5/12/7 weeks :: x/2.5x/1.5x and 3/8/3 of 6 weeks :: x/2.5x/2x. The daily fractal series from 5 April 2023 is 21/52/32 days correlating to the 5/12/7 week fractal series and 14/32/ 11 of 25 to 26 days correlating to the 3/8/3 of 6 week fractal growth series. The daily fractal series for US Ten Year Note interest rates are depicted in the image below.

The beginning nadir month of a monthly fractal series contains 4 weeks in it and the beginning nadir week of a weekly fractal series contains 5 days which must be added to the daily subfractal (1) series. For the SPX , 5 down days in the first weekly is added to the 52 day 13 March 2023 to 24 May 2023 subfractal (1) for a total of 56 days {56 vice 57 days because the fifth day of the 5 days contained in the first week down is same as the first day of the subsequent 52 day subfractal(1) series). 8 December 2023 would complete a 56/139 day :: x/2-2.5x subfractal(1) and subfractal (2)series. If the final lower high for the US Ten year note was on day 26 of a 14/32/26 day series 11 December 2023, would complete a 56/140 day series.

Bitcoin in USD final daily series(trading 7 days a week) appears to be self-assembled into an 11 October 2023 10/25/25 day fractal series ending on 8 December 2023. Ford is appears to be self-ordered as a 24 May 2023 19/47/47/14 of 28 to 29 day :: x/2.5x/2.5x/1.5x fractal series ending 8 December or 11 December 2023.

Added 20 November 1030 PM EST

All global equity markets, commodities, gold and cryptocurrencies will undergo a major nonlinear devaluation over the next 13-14 tradings days (13 days for the US considering the holiday) with a current target low date of 8 December 2023. All the major indices have had secondary lower peak valuations with 26-29 October 2023 3-4/7-8/7-8 day final blow-off growth fractal series. For the US NASDAQ, this was a 26 October 2023 4/8/8 day :: x/2x/2x fractal growth series with a 20 November peak valuation slightly lower than its earlier 19 July 2023 high (which is the secondary high to its all-time November 2021 high. See below:

For Citybank its March 2020 to 8 December 2023 current 8/20/19 of 20 month :: x/2x 2x fractal series and 25 May 2023 current daily fractal series are depicted below.

New Target Date for November 2023 crash low: 29 November 2023 day 130 of a 13 March 2023 52/130 day :: x/2.5x fractal series

The 14 day valuation gain from the 27 October 2023 low was unexpected but within the 13 March 2023 52 /104 to 130 day :: x/2x-2.5x nonlinear window. Qualitatively, the dominant service sector US economy has an operational consumer population that has no savings and has the highest ever collective debt at the highest interest rates in over 15 years. The consumer is tapped out. The Chinese economy whose base population savings is in real estate has a different, but real problem with the collapse of property and real estate prices and a collapse of stock valuations of the large corporations, e.g., Evergrande and Country Garden who build residential properties and are currently defaulting on interest debt payments. With collapsing Chinese property values (and equivalent savings), decreased foreign consumption demand because of foreign consumer debt load, and decreased domestic demand because of lost savings, the Chinese economy is near the threshold of significant retrenchment. The Bank of Shanghai, a proxy for the Chinese macroeconomic system, appears to be following a July 2021 35/85 of 87/70 week :: x/2.5x/2x fractal decay series with a subfractal (2) 87 week expected low at the end of November 2023.

The 13 March 2023 to 29 November 2023 52/121 of 130 day :: x/2.5sx fractal series is depicted below with the current 14 day gain part of a 26 September 2023 7/18/14/1 of 10 day fractal decay series.

Lammert Saturation Asset-Debt Macroeconomics: The Current November 2023 Crash Low Valuation for … the Wilshire Composite, the Bank of Shanghai, Oil, Gold, and Crypto is … 21 November 2023

All of the above asset classes – and the inverse for sovereign debt interests, i.e., interest rates have a major interim low ending 21 November 2023. 

Will the crash devaluation for the above assets  be 5, 10, 15, 20, 25%. or more from their current Sunday 12 November  2023 valuations?  Time will tell. The Bank of Shanghai should have a 25-30 percent loss from its current valuation.

The asset-debt macroeconomic  system, a product of human transaction self-orders  the timing of its asset classes’ peak and secondary peak high and nadir low valuations and does in a mathematical fractal pattern just as the universe self orders its parts into structures at different size and time scales: with interaction of subatomic wave-particles;  atomic elements; complex molecular organic chemicals; living cells, organelles and tissue within organisms;  planetary, comet, and debris interactions within star systems, those systems  and black holes within galaxies, and galaxies within the universe.

Underlying the self-assembly of the subcomponents within the size and time scales are the observed elegantly simple mathematical relationships and constants that allow reasonable predictions to be made about the past, ongoing and future interactions at the particular scale.

And so, for buying and selling human transactions of the Asset-Debt Macroeconomic System, more recently strongly influenced by central bank broad QE and QT, elegantly simple  mathematical time-based fractal patterns are observed for the system’s self ordering of its asset classes  high and nadir valuations.

There are only two time-based self-ordering fractal patterns: a three phase fractal pattern of  x/2-2.5x/1.5-2.5x and a 4 phase fractal pattern of x/2-2.5x/2-2.5x/1.5-1.6x.  Subfractal (3) 2-2.5x of the 4 phase fractal pattern can be a peak valuation in an asset=debt system whose worth is expanding such as the subfractal (3) 90 year peak valuation on 8 November 2021 of a US 1807 36/90/90/54 :: x/2.5x/2.5x/1.5 or it can be a low in system which is undergoing fractal decay which is the current Nov 2023 case with severe QT following in March 2022 after unprecedented QE in 2020.

Using quantum time based fractal progression using the two elegantly simple fractal laws of the asset-debt macroeconomic system listed above, the interim crash low for the  Wilshire Composite, the Bank of Shanghai, Oil, Gold, and Crypto is predicted to be 21 November 2023 while the interim low long term  sovereign interest rate(higher valuations for previously purchased US Notes and Bonds)  is predicted to be 21 November 2023.

The below asset class images  and their observed and predicted fractal time progression speak  for themselves.