{"id":95028,"date":"2026-08-19T07:26:44","date_gmt":"2026-08-19T06:26:44","guid":{"rendered":"https:\/\/www.taxresearch.org.uk\/Blog\/?p=95028"},"modified":"2026-08-19T07:26:44","modified_gmt":"2026-08-19T06:26:44","slug":"this-is-nuts","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2026\/08\/19\/this-is-nuts\/","title":{"rendered":"This is nuts"},"content":{"rendered":"

As FT Alphaville<\/a> noted yesterday:<\/p>\n

In case you were wondering, the Strait of Hormuz is still closed. The US economy is propped up by an AI buzz that is increasingly fuelled by vast off-balance-sheet exposures. The Fed is possibly going to raise interest rates. China\u2019s economy is still slowing. Yields everywhere are climbing, and Japan is suffering a bond crisis. Private credit is stressed. Virtually every measure of leverage is engorged. Asian geopolitics is messy and getting messier. Europe is Europe, and the UK is being particularly British.<\/p><\/blockquote>\n

And as they want to show, US investment funds appear to have record-low cash levels at present, record-high levels of exposure to the US equity markets, and without apparent exception, everyone is betting that the euphoric rise in those markets will continue.<\/p>\n

The belief is that this time everything is different.<\/p>\n

And as the article points out, that's nuts.<\/p>\n

This cannot continue. A system put into this state will break. That is not speculation. It is a statement of fact. That only question is when. And as even FT Alphaville thinks, soon has to be the answer to that.<\/p>\n

My sense that we are living through the equivalent of the summer of 1939 at this moment, waiting for the storm to break, grows by the day.<\/p>\n","protected":false},"excerpt":{"rendered":"

As FT Alphaville noted yesterday: In case you were wondering, the Strait of Hormuz is still closed. The US economy is propped up by an
 Read the full article…<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[70,46,47,136,204,35,224,106,223],"tags":[],"class_list":["post-95028","post","type-post","status-publish","format-standard","hentry","category-banking","category-bonds","category-bonds-2","category-city-of-london","category-economic-justice","category-economics","category-neoliberalism","category-politics","category-politics-of-care"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/95028","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=95028"}],"version-history":[{"count":1,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/95028\/revisions"}],"predecessor-version":[{"id":95029,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/95028\/revisions\/95029"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=95028"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=95028"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=95028"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}