Stocks Setting Up For A Painful Correction?
SOME YELLOW FLAGS?
What does history tell about the stock market's risk/reward ratio?
Video Length: 00:23:32
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Certainly there will indeed be a "correction", the questions are when and HOW painful. I anticipate that there will be warning signs that some see and others miss. Nothing new there. The "when" is not clear yet, but probably after some additional unpleasant event
The issue is, is the asset bubble going to pop. And if so, housing usually collapses first. As long as inflation stays low, interest rates remain low, and the US can afford its growing debt payments, the bubble will keep expanding. This is fine in a downturn, where we failed is by pumping the economy and not paying down debt for over a decade before. Federal reserve you aren't earning an F, you already got one. Tightening monetary policy now would get you whatever is worse than and F, especially since Trump started the global trade war and weakened the global economy before the downturn just like before the great depression.