Severity of the coming recession greater due to debt overhang

Paul Gambles, Managing Director of financial advisory and asset management firm MBMG Group said the bond market, which is the most reliable indicator, has been pointing to a slowdown since at least April or May. According to Gambles, the deleveraging process facing the U.S. is so severe that a recession is inevitable.  “If you’ve got a $14.5 trillion debt burden, it’s going to be a pretty severe recession,” he said. “Recession is usually linked to the size of the debt (a country) has to clear up.”