The worlds biggest economy has nearly stopped growing.

The United States of America has nearly stopped growing according to the last two months indicators. According to my take on the ISM numbers, my blog August 1, this economy is already in a recession and there are no signs of changing this for a long time. More over the S&P, which downgraded the economy to AA+, said in an interview on CNBC that the reason for downgrading is that congress refuses to do anything about the long term expansion of the country's debt. That debt is now above staggering 14 trillion dollar and it will increase every year and reach the double amount 2021.

Against these facts the recession will get worse by the week and all the good news for the future have nearly evaporated. The stock markets have been taken over by the very big players who still have cash left to play the markets. The you and me investors are decreasing in numbers and we refuse to buy. When America sneezes the rest of the world will get pneumonia. This is still the truth but for how long. I think after about ten years of recession it may end but not yet.

I cannot see any way the stock markets will pick up for a very long time. Of course the market will have waves as usual but the long term trend is down as the technical indicators suggest. My advice is still stay in cash and do not buy anything yet. If I am wrong and a new long term trend on upside is in the cards you will read it here first.