©2019 by Tribe Of Christians. 

Prophetic Warning: Is there a looming stock market collapse on the horizon?

 

“The Federal Reserve cut interest rates on Wednesday for the first time since the start of the financial recession more than a decade ago, hoping to preserve the 11-year economic expansion from growing global uncertainties and the possibility of an impending slowdown” says Megan Henney from Fox Business.

 

The Feds voted to cut rates by 25 points placing rates between 2 and 2.25 percent and its expected over a 75% chance of a second quarter-percent cut during the FOMC’s September meeting, a sign of a possible looming threat of a recession or depression is heading this way.

 

February of 2018 I did a podcast concerning the massive GOP corporate tax cuts and revealed its prophetic significance was tied into a prophetic end times prophecy concerning the economy.

 

Revelation 18:17-19 concerning the fall of Babylon the Bible says,

 

 “In one hour such great wealth has been brought to ruin! Every sea captain, and all who travel by ship, the sailors, and all who earn their living from the sea, will stand far off. When they see the smoke of her burning, they will exclaim, was there ever a city like this great city? They will throw dust on their heads, and with weeping and mourning cry out:

 

Wow! Woe to you, great city, where all who had ships on the sea became rich through her wealth! In one hour she has been brought to ruin!”

 

Of course, despite the popular belief of others, this is not a reference to the United States, but this is a reference to Jerusalem who the Bible in Revelation 17 calls “Babylon, the great prostitute”.

 

However, I believe God will use the wealth and economy of the United States as a doorway that leads to the economic government system of the beast in the 7-year tribulation period prophesied by Daniel (Daniel 9:27, Revelation 13:16). The standard global currency is currently in the US dollar as oil trade and exports are through the US Dollar which were the primary reasons the US went to war with Iraq in the Gulf war and also later in the massive invasion against Iraq in 2003.

 

So ultimately, what happens in the US will effect all the nations around the world including economic trade and currency.

 

Last year, August 28th 2018 I had a vision during a dream and saw the stock market completely plummet and crash in

 

the very final and last hour right before the closing bell. Since then I have paid special close attention to the markets for any signs of that vision to see if it was a prophetic conditional warning or not- a chance for us to do a course correct from our massive debt and inflation ceiling.

 

Unfortunately, beginning this year in March the stock market began displaying warning signs through an inverted yield curve, which is one of the significant signs of a recession.

 

The inverted yield curve is the bellwether for an economic recession. The inverted yield curve is a graph that shows that younger Treasury bond yields are yielding more interest than older ones.

 

 

When people refer to inverted yield curves, they’re typically referring to the yields on U.S. Treasury bonds, or bonds guaranteed to investors by the U.S. government.

 

A yield curve graph shows the returns of those bonds (i.e., the yield) based on maturity, or how old the bond is.

 

This occurs when the curve inverts or goes the other way. It shows that younger bonds (i.e., bonds that are two years or less) yield more in interest than older ones. This shows the lack of investor confidence in older bonds and is a good indicator that a recession is incoming (more on that soon).

 

When it comes to a recession, many investors will start to invest in long-term U.S. Treasury bonds as it approaches — since they know that the interest rates on other assets like stocks will soon drop.

 

As more and more people begin to buy long-term bonds, however, the Federal Reserve responds by lowering the yield rates for those securities. And since people aren’t buying a lot of short-term U.S. Treasury bonds, the Fed will make those yields higher to attract investors

This is basic supply and demand. The less people want a bond, the more financial institutions like the Fed are going to make that bond appealing to investors.

 

 

A great example of a yield curve inverting occurred before the 2008 housing market crisis in December 2005 — almost three years before the crash. The Fed raised the federal fund rate to 4.25% due to a number of factors. Mainly, they were aware that there was a growing price bubble within certain assets like housing, and they were concerned that low interest rates were causing this.

 

So when the fund rate was raised to 4.25% in 2005, it caused the two-year U.S. Treasury bond to yield 4.4% while the longer term seven-year bond only yielded 4.39%. Soon the curve began to invert more and more as the recession began approaching and investors continued to invest more heavily into longer-term bonds.

 

Eventually, the United States found itself thrown into a recession after the housing market crash roughly two years later.

 

Note: The inverted yield curve wasn’t the cause of the recession but rather a symptom of it. Think of the inverted yield curve as a cough or fever in a greater sickness.

The last seven recessions the country has seen were preceded by an inverted yield curve.

 

It's not a matter of "if" a recession will occur but rather "when" the recession occurs. As of June 2019, federal debt held by the public was $16.17 trillion and intergovernmental holdings were $5.86 trillion, for a total national debt of $22.03 trillion.

 

When it does happen it will have the hardest and first impacts on inner metropolitan cities like New York, L.A, Detroit, and Chicago before spreading out further and will effect everything from interest rates, credit, mortgages, auto loans, to businesses and the government. We're looking at possibly the greatest recession since the great depression. And when it occurs I believe the time will come where economies will merge and a new system will rise as a result in efforts to "save the global economy".

 

Jesus warns us in Matthew 6:19-21 “Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal. 20 But store up for yourselves treasures in heaven, where moths and vermin do not destroy, and where thieves do not break in and steal. 21 For where your treasure is, there your heart will be also.”

 

For those who have built their faith and trust in the Lord rather than on finances or careers will have everything it takes to make it through any obstacle or tribulation thrown their way-like the man who builds his house on solid rock(Matthew 7:24-27).

 

The end goal is always for the glory and purpose of Christ so whatever happens or occurs do not be afraid but rather trust in Christ who is faithful and true! All things truly do work out for the good of those who love Christ Jesus(Romans 8:28) and those in Him will come out of this the true victors and champions as only Jesus can save!

 

Please reload

Recent Posts

Please reload

Archive

Please reload

Tags