Huge Changes

Debenhams announced a huge loss for the year to September, 2018 - virtually a billion dollars ('loss').

Now this is pertinent to what we have been pointing to for the last two years at least: that there has been a major and noticeable decline in the marketplace for all the 'high end' consumer products, and luxury products and luxury brands. This public company's disclosure of such a huge loss really is one verification of what we had been suggesting from anecdotal evidence.

On the one hand it appears as if write-downs of goodwill and IT and 'stores' (what does that mean? Does it mean capital value, as in property value? I don't know...) dominate the 'loss' figure and other than these write-downs there is a trading profit.

This was called, at the time 'the revenge dress.'
Is it blue, or is it black, by the way?

But wait a minute - we are talking a 1% (wh-a-a-t?!) profitability on a turnover of 3 billion pounds! That already sounds like a fudged figure, or at least 'sharp' accounting to get things 'over the line' and 'into the black.'

You would think that with such low interest rates in the Western World big corporates could 'engineer' something better than this kind of unmitigated disaster.

So what's going on? Is it 'the on-line world' doing it?

No, I don't believe that. It is the relentless and utterly mindless drawing off of the domestic circulation of cash money (velocity/circulation) caused by the errant ideology of 'austerity.'

And we are going to hit a lot of brick walls and they are going to take politicians, governments, and whole societies into the grave.

A drop of dew on a rose petal can kill you, and at least that is a romantic way to go, compared to a lot of others that get the press's attention these days... This is the way the gods act, you know - 'whom they wish to destroy they first make mad.'

This Givenchy thing, well, there were two of them,
and two of them are in the museums today...
But I think there were three of them, and one was not black satin, but midnight blue sheared velvet

There is something out there moving around beneath the surface and its hidden hand is manipulating things.

A single drop of dew...

Just remember I said that.