Market is dead, agreed! But IMHO there're other reasons behind it, not only the high wages and the singning on fee.
People is receiving more and more players, so they need less and less to dig into the market.
Secondly (and most important) the new youth system pushes managers to upgrade their academies before the season ends, so NOBODY wants to buy players, and ALL managers wants to sell, that's the biggest problem IMHO. Offer is too high, demand is too low.