I believe most people in this forum believes that the stock market is now in a full-blown bubble. What will be the early signs of bubble bursting?
Looking at dotcom bubble, while the pets.com share fell immediately following its IPO in Feb 2020. The market still almost rivaled its peak price at the end of Aug 2020, a full 6 months for investors to reposition their portfolio.
So it bears the question. What is the pets.com of today’s world? And what are the signs of the crash yet?
The only stock that I noticed to crash recently is QuantumScape. The bitcoin is still holding at pretty high price. So was Tesla. I actually don’t think FANG is in the same bubble territorial, as their earnings are strong and so was their earning growth.
What do you see? How can we call it an early bubble burst when GME was just $483 two trading days ago? (If it dropped below $50 at least, then sure)
I think some things are but not everything. There are plenty of stocks with reasonable p/e/ ratios. I dont think its time to exit the market but i dont think its time to chase high flyers either. When things started looking dicey end of last week, I re-positioned a few things in the account I trade in. It is at an all time high today. I think the answer is remain diligent and have stop-loss orders in place
[quote=scaredyclassic]No one will know till 18 months after it happens[/quote]
In the long run we are all dead. Economists set themselves too easy, too useless a task if, in tempestuous seasons, they can only tell us that when the storm is long past the ocean is flat again.
— John Maynard Keynes
There may be those who sell some assets in the near future just to live it up some.
Being at home a year etc with minimal travel, some may come to the conclusion that life’s too short to be so focused on financial matters all the time.
It may even eventually be mildly inflationary if enough people do this and perhaps even good for the economy if funds come out of financial assets and into real activity even if it is superficial stuff like travel.
In the meantime, any level of stimulus will keep the game going for a while.
Also money seems to decrease in utility with old age.
Smoke them while you got em, spend em before youre too arthritic.
Im on a low cost diet right now, only oatmeal, honey nut butter and scavenged grapefruits.
Its more of a low money diet, v low cal diet.
. You get some exercise finding grapefruits in the street which makes you appreciate the fruit more.
Its a hybrid hunter gatherer diet.you can eat all the grapefruits you can find under my plan. Also all the oatmeal you want.
The financial savings are phenomenal. Im going to keep this up and pump the savings back into the economy at a later date. Watch out economy!!! Youre going get some juice in the spring!!! Its gonna be awesome.
Maybe ill buy some other form of citrus, or an electric car. Who knows? Life is short.
It really irritates the heck out of my wife that we are making so much money and i will only eat found grapefruits frpm the street. Been 3 days. I intend to keep this up until i cant find any more street grapefruits.
Could be a loooooong time. So many orchards near here. The grapefruits just roll into the street!
America!
The more money i make, the more i want to eat the fallen fruit.
“It is easier to imagine the end of the world than the end of capitalism.” J. Zizek.
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