Wednesday, August 20, 2025
The ACWI 22 Aug 2025 Peak Valuation and the Initial 25-26 September 2025 Crash Nadir.
In the asset-debt macroeconomic system there is an underlying self-ordering mathematical fractal pattern in composite asset valuation growth to composite asset peak valuation and thereafter decay to composite asset nadir valuation.
Governments and central banks can expand credit and the money supply but are constrained by inflation of assets affecting the pyramid base population of the system. Overvaluation of assets represents a limiting barrier to further consumption in the face of constrained base population job availability and the nonlinear limiting factor of ongoing financial stress of debt servicing and further debt expansion. The mathematical self-assembly deterministic fractal process in the tradeable markets represents the optimal growth and decay investment pathway in the global asset debt macroeconomic system - just as does the steady state of the self-assembly process of the growth and decay of galaxies and black holes occur in the infinite universe.
In the current system, 40 years of billionaire-led. corporation-led, both US political party led globalization, lowest wage highest corporation profit led, and resulting international production, transport supply chains, and assembly ... are being suddenly rent apart by US tariffs politically intended to bolster American internal product line manufacturing.
This populist political anomaly is coincident with the timing of the 1982 credit cycle began by Volcker's 13-15.5% 3 month interest rates which has been fueled by gradually declining interest rates and extraordinary US peacetime percentage GDP-deficit spending.
A 1982- 2026 13/33 year x/2.5x fractal credit cycle is an interpolated part of a greater US 1807 36/90/90/54-57 year x/2.5x/2.5x/1.5-1.6x.
The 2020 15% US deficit to GDP COVID money expansion economy began with a nadir in the global composite ACWI equity index in March 2020. It is hard to imagine how a president whose name was at the bottom of the treasury checks sent to unemployed individuals resting at home and now making more than their usual salary, lost the Nov 2020 election.
The current fractal projection from the 27 Oct 2023 low is: 118-119 //243//119-120 and 124 = 243//147 days :: x/2x+/2x+/1.5x'.
An ACWI peak is predicted on 22 Aug 2025 followed by a 5/10-11/10-11 day 3 phase crash decay fractal series ending near 25-26 September 2025. From the April 2025 low a 10/25/20 day :: x/2.5x/2x growth fractal series is followed by a x/2x/2x' growth fractal series of 10/20/16 days with x' = 8 days for the observable 20 day 2nd fractal and the 3rd fractal 2x' or 16 days, reaching a peak on 22 Aug 2025.
A growth fractal of 119-122 days is expected with falling US fed funds rates and lowered US interest rates with the US 3 month rate reaching near zero. The following ACWI 119-122 high will not exceed the 22 Aug 2025 high. A nonlinear collapse will the result in a sequential 124 day or total 2x+ 243 day nadir. The 147 day 1.5 x' 4th fractal double low nadir will occur near the 2026 midterms. Tariffs will be perceived as the post hoc ergo propter hoc etiology of an otherwise natural nadir valuation fractal progression.
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