What is very frustrating amid the the Great Unwind that has now started is the knowledge that the power elite at the Federal Reserve Congress and on Wall Street – the very ones who sowed the seeds for this crashing mess – will find a scapegoat to throw under the bus so they are not fingered as the culprits they really are.
This is a crisis of central planning, and one of the deepest memes since the unwiding started last week is to blame China. China is centrally planned and collapsing. China is poorly managed. China manipulated its currency.
Lesson to be learned? As things bleed from the Emerging Market periphery and to the Western Core, and especially the U.S. markets and economy: “China did it!”
Surely China’s central planners are responsible for their share of carnage, much of it yet to come. But if the banking cartel has its way — whatever you do, pay no attention to manipulators behind the curtain at home and blame them for making similar errors that sealed our fate entirely on our own.