(10-17-12) Recession has arrived all over the world and deflation is becoming more apparent -- despite the complete blackout of its existence in mainstream financial media.

Recession can be easily defined because every country defines it the same way -- two consecutive quarters of negative GDP (Gross Domestic Product). Now we are hearing more about recession as global GDP is falling. There are already a number of countries that are in recession which have passed this bar, so to speak, most of which are in Europe and include the weaker European states.

However with global GDP now falling, we face negative - or red - numbers, an event which has not occurred since the Great Depression of the 1930s. Now the shills in financial media are saying - don't worry, this isn't going to happen because central banks won't let it happen.

The Fed governors make speeches every day which are closely watched by the markets. On Monday Fed Governor Charles Dudley spoke summing up the situation regarding central banks coordinating their actions together and being able to pull double duty as it were -- making monetary policy or monetary stimulus a replacement for fiscal policy.