Shiller PE is at 43 today... for US Stock Market... All time high was 44 in dot com bubble but we did not have #Hormuz shut down and 20% of oil supply gone. What is really going on? If you elect a clown as President and he brings a charlatan as Treasury Secretary, this is what happens... they basically pumped gas on fire.... Stocks in general are all about money supply... you see this better in failing emerging markets... stocks go up 5000%... and worth nothing... When you inflate the money supply, it always show up in equities first... if you measure inflation correctly, it shows up there second... and u raise rates and market collapses or u don't and your currency collapses... standard EM operation. What happens if you don't measure inflation correctly... like in USA... then you can even cut rates like the charlatans in #FederalReserve did ... that gives more ammo to the rally... than what happens if you start buying your own debt because no one else wants you to buy your debt... more rally... than... if you are a reserve currency... commodities catch up because your currency is worthless... this is what's happening now and all these commdities will keep rallying until the crash. As you can imagine, the crash will include both the currency, bonds and stocks... Don't we have any smart people in banks' research departments who can predict all these? We do but we don't pay them for this. Lets say they sell $100 stock for $1000... they get their cut... everyone gets the bonus... and then after crash it is worth $10... lets say the bank loses a lot of money and about to go bankrupt like Citibank in November 2008. Who cares? Taxpayers bailed them out and reset the game... if the situation is very bad like March 2020... they print unlimited money and new generations pay for that... Wall Street has no incentive to tell you any of these things I do here. Crash will be bigger than 2008 or 2020.
