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Just when we were wondering what to write about, the latest Global Strategy Weekly from Albert Edwards lands.

The Soc Gen strategist has been poring over last week’s Flow of Funds report from the Federal Reserve…

…and comes to the following conclusion:

US total credit continued to disappear down the plughole, despite the government’s best efforts to inflate us back to prosperity [see chart above]. The current recovery, based in very large part on the end of de-stocking, simply cannot be sustained while credit is disappearing at this debilitating dehydrating rate.

So far, so bearish then. But when will this process of...