Economist’s “News and Views” 1-28-2025
MARKET WARNING Issued as Valuations Explode Signaling Collapse is THIS CLOSE
Taylor Kenny: 1-28-2025
The stock market is on the brink of collapse as the CAPE ratio signals extreme overvaluation, nearing levels not seen since the dot-com bubble.
With margin debt at record highs and speculation fueling the market, the fallout of the inevitable crash could be devastating.
Learn why this bubble is unsustainable, what history tells us about past crashes, and how you can prepare to protect your wealth today.
CHAPTERS:
00:00 - The Stock Market's Dangerous Overvaluation
00:38 - Historical Context of Market Returns
01:13 - Explaining the CAPE Ratio
03:00 - The Danger of Overvaluation Today
03:35 - Debt-Fueled Speculation Driving Growth
05:08 - The Role of Margin Debt
06:40 - Lessons from the Dot-Com Bubble
07:06 - The Everything Bubble: What’s Next
08:12 - How to Prepare for the Crash
Central Banks are Selling US Treasuries and Buying Gold Instead
Heresy Financial: 1-27-2025
TIMECODES
00:00 China, Japan & the U.S. Dumping Treasuries
00:24 U.S. Treasury’s $36 Trillion Debt Explosion
00:53 The Fed’s Balance Sheet Reversal (Opposite of QE)
02:02 China & Japan Unloading U.S. Debt Holdings
02:30 Fed’s Share of Total Debt Near Historical Norms
03:24 Central Bank Gold Buys vs. Treasuries
04:49 Why Gold Prices Surged 35% This Year
05:53 Stocks vs. Bonds: S&P Earnings Yield vs. 10-Year
07:03 Higher Rates & the Crowding-Out Effect
08:35 The Next Phase of the Long-Term Debt Cycle
09:30 “11th Century Stocks”: Building a 100-Year Portfolio
09:46 Closing Thoughts
China did Unthinkable to the US and Wiped $1Trillions of the US market: What’s Next?
Fastepo: 1-28-2025