3 Signs We’re in a Bubble … and 4 Potential Pins That Could Pop It
There is no doubt that stock valuations are sky-high. It’s got some investors worried that we’re at the tail end of an epic bubble.
So in this week’s video, we’ll look at the evidence.
I identify three signs that prove markets are indeed extended beyond any rational level. Then I’ll reveal four potential pins that could burst this bubble.
But how likely is it that will happen? I’ll talk about that and more…
Keep a Sharp Lookout
I’ve been researching the history of asset price bubbles, from tulip bulbs to bitcoin.
The No. 1 lesson: The only thing that reliably defines a bubble is that it has popped. Until it does, it’s just a bull market … although warning signs do exist.
And the thing that pops every bubble is a change in the underlying structure that sustained a long rise in asset prices.
That puts a premium on identifying the underlying structure of our own epic bull market.
If we can identify the key things that sustain high and rising stock prices, we can keep an eye on them and act quickly if they start to change. Find out what those are by clicking HERE or below.
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Editor, The Bauman Letter
An economist by training, I grew up in the U.S. but emigrated to South Africa in the mid-1980s where I became deeply involved in the development and implementation of post-apartheid economic and urbanization policy. During the 90s and 2000s, I was a consultant to a variety of entities, including African and European governments and the United Nations.