8 November 2021 represented the peak valuation for the US (then) 48.95 trillion dollar Wilshire equity index composite.While this date was not prospectively predicted by fractal analysis for the self-assembly  asset-debt system,it represented a x/2x/2x :: 31/62-63/62-63 monthly growth from the March 2009 low and  a 36/90/90 year :: x/2.5x/2.5x growth from the US hegemony low starting in 1807.

Interest rates for  US sovereign long term Notes and Bonds have been declining in a cascading manner since the Volcker peak of September 1981 with a series of lower high interests preceded by lower lows.The  last cycle starting at its low for the US Bond market began in December 2008 at 2.61% after the 3 October 2008 Emergency Stabilization Act and the preceding housing bubble induced Lehman Brother’s implosion. The US 30 year Bond’s cascadingly lower highs and lower low interest rates were propelled by post 2009 QE programs and post covid MBS’s  and resulted in another lower low in April 2021 at 1.17%.  With covid checks exceeding annual wages and  resulting in 2 trillion dollars of savings and with low MBS mortgage rates of less than 3.5 % (and significantly  less for the Blackstone-like financial industry mortgage acquirers), the new credit and money resulting inflation caused blow-off fractal growth of interest rates with a peak 30 Bond interest rate of 5.053% occurring on 6 October 2023.

Do Debt Market valuation follow Lammert quantum fractal patterns?  

The following monthly, weekly, daily fractal series represent Bond interest rate growth rather than previously purchased  bonds’ ongoing converse  valuation decay. These two entities are the (near exact) inverse mirror valuations of each other. Bonds purchased in April 2021 at a 1.17% yield  are, as of 6 October 2023, currently worth only about 22 – 24% of their purchase value. 

Do US Bond interest rates undergo the Asset-Debt macroeconomic system’s quantum fractal self-assembly?

Since the March April 2020 low, 30 Year US Bond interest rate growth has occurred in two monthly fractal series: 7/16/16 months and 2/4/4 months reaching peak on 6 October 2023. The last 2/4/4 fractal series . represents a blow-off x/2x/2x growth fractal series.

The final 2/4/4 month fractal series starting 6 April 2023 is a 5/12/12 week series ending 6 October 2023.

Three Blow-off higher high exhaustion gaps in the terminal 13 days

The final 12 weeks of the 5/12/12 week series starts on 19 July 2023 and is self assembled into three Lammert fractal series: a 4 phase series of 5/12/10/8 days :: x/2.5x/2x/1.6x; a three phase series of 3/7/6 days :: x/2-2.5x/2x with a higher high exhaustion gap between the second and third (three phase) fractal series of 3/6/6 days :: x/2x/2x with a higher high exhaustion gap between day 1 and day 2 of the 6 day subfractal two and a higher high exhaustion gap between day 2 and day 3 of the final 6 day subfractal 3.

The peak of bond Market interest rates likely represents the final lower high of equity valuations. Money exiting from equities will drive interest rates cascadingly lower and ultimately lower than the April 2021 1.17% low.

(Below: amended 8 October 2023)

The projected major self-assembly major quantum interim fractal low for global equities is 27 October 2023.

Based on the Bank of the Shanghai monthly, weekly and daily quantum fractal patterns, the projected major interim fractal low for global equities, commodities and cryptocurrencies is 27 October 2023.

For the Wilshire composed from its August 2023 low, the current working fractal model is (2) sequential 3-phase Lammert fractal decay series of 5/10/11 days ending 29 Sept 2023 followed by and starting on 29 Sept 2023, a 5/8 of 12 days /12 days ending 27 October 2023.

For the Nikkei from its 17 August 2023 low, the two sequential Lammert fractal decay series are 6/12/13 days followed by a fractal series of 4/4 of 10/10 days and ending on 27 October 2023.

Money exiting the collapsing US stock market will drive US Bond interest rates cascadingly to lower lows and eventually lower than the April 2021 1.17% low. 

Next: China property wealth ownership and the implosion of the collective personal wealth of Chinese citizenry.

The current fractal Macroeconomic model to the October 2023 low is

an 18 August 2023 6/15/13/10 day 4 phase :: x/2.5x/2-2.5x/1.6 x fractal series ending on October 16 2023. This a smaller interpolated fractal series is a terminal component of a large March 2020 8/20/18/12 month series ending in September 2024.

Two solid (absolutely no sarcasm intended) US  Republican citizen representatives, serving as senior leadership on the House Ways and Means committee) recently   presented a solid Ron Paul, Ross Perot-like sobering mathematical argument (below) against the sustainability  of America’s spending, obligations, verses its tax revenue numbers with the social security trust fund going bust in 2033. What they said within the context of a family or a business’s budget analogy was unequivocably true, but isn’t the  real state of affairs of the US asset-debt macroeconomic system within the context of the larger global system. Nobel prize winners like Paul Krugman and Milton Friedman understand (understood) the ‘real’ math of the asset debt macroeconomic system, whose basis, by customary nomenclature is indeed fraudulent.

The bottom line in the big picture – of the 1807 36/90/90/54  year :: x/2.5x/2.5x/1.5x  (November 8/2021 Wilshire inflation adjusted third subfractal 90 year valuation high) US hegemonic Lammert (longwave)  Great Fractal Series – is that the US Federal Reserve {backed by the hopefully reliable US nuclear deliverable arsenal} acts exactly like a Parker Brother’s friendly Monopoly game personal  banker.  When a player loses the game and goes bankrupt, the friendly personal banker  in this sovereign Monopoly game can magically extend a loan (from its own ex nihilo persona) to the loser player to continue playing … 

This has already happened in Japan with currently a debt to GDP ratio of 240% with an annual  tax-dependent federal spending to debt ratio of about about 20 % (like the US’s ratio). The Bank of Japan (Fed equivalent) holds most of Japan’s debt.

Debt creation and debt burden happens more easily with near zero to negative interest rates on sovereign debt as has happened during recessions since 2009. More recessions can be expected – but not as severe as 1929-1932 when the symbiotic government-central bank printing press was not nearly as well oiled).

Last week completed a 9/22/18 week :: x/2-5x/2x 3 phase growth fractal series for the Shanghai Composite, exactly matching the Shanghai Property index: 9/21/18 weeks :: x/2-2.5x/2x. For the Shanghai property series this is subfractal 3 of a 5/12/12 of 13 month or a 5/12/10/3 of 7 month series. The Shanghai composite is following a March 2020 monthly 8/19/18 of 19-20 three phase fractal series or a 8/19/16/3 of 12 monthly four phase fractal series.

The March 2020 Shanghai Composite monthly fractal series matches numerically the Wilshire composite’s,

Both composites have a 2/4/4 or 8 month subfractal 1 base.

Subfractal 2 of 19 months for the Shanghai consists of two series: a 2/5/5 monthly series followed by a 2/4/4/3 monthly series. The Wilshire composite’s19 month subfractal 2 consists of a 4/9/10 month fractal series.

Subfractal 3 for the Wilshire consists of a reflexive decay and growth series 2/5/5/3 series and ends at month 16 with two weekly growth series a 2/5/5/3 weeks series [[12 weeks]] followed by a 2/5/5 week series (10 weeks).

An interpolated fractal series of [[12]]/28-30/28-30 weeks would complete a March 2020 8/19/16/12 month fractal series.

The global asset valuation collapse (including real estate prices)- propelled to extreme valuation heights by historical increases in liquidity, money expansion, and personal, corporate, and governmental debt expansion via low interest rate easy credit and central bank augmented residential and corporate loans – will take the Wilshire and SPX back to their 31 year 1993-4 to 2023-2025 trend line of a 1981-1982 subfractal one (13 years) and subfractal two (31 year) series.