Stocks And Precious Metals Charts - Speculative Bubble

By Jesse of Jesse's Cafe Americain

Tuesday, August 19, 2025 5:19 PM EST

Stocks were lower today, led by the big cap tech stocks and their associates.

There was some attribution for this to an MIT paper that suggests that 95% of companies are not going to be making money from their AI investments.

I think it is more likely that the bubble faltered, and that the pundits were looking for some reason to justify it other than a break in a speculative bubble.

Only a few of the suppliers of the 'picks and shovels' in any new era asset bubble make any money. This time is no different, and Wall Street knows it.

This is the nature of a bubble. It is always a pig, with lots of compliments from invested parties, and heavy on the lipstick.

Gold and silver were hammered.

The Dollar was up about ten cents, so no flight to safety there.

VIX ticked up slightly.

Bitcoin continued its selloff.

What will they think of next?

Have a pleasant evening.

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