We Are In The Middle Of A Stock Market Bubble...And Just Don't Know It

32.9 Percent...That was the contraction of the United States economy during the second quarter of 2020. That announcement combined with an unemployment rate of 11.1%, and the highest bankruptcy rate since the financial crisis, have caused the stock market to crash…or not. In fact, over the last 4 months, the stock market has actually had one of its best 4 month periods in history. You heard that right, during the worst economic crisis of our lifetime, the stock market has seen some of the most rapid gains in history.
Many people have attributed this strange behavior to special circumstances and a new kind of market and economy. Yet some people are saying something different.
In fact, there’s a small percentage of investors that have seen this strange pattern...a few times...before
For example, in the year 1993 a new technology called ‘web browsers’ started gaining popularity around the world. These web browsers, or more specifically the Mosaic web browser, allowed for the average computer user to connect to the internet in a simple and straightforward manor for the first time in human history.
And it was this technology that helped lead to the expansion of the internet and computers into the homes of the average person.
In fact from 1990 to 1997, the computer ownership rate more than doubled, from 15% to 35%, and from 1995 to 1999, the number of internet users grew from just 15 million to over 260 million.
Essentially investors could feel the wave of a new economy coming forward. I mean with upstart companies like Amazon selling books over the internet, and Ebay selling almost anything else, investors became extremely excited at the prospects of a new type of economy.
But also during this time, we saw one of the biggest cuts to interest rates in history. From 1989 to 1993, interest rates fell from 9.8 % to just 2.9%. All this meant was that investors could access capital much easier than they could’ve just 4 years prior.
And the last cherry on top was that there was a significant tax reform in the year 1997, which cut taxes on capital gains.
And it was these 3 factors that lead to one of the craziest periods that the stock market had ever seen.
You see, if you invest in the stock market, you can typically expect a 5 to 10% return per year.
But if you were an average investor and started investing in the stock market in october of 1990. You would have seen on average... a return of about 39% per year for the next 10 years.
But...if you were to have invested heavily in the tech sector with an index like the Nasdaq, you would have on average seen returns of 111.8% per year from 1990, up until the year 2000.
Meaning that if you were to have invested $100,000 into the tech sector in 1990, and simply held your investments for a decade, your portfolio would have been worth 1.1 Million dollars.
But the thing is that, this appreciation in the tech sector, and the stock market as a whole, wasn’t really because their was an influx of new companies that were raking in billions of dollars in profits. IT was mainly because there was an influx of investment capital from the excitement of a new economy, low interest rates, and tax cuts.
And one of the key metrics used to tell you how overvalued the stock market is, the P/E ratio. Essentially all this does is compare the price of a stock, to its earnings per share. Even though the value of a company is a lot more complex than a simple P/E ratio, this metric still is a good general indicator for determining if a stock is overvalued.
So in 1990, the average p/e ratio of the s and p 500 index was about 15, which has been close to the average p/e ratio for the past several decades.
But after the influx of new capital started flooding the stock market in the 1990’s, the average p/e ratio on the s and p 500 jumped up to just over 30.
All this meant was that the average company had doubled its value in relation to it earnings, from 1990 to the year 2000.
And during this time, it was common to hear stories through family and friends, and through the news, of people getting very interested in investing and even day trading to try and take advantage of these insane gains.
End of transcript. Too long
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Podcast:

Пікірлер: 1 800

  • @JackChappleShow
    @JackChappleShow3 жыл бұрын

    Hey Everyone! So just a heads up, I am still going through some health issues right now. Most of this was edited when I was not feeling well, so if there is any errors, my apologies.

  • @crystallewis4519

    @crystallewis4519

    3 жыл бұрын

    Im first

  • @crystallewis4519

    @crystallewis4519

    3 жыл бұрын

    Hope you feel better

  • @Flintknappingtips

    @Flintknappingtips

    3 жыл бұрын

    No apology needed. Get well soon 🤗

  • @mcluke2146

    @mcluke2146

    3 жыл бұрын

    The mentioned banks that own the stocks are only ETF fund advisors which manage the money of a lot of people... So the assumption that the banks sell the stocks is wrong... They don't own it (apart from Berkshire Hathaway)

  • @dharmender.balhra

    @dharmender.balhra

    3 жыл бұрын

    Take care brother, get healthy soon.

  • @kashkat987
    @kashkat9875 ай бұрын

    I revisit this video occasionally. The recent market conditions hit my portfolio hard, especially my tech and A.I stocks. I lost nearly $100,000-a tough ride.

  • @Americanpatriot723

    @Americanpatriot723

    5 ай бұрын

    I believe there are several elements at work. Inflation is growing, and the Fed is considering raising interest rates or cutting rates. That worries investors. My best suggestion is to consider advisory management

  • @sommersalt88

    @sommersalt88

    5 ай бұрын

    When it comes to investing, the stock market offers great opportunities but also risks. My advisōr stressed the need for diversification with a mix of stocks, bonds, and REITS. Consulting a fínancial advisōr to tailor your portfolio to your goals is wise. I currently have $600,000 in a well-diversified portfolio that has seen exponential growth and is still growing.

  • @MIchaelGuzman737

    @MIchaelGuzman737

    5 ай бұрын

    How can I participate in this? I sincerely aspire to establish a secure fínancial future and i'm eager to participate. Who is the driving force behind your success?

  • @sommersalt88

    @sommersalt88

    5 ай бұрын

    "THERESA DANA PEEK" guides me. She currently partner's with MORGAN STANLEY. But there are a lot of independent advisors you might look into. For me, her strategy works hence my result. She provides entry and exit point for the securities I focus on.

  • @MIchaelGuzman737

    @MIchaelGuzman737

    5 ай бұрын

    Curiously inputted her full name in my browser and searched online, found her site ranked top, very professional.. thanks for putting this out, it has rekindled the fire to my goal.

  • @kansasmile
    @kansasmile5 ай бұрын

    I don't lose a penny when the market goes down, or get too excited when a day like today happens... I am not selling, won't touch the money I have invested for another 10+ years, that's investing my friends. I want throw in another $100k just curious on where to diversify

  • @Curbalnk

    @Curbalnk

    5 ай бұрын

    I think you're better off with majority investment in S&P500 and uprising equities cos they always outperform. Alternatively speaking to a certified market strategist can help with pointers on which to acquire

  • @kashkat987

    @kashkat987

    5 ай бұрын

    Right, when it comes to situations like this, it's ideal to engage in various options using an advisor, and I can attest to success of the basket approach seeing my portfolio grow from $350k to almost $1m in barely 3 years, by far my best financial milestone.

  • @greekbarrios

    @greekbarrios

    5 ай бұрын

    @@kashkat987 wow massive gains! my partner recently hinted on going same direction.. what did you invest in, and who is your investment advisr please, if you don't mind me asking? in dire need of asset allocation

  • @kashkat987

    @kashkat987

    5 ай бұрын

    Can't divulge much 'Monica Selena Park' deserves credit for my investing success as one of the finest financial planners out there, you should be able to locate her online if you are internet-savvy.

  • @Shultz4334

    @Shultz4334

    5 ай бұрын

    Thanks for sharing this. I curiously searched for her full name and her website came after scrolling a bit. I looked through her credentials and did my due diligence before contacting her. Once again many thanks

  • @rickmanley767
    @rickmanley7673 жыл бұрын

    1990’s big catchphrase: “it’s different this time”.

  • @sumitraghani
    @sumitraghani3 жыл бұрын

    Sep of 2017 to Jan 2017 would mean traveling backward in time :) Your videos along with Economics Explained are awesome. Keep it up! Look forward to each one of your videos!

  • @pauld9933
    @pauld99333 жыл бұрын

    -32.9% is the annualized GDP drop. The actual Q2 drop was -9.54%.

  • @nachomuchacho1640

    @nachomuchacho1640

    3 жыл бұрын

    Correct. But that's too much for doomsters to comprehend.

  • @Jaikool001
    @Jaikool0012 жыл бұрын

    Thank you for your videos. I am learning a lot. Keep up the good work. Subscribed!

  • @georgeholloway3981
    @georgeholloway39813 жыл бұрын

    Dear Jack, If the banks encounter problems in the near term, do you think that they will mainly sell Apple (because that's what you refer to in the video), or will they sell right across the board (which I assume would be the more likely scenario)? Thanks for the great video!

  • @phillipcarlos5930
    @phillipcarlos59303 жыл бұрын

    Hello, I'm new to forex trade and I have been making huge losses but I recently see a lot of people earning from it. Can someone please tell me what I'm doing wrong

  • @chungfua9580

    @chungfua9580

    3 жыл бұрын

    All you need now is a professional broker else you gonna continue blowing of your account

  • @seanhannah3624

    @seanhannah3624

    3 жыл бұрын

    For real it's very profitable

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    @justinpamela8947

    3 жыл бұрын

    I will recommend expert Mrs Laura trading service for you her strategies is working for me at the moment and making good profit from forex trading

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    @eltonjohn8998

    3 жыл бұрын

    Wow I'm just shocked you mentioned and recommended expert Mrs Laura trading service, I thought people don't know her... She's really awesome

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    @whitney5453

    3 жыл бұрын

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  • @susanlin6321
    @susanlin63213 жыл бұрын

    It’s well- informed information for me. Thanks , keep it up

  • @JustMIH
    @JustMIH3 жыл бұрын

    THANK YOU for this fantastic channel Watched all of your videos and appreciate all the knowledge gained

  • @holtonaminute
    @holtonaminute3 жыл бұрын

    Thanks for putting out your content. Daunting yet relevant information.

  • @duanefranklin8796
    @duanefranklin87963 жыл бұрын

    Stock market is future expectations of others people future expectations. Not the economy

  • @anderben5521

    @anderben5521

    3 жыл бұрын

    Already invited in stock and I can't really get good return from it

  • @raulcecil9425

    @raulcecil9425

    3 жыл бұрын

    Investing in crypto is the only big chance of making money

  • @miltonchester5815

    @miltonchester5815

    3 жыл бұрын

    For real crypto is profitable

  • @gabrielleslie3484

    @gabrielleslie3484

    3 жыл бұрын

    Crypto is the new gold

  • @gabrielleslie3484

    @gabrielleslie3484

    3 жыл бұрын

    @rafael paul That won't bother you if you trade with a professional like Mr Bruce

  • @DanValentineFilms
    @DanValentineFilms3 жыл бұрын

    Title: "We are in the middle of a stock market bubble" Narrator: "I'm not saying we're in a stock market bubble right now"

  • @shajebkhalid7853

    @shajebkhalid7853

    3 жыл бұрын

    I need everything spell it out for me. I hope you are not like me.

  • @IntelligentEating

    @IntelligentEating

    3 жыл бұрын

    🤣

  • @mikeJones-zo8si

    @mikeJones-zo8si

    3 жыл бұрын

    Everyone has been saying the market will correct back since April. Keep saying it and eventually they will be correct. Just when

  • @craigjohnson4302

    @craigjohnson4302

    3 жыл бұрын

    Reel them in, then CYA!

  • @fabiomoraes35

    @fabiomoraes35

    3 жыл бұрын

    This is called click bait

  • @andreasmeyer3593
    @andreasmeyer35933 жыл бұрын

    Dude you so smart, you predicted the market correction happening now in the tech stocks one month ago, brilliant. You have one more subscriber now.

  • @alexanderrowan5723
    @alexanderrowan57232 жыл бұрын

    The bubble on housing caused a real down. I believe no matter the situation of the economy finding a way to profit of it priority . I don’t mind a stock bubble, with the right bet profit is still guaranteed.

  • @wildreams
    @wildreams3 жыл бұрын

    Google trends does not "predict" a bubble. But it does correlates with market enthusiasm of certain assets in real time.

  • @philippetersen64
    @philippetersen643 жыл бұрын

    Clear and concise, well paced narration. Making it it easy to digest the information. Good job.

  • @JBulsa
    @JBulsa3 жыл бұрын

    Better video. What is the average pe now? Why wasn’t PEG covered? What’s are comparatives of google trends between 2000,2008, and now? W/ aapl, amzn?

  • @Renould2010
    @Renould20103 жыл бұрын

    Jack Chapple, Thank you, for this Well Though, very informative, 🧠💡🤝.

  • @pianomanutube
    @pianomanutube3 жыл бұрын

    All the chart comparisons to previous crashes were within times where trillions of dollars were not injected into the economy. So the main difference between the previous crashes before 2009 is about 6-8 trillion dollars just for starters.

  • @ufoinsider6932
    @ufoinsider69323 жыл бұрын

    None of those four companies are investment banks, they don’t all trade their own money, and they aren’t reliant on capital markets for purchases.

  • @Chillednfunked

    @Chillednfunked

    3 жыл бұрын

    We know what he means though...

  • @ajinkyababar6072
    @ajinkyababar60723 жыл бұрын

    Very Informative! Thanks for sharing :)

  • @evangarza2309
    @evangarza23093 жыл бұрын

    knowing how large of a portion of many Massive companies that banks own was a very helpful fact to know, thank you for this information. Ive made a lot of money with my VGT tech stock, but i am quite scared that it could tank within the next few months, I may consider selling off soon

  • @swedishmeatballs4209
    @swedishmeatballs42093 жыл бұрын

    We don't know were in a bubble until it's already too late.

  • @johnakonzee2782
    @johnakonzee27823 жыл бұрын

    As an investor, just want to say that next year will be fun!

  • @oliviermosimann6931
    @oliviermosimann69313 жыл бұрын

    Interesting video, thanks. Get well ;)

  • @idunnmyhr8854
    @idunnmyhr88543 жыл бұрын

    Congratulations on the new success Jack Chappell Is there a way to decode the global effect the US $ has as the reserve currency and effect on aspects like global currency/ exchange/financial stability and a specific breakdown of the privilege/oppression /or manipulations the reserve currency is on a macro level ..? Keep up the good work Thanks

  • @karlaxel7358
    @karlaxel73583 жыл бұрын

    “No one can see a bubble, Mike. That’s what makes it a bubble.” - The Big Short

  • @biplav32

    @biplav32

    3 жыл бұрын

    Miachel Burry and the rest in the movie did.

  • @ufoinsider6932

    @ufoinsider6932

    3 жыл бұрын

    Mike responds by saying that’s not true, there are indicators.

  • @billaak417

    @billaak417

    3 жыл бұрын

    @@ufoinsider6932 mmmm

  • @whereisthehook

    @whereisthehook

    3 жыл бұрын

    Of course he was wrong when he said this. Good movie, I do recommend the book also.

  • @jeffsimoneaux5968

    @jeffsimoneaux5968

    3 жыл бұрын

    only when bubbles pop now the Fed, pumps the air back in as quickly as it can and the next bubble gets even larger. Eventually the dollar will collapse that will be the time everyone will wish they had purchased lead instead of gold.

  • @SilverBritches
    @SilverBritches3 жыл бұрын

    Bubble of all bubbles. Hold tight folks.

  • @christophern7921

    @christophern7921

    3 жыл бұрын

    Won’t all the bubbles just cancel each other out?

  • @rexmundi273

    @rexmundi273

    3 жыл бұрын

    The Nasdaq and Trump to the moon!

  • @TheLukaszpg

    @TheLukaszpg

    3 жыл бұрын

    Lol sounds like you missed in March and now fomo is ha haunting you 🤣

  • @SilverBritches

    @SilverBritches

    3 жыл бұрын

    @@TheLukaszpg not sure what you're talking about but hey 👍🏼

  • @chrism3933

    @chrism3933

    3 жыл бұрын

    Doesn't matter how hard you hold on. It's going to shake violently and it's going to tear you out from wherever you are.

  • @suelkoka
    @suelkoka3 жыл бұрын

    Nice work. Short and clean

  • @wy3131
    @wy31313 жыл бұрын

    Very well presented! Totally concur with your view.

  • @phil20_20
    @phil20_203 жыл бұрын

    This time it's a National Bubble, not just one industry. It's brought on by the Fed's overspending.

  • @Coco-yw9nf

    @Coco-yw9nf

    3 жыл бұрын

    Leech Phillip yes.But people refuse to go to work when called, don’t apply for jobs and create burden for tax players

  • @SuperZander1999
    @SuperZander19993 жыл бұрын

    The stock market is no longer the economy. They do not react the same.

  • @blainerouault3907

    @blainerouault3907

    3 жыл бұрын

    There are two economies: Main Street and Wall Street

  • @Dracstar

    @Dracstar

    3 жыл бұрын

    True

  • @TurreTuntematon

    @TurreTuntematon

    3 жыл бұрын

    That’s absolutely true. The correlation of these is less each year.

  • @tjbtc1241
    @tjbtc12413 жыл бұрын

    Good vid, very interesting 👍

  • @mathieu9789
    @mathieu97893 жыл бұрын

    Very interesting. Thanks Mate

  • @jmitterii2
    @jmitterii23 жыл бұрын

    Love how the "this time is different" thinking even in this clip. "This time it's in more established companies." Is it really? FAANG would be like the 90's Microsoft even Yahoo and Apple then and it went bust for a period of time in the mid 2000's until it came up with the iPhone. And 3M, John Deere, Cat., GE, GM, Ford, various utilities are still hammered. But you have a rise in speculative disasters some that were just nearly avoided like WeWork. But Uber which has never really scored a profit since its existence and is being blocked by unions and other cabbies, same with Lyft and Arbnb and Nikola that doesn't even have a selling product available yet has suddenly billions in market capitalization. No. It's not. And there's no difference in people saying it's different... that is itself the same. It's a bubble. And for the same reason... "Fed Reserve that time crashed it." Well, they also caused the 90's bubble by lowering interest rates ever more so through the 90's as it grappled with low growth outsource til supply chains are all foreign and very few domestic... any shock to such a system, suddenly toilet paper even becomes scarce.... a bicycles become double and quadruple in price or just simply unavailable. Wages and salaries continue to decline. And the real wealth turns more feudalistic in buying up existing real-estate, no real conviction to really build more unless its to their fellow feudal lords for rents and flipping Mc-Palaces; rents rising in the face of a great depression even when their very tenants and any new tenant is unable to even pay their original rent prices. We're at the end period of a low wage race to the bottom global cluster mug. Difficult to say how it ends: hyperinflation or deflation... both likely in what order its difficult to say. And owning metals or stocks or comic books won't save you from the ill effects that have and still devastate nations worldwide all the time. Difference is that a global collapse happens to more than just a handful of countries, but most if not all nations all at once.

  • @tylernestor5175

    @tylernestor5175

    3 жыл бұрын

    China will benefit from this in that they won't have to subsidize the U.S with free stuff anymore. Invest there

  • @Romulus2099
    @Romulus20993 жыл бұрын

    We're definitely living more in the time before the great depression, more than any other time in history. You want to talk about parallels, do some research on the time before then. (not the narrator, you do amazing work, just talking generally) I do agree, we are very much in a bubble and a time of massive exuberance

  • @kelleycrockett3387

    @kelleycrockett3387

    3 жыл бұрын

    A whole lot of short term thinking without any long term planning, people have set aside less than $400 for an emergency yet they’re steeped in debt for consumer goods.

  • @Romulus2099

    @Romulus2099

    3 жыл бұрын

    @@kelleycrockett3387 this is why the rich get richer, they're not the consumers, they're the sellers and the owners

  • @Romulus2099

    @Romulus2099

    3 жыл бұрын

    @Intelligently Stoopid it certainly will be interesting

  • @Romulus2099

    @Romulus2099

    3 жыл бұрын

    @Intelligently Stoopid very dark. Haha

  • @frankblangeard8865
    @frankblangeard88653 жыл бұрын

    Nine months later and the bubble has gotten bigger.

  • @thianshianchian1028
    @thianshianchian10283 жыл бұрын

    Thanks for the video

  • @darryllipscomb8251
    @darryllipscomb82513 жыл бұрын

    We are in a bubble, everyone just doesn't feel it yet. The pain is still to come.

  • @pewpewlazers5702

    @pewpewlazers5702

    3 жыл бұрын

    It won’t come how you think...governments are able to control how the economy reacts by the federal reserve system and interest rates etc...what you’ll see is future generations far poorer than they are today due to the current crisis.

  • @usaball9190

    @usaball9190

    3 жыл бұрын

    So you are saying that I should short the market? Ok

  • @KingOfForest22

    @KingOfForest22

    3 жыл бұрын

    Nah, after 2008, the fed knows it can just keep printing money to hold up the market. The bubble can't burst when you can just devalue the dollar which the market is priced against.

  • @xxczerxx

    @xxczerxx

    3 жыл бұрын

    @@usaball9190 You'll lose a shitload if you try to short (I assume you are doing SPY puts). Everyone thinks they can time it, but the Fed will do everything. EVERY. THING. To keep the market propped up -- I think they can keep this charade going on for another year. I'm not a huge Keynes fan, but one quote of his is very true of people going short: 'markets can stay irrational longer than you can stay solvent' ...

  • @jmitterii2

    @jmitterii2

    3 жыл бұрын

    Only the top 20% really have any stocks. So most don't even notice it. The few that have a 401K don't even look at it, or even know what it means. They may glance at the balance... but if they become to aware of it, they borrow from it and don't have anything actually in it anyway.

  • @blahsomethingclever
    @blahsomethingclever3 жыл бұрын

    Redistributing wealth to the top never ends well

  • @Lite_Fare

    @Lite_Fare

    3 жыл бұрын

    Redistributing wealth to the top never ends.

  • @vemmaguy1977

    @vemmaguy1977

    3 жыл бұрын

    Can you say French Revolution?! I don’t think people liked the cake the royals were dishing out!

  • @goh123superman

    @goh123superman

    3 жыл бұрын

    @J Hof But the poor are the majority.

  • @noe1399
    @noe13993 жыл бұрын

    Nice vid man

  • @viniciuspetrolli3004
    @viniciuspetrolli30043 жыл бұрын

    Great job Jack

  • @philipsvensson9368
    @philipsvensson93683 жыл бұрын

    Trading these markets is pure love :)

  • @blry1234
    @blry12343 жыл бұрын

    Its more like we are in a stock market bubble and most investors most definitely know this but they just want to ride the bubble for as long as possible to gain as much of the large increase in value as possible and pull out only right before a crash

  • @JonathanRootD

    @JonathanRootD

    3 жыл бұрын

    Good luck getting out in time

  • @bvm437

    @bvm437

    3 жыл бұрын

    @@JonathanRootD I haven't started yet. Maybe I'll wait a bit until it crashes and then buy a lot.

  • @williamjohnson9815
    @williamjohnson98153 жыл бұрын

    Nicely done video. Thanks for not pretending you have all the answers. I am always 6 mos to a year or two early, so maybe that explains why I have no investments during this latest rally. Got completely out of the market a year ago. I remember during the boom of the late 90's some of the top mutual fund managers retired because the stock market made no sense to them. Then came the bear of 2000. Today, it feels kind of like a replay of 1929 or 2000.

  • @ericragnar3069
    @ericragnar30693 жыл бұрын

    Your videos are fantastic. Thank you very much

  • @san8vicente
    @san8vicente3 жыл бұрын

    Thank you. I got a couple of useful tips from your presentation. We are in a bubble, and unlike previous bubbles more people are aware of this than ever, even the Fed reserve bank. So they are keeping the bubble inflated, while we go through the health crises and the economic slow down it creates. But once the pandemic in the US starts to reduce, the Fed intervention will slow down and the stock market is likely to have a correction. The puzzle is not whether we are in a bubble but everyone is trying to guess when it will end and time the market. This is where a lot of people will get caught if these big institutional investors sell their stocks.

  • @freelcf

    @freelcf

    3 жыл бұрын

    Great summary. Thank you.

  • @HelnoIaint

    @HelnoIaint

    3 жыл бұрын

    Well said I couldn't agree more have plenty of dry powder to deploy in the next year or two

  • @gwarlow
    @gwarlow3 жыл бұрын

    We are ALWAYS in a stock market bubble. Hence, the repeating series of rallies and crashes over the history of the stock market. Get well soon.

  • @zamfully
    @zamfully3 жыл бұрын

    I agree totally . Not that it means anything but we’ll see. Thank you.

  • @makemoneynow5061
    @makemoneynow50613 жыл бұрын

    Your videos are splendid! Thank you for giving me a new perspective to contemplate!

  • @CIAplant
    @CIAplant3 жыл бұрын

    It feels like we’re on the titanic, and the band is just about to start playing...hope you feel better soon Jack, take care

  • @Nocturne83

    @Nocturne83

    3 жыл бұрын

    Yet, I cannot fathom how we aren't sinking like the Titanic. Which event Will trigger the next BIG drop? I mean the motherbomb of all drops.. The big Apocalyptic drop. Will it ever happpen?

  • @RearAdmiralTootToot
    @RearAdmiralTootToot3 жыл бұрын

    The stock market isn't going up in value, the dollar is just losing value.

  • @jamesmorton7881

    @jamesmorton7881

    3 жыл бұрын

    Zombies, . . . Zombies, you must KILL them

  • @amdz4696

    @amdz4696

    3 жыл бұрын

    You think this companies convert our money invested into gold 🤔

  • @ronaldvasquez6488

    @ronaldvasquez6488

    3 жыл бұрын

    A Mdz gold is expensive atm but soon it won’t... Spacex

  • @amdz4696

    @amdz4696

    3 жыл бұрын

    @@ronaldvasquez6488 you talking about space mining?

  • @jamesmorton7881

    @jamesmorton7881

    3 жыл бұрын

    @@amdz4696 check out who OWNs the companies holding your gold ? sorry but the gold is backed by leveraged securities, you will (in a crash ) never ever see your gold ever . . . . . .LOL

  • @kokkeong9724
    @kokkeong97243 жыл бұрын

    Very informative and food for thought

  • @abdoabdo-mj2hp
    @abdoabdo-mj2hp3 жыл бұрын

    Man like your video Good job Can you please make u a video about real state 2021 it will be crash When , it will start , who much drop Thank you

  • @harmhoeks5996
    @harmhoeks59963 жыл бұрын

    Curious how this video will age

  • @rockwithyou2006

    @rockwithyou2006

    3 жыл бұрын

    my guess is it will age very badly.

  • @adamchill8780

    @adamchill8780

    3 жыл бұрын

    So far it’s looking like he’s right, all hell is about to break loose

  • @ominousduck7929

    @ominousduck7929

    3 жыл бұрын

    @@adamchill8780 Yea. NASDAQ is falling fast, DOW dropped 500 today, and Gamestop, AMC, and Blackberry have grown more than 100%. I'd say the bubble is soon to burst.

  • @ominousduck7929

    @ominousduck7929

    3 жыл бұрын

    I checked the stock market. After the GME shock, all indexes have dropped 2%. I see it all happening.

  • @rockwithyou2006

    @rockwithyou2006

    3 жыл бұрын

    You know, when markets go up in a big way, it is but obvious to come out and predict a crash. All average people do that. In-fact they predict a crash almost every week and keep doing it until the crash actually happens some day and they come out and say "You see I was RIGHT !!", and feel like a genius. None of them is a genius. These are average people. A real genius can separate a bull market from a bear market. I am not saying this video is wrong or the people who have commented here are wrong. But I have been hearing this shit since 2013. Its been 8 years and nothing happened except a crash which came due to the coronavirus and didn't last for even 3 weeks. Many people missed out in a really big way.

  • @BewareTheCarpenter
    @BewareTheCarpenter3 жыл бұрын

    Did you forget about compounding interest at 3:12?

  • @jcasstudio

    @jcasstudio

    3 жыл бұрын

    Yeah I thought that too

  • @rajatchaudhary1189
    @rajatchaudhary11893 жыл бұрын

    What was the total percentage correction happened in 2000 and in 2007 crash ?

  • @nickwestedt2344
    @nickwestedt23443 жыл бұрын

    Intersting video. Wonder who is the major holder of the tesla stock is it the CEO or other investment companies? 🤔

  • @ZelenoJabko
    @ZelenoJabko3 жыл бұрын

    Wait, going from 100K to 1.1 million is 27% per year, not 111.8%.

  • @pankajkhatri5573

    @pankajkhatri5573

    3 жыл бұрын

    Yeah I also frowned when it appeared

  • @momo777777777777777

    @momo777777777777777

    3 жыл бұрын

    American Maths

  • @patrickgrengs7594

    @patrickgrengs7594

    3 жыл бұрын

    I had the same reaction ... 111.8% is more than doubling ... doubling in 10 years would be 2 ^ 10. The 100k would turn into 100 million.

  • @mosab7

    @mosab7

    3 жыл бұрын

    RIP Newton, both for the video and your comment

  • @albernard180

    @albernard180

    3 жыл бұрын

    @@momo777777777777777 yeah. Sure your country is the greatest country on Earth 😂

  • @jamesdonald7485
    @jamesdonald74853 жыл бұрын

    You can't counterfeit trillions of dollars into the financial system without some very adverse effect

  • @Asian_Connection

    @Asian_Connection

    3 жыл бұрын

    You want to bet?

  • @rjf7023

    @rjf7023

    3 жыл бұрын

    it aint counterfeit money they pumped into the system. It's real money. which is worse

  • @reshpeck

    @reshpeck

    3 жыл бұрын

    Well said, Tricky Ricky

  • @Willleblond1
    @Willleblond13 жыл бұрын

    Thank you for the very descriptive and relevant explanation

  • @eruelcarbungco4531
    @eruelcarbungco45313 жыл бұрын

    Its common sense. Good insights man thanks!

  • @xmixaplix
    @xmixaplix3 жыл бұрын

    If it poppin I'm buying 😗🎶

  • @SpudRud
    @SpudRud3 жыл бұрын

    There’s way to much cash every for anything to go down anytime soon. If it does, there’s no way we’ll see new lows. It will be a very very slow drop if it happens.

  • @matthewbowers2724

    @matthewbowers2724

    3 жыл бұрын

    The complete opposite will happen because of too much cash. All this cash is coming from the fed printing vast swathes of money out of thin air. Hyperinflation will be very scary

  • @matthewbowers2724

    @matthewbowers2724

    3 жыл бұрын

    Will end up being a collapse of the dollar just like Argentina and Zimbabwe

  • @gustavlindell2753
    @gustavlindell27533 жыл бұрын

    ‘So I am not saying that we are in a bubble right now...’ Meanwhile the title of the video: we are in a stock market bubble

  • @Geknight
    @Geknight3 жыл бұрын

    Thanks incormative!

  • 3 жыл бұрын

    With a yearly growth of 110% for 10 years you would not have 1,1million dollars, you would have 166,8 million dollars. Interest on interest over the years makes a VERY big difference.

  • @stevemolloy2747
    @stevemolloy27473 жыл бұрын

    Shares don’t match the current state of the economy.

  • @MarketStoic

    @MarketStoic

    3 жыл бұрын

    Who said it should? Did you look at how the US markets performed in 1916 during WWI? Go read Reminiscence of a Stock Operator.

  • @ddespinosse
    @ddespinosse3 жыл бұрын

    Love this video but l have a question. If these huge investment banks which own majority shares of companies like Apple collapse and there is a big sell off doesn't that mean that retail investors can own majority shares? Is that not possible/likely? If so why not?

  • @ddespinosse

    @ddespinosse

    3 жыл бұрын

    @Jack Chapple thank you

  • @Michelrs
    @Michelrs3 жыл бұрын

    the value of stock market is increasing because of panic investment. people/banks/countries don't know what to do not to lose money so they invest wherever they can.

  • @MikeEmersontv
    @MikeEmersontv3 жыл бұрын

    Thank you for teaching me P/E ratios.. Tesla’s current P/E 860! Super bubble stonk

  • @bumble144

    @bumble144

    3 жыл бұрын

    Lol don’t trade using boomer pe

  • @MikeEmersontv

    @MikeEmersontv

    3 жыл бұрын

    bumble144 ok Mr.Robin Hood, enjoy chasing the herd

  • @R3tr0v1ru5

    @R3tr0v1ru5

    3 жыл бұрын

    @@MikeEmersontv Tesla is a growth stock you idiot. It's not about trailing P/E, it's about 10 years in the future. P/S ratio is reasonable.

  • @stevent2705
    @stevent27053 жыл бұрын

    Can’t wait for this bubble to collapse and purchase all these stocks for discount prices once they arrive at the sale rack. Real estate as well, stay liquid and prepare to capitalize on opportunities friends.

  • @astasna

    @astasna

    3 жыл бұрын

    Exactly the confirmation I was waiting for.

  • @astasna

    @astasna

    3 жыл бұрын

    Keep it in US dollars or ?

  • @Brian-sh2fy

    @Brian-sh2fy

    3 жыл бұрын

    @@astasna will the US still survive or go back to where it was if there is a crash?

  • @zachcushing-murray2663

    @zachcushing-murray2663

    3 жыл бұрын

    @@astasna If you are expecting this, precious metals would make more sense. When the market crashes, precious metals boom. Then you sell off and reinvest into stocks. You win on both the crash and recovery that way.

  • @thepaystation

    @thepaystation

    3 жыл бұрын

    Land will never lose it’s value.....

  • @moviehipster
    @moviehipster3 жыл бұрын

    Excellent Great Observations

  • @donttread5414
    @donttread54143 жыл бұрын

    whats the background music used?

  • @XiOh
    @XiOh3 жыл бұрын

    mhh the title should be "We Are In The Middle Of A Stock Market Bubble...And everybody knows it"

  • @Rmacon4002

    @Rmacon4002

    3 жыл бұрын

    XiO h the whole time I was like “ he dummy we know! 😂😂 like when does it PoP

  • @emanueleco7363

    @emanueleco7363

    3 жыл бұрын

    “and even who knows it is buying”

  • @wildreams

    @wildreams

    3 жыл бұрын

    But you will not sound as smart?

  • @rayamat01

    @rayamat01

    3 жыл бұрын

    Have you had a conversation with a normie lately? I know a ton of people that think we're at the bottom right now and have nowhere to go but up. Strange I know but most people are idiots. All I've been hearing is "buy the dip"

  • @markusfrey4256

    @markusfrey4256

    3 жыл бұрын

    @XiO h You're right! It should be asked ...are we...?

  • @lucanidae100
    @lucanidae1003 жыл бұрын

    Time to get out of the market. Where to go? There is almost nowhere to go.

  • @jod5834
    @jod58343 жыл бұрын

    Thanks!

  • @lifeinperspective5327
    @lifeinperspective53273 жыл бұрын

    Great narrative. I agree. As a portfolio manager, I like your approach and encourage diligence going into the elections and beyond for the reasons you mentioned. Too many investors, when times are good, get complacent and hooe to eek out every bit of appreciation they can and end up frozen and emotional when the market corrects. Especially nowadays whereby the speed of corrections and recoveries is so rapid. Well done.

  • @lifeinperspective5327

    @lifeinperspective5327

    3 жыл бұрын

    @Ken Semotiuk With almost 30 years of experience and several crashes and corrections successfully navigated I'd say my vision has improved some. If your experience tells you otherwise I am glad. Wishing you peace and success.

  • @lifeinperspective5327

    @lifeinperspective5327

    3 жыл бұрын

    @Ken Semotiuk 🙏🙌

  • @moetelay2249
    @moetelay22493 жыл бұрын

    111.8% a year for ten years on 100k is a lot more than 1.1M you do know that right 😂

  • @maniacbg

    @maniacbg

    3 жыл бұрын

    The moment I stopped watching the video... :D

  • @nathancarter8483

    @nathancarter8483

    3 жыл бұрын

    174 million, only a couple mill off

  • @delta-loichunter66

    @delta-loichunter66

    3 жыл бұрын

    I had to search a lot to find someone picking this up too... Also stopped watching this video there

  • @yungcripple
    @yungcripple3 жыл бұрын

    lmao I cant wait for people to keep saying that the market will crash for the next 10 years.

  • @Py16777216

    @Py16777216

    3 жыл бұрын

    I can't wait for them to say it for the next 50 years. The inequality of wealth will grow forever as more and more people get passively richer and richer and have fewer and fewer heirs. The big waves happen but the trend is positive because of dividends and long term investors the asset bubble grows forever propped up by consistent investors.

  • @matthewdavis3014

    @matthewdavis3014

    3 жыл бұрын

    Py16777216 the rise of populism, both left and right, indicates otherwise.

  • @logansnow8785
    @logansnow87852 жыл бұрын

    R.I.P all the guys that listened to this and tried shorting the stimulus market

  • @siavashmahmoudinejad9615
    @siavashmahmoudinejad9615 Жыл бұрын

    so short and usefull.. tnx brother

  • @jeffsetter213
    @jeffsetter2133 жыл бұрын

    P.E. ratio's of today simply are not comparable to those of any previous period for two major fundamental reasons: 1) There are fewer stocks to invest in. Today, there are less than half the number of publicly traded stocks than there were in 1998, for example. Globalization has caused wave after wave of consolidation while increased regulations & low interest rates have caused many corporations to stay private as they avoid the scrutiny & hassles of going public while maintaining access to huge amounts of capital via private equity, which has always been the biggest reason for going public in the first place. 2) Technological advancements now allow virtually any person/fund/firm to invest in any market from anywhere in the world at any time. As little as 10 years ago it was much more difficult for an investor to buy equities or treasuries in foreign markets. This has consolidated money from around the World into fewer & fewer markets over time. This combination of an unprecedented influx of investment capital from around the globe into the most successful, liquid & stable markets combined with halving the number of public corporations in those markets has necessarily pushed up P.E. Ratios dramatically. This has caused a "black hole effect" as the more capital that is sucked up by the most successful markets, the more capital is attracted to those markets, pushing P.E.'s higher & higher regardless of the underlying fundamentals and further disconnecting them from historical values. As long as the leading markets stay the leading markets this trend will almost certainly continue, skewing P.E's even further over time and making historical comparisons less & less relevant. There are also a number of other, slightly less relevant but still important reasons P.E.'s are fundamentally higher as well. For example, the rise of the 401k retirement system that has replaced the pension, the unprecedented waves of stimulus from central banks around the globe, insanely low interest rates that push investors/savers away from treasuries & into equities, low energy costs & supply chain improvements which decrease global shipping & logistics expenses and a low inflation rate which depresses other basic commodity input prices, to name just a few. The cumulative effect and complexity of these massive changes make understanding the exact magnitude & effect on the system as a whole virtually incalculable but one thing that is for certain is these changes have massively changed the meaning of P.E. Ratio's as we have known them. But this is not to say the trend will never be broken & a reversion to something resembling historical normalcy won't happen eventually. We already see the seeds being planted as waves of nationalism are sweeping the globe but make no mistake, when it does actually happen, you'll know it, as it will likely be accompanied by a violent down swing in prices and a massive shakeup in global economic market fundamentals as markets, economies & supply chains decouple causing the largest corporations to rapidly lose global market share, allowing small-medium sized enterprises to claw it back, returning some normalcy to P.E. ratios in the process. Until then, my advice is to assume the trend will continue and P.E. Ratio's will continue to climb while being less & less relevant as a comparison to history. But what do I know? I'm just some guy on the internet giving his unsolicited opinion. Cheers!

  • @BornIn-uj6gk

    @BornIn-uj6gk

    3 жыл бұрын

    Awesome perspective.

  • @saralbudhiraja

    @saralbudhiraja

    3 жыл бұрын

    Your perspective deserves a Medium Post. Thanks for sharing it.

  • @lil10dot

    @lil10dot

    3 жыл бұрын

    thank you, unless you have well thought out opinions like this guy (i''m not necessarily saying he's right, I'm relatively clueless), please stop commenting wasting everyones time

  • @carollee8823

    @carollee8823

    3 жыл бұрын

    Thanks for that.

  • @jeffsimoneaux5968

    @jeffsimoneaux5968

    3 жыл бұрын

    yeah, but no. try again

  • @rickyb6641
    @rickyb66413 жыл бұрын

    5.53 "...i'm NOT saying that we are in a stock market bubble but..."

  • @BuzzBus
    @BuzzBus3 жыл бұрын

    pleaseee someone can tell me de soundtrack? thank you

  • @user-bz4gw9qc5y

    @user-bz4gw9qc5y

    3 жыл бұрын

    Bach: Cello suite!

  • @stephendelacruzone
    @stephendelacruzone3 жыл бұрын

    Dude! I had that sneaking suspicion too for weeks! Yes... we might be in a #Bubble! 💭

  • @Crypdography
    @Crypdography3 жыл бұрын

    I knew we were in a bubble when apple, Amazon, and google all became trillion-dollar companies. This system is going to plummet!

  • @steveno7058

    @steveno7058

    3 жыл бұрын

    You do know that Apple generates almost $100 billion in free cash flow a year? Not overvalued at all.

  • @divyasasidharan2960

    @divyasasidharan2960

    3 жыл бұрын

    What kind of an agreement is that? Please explain

  • @Ravidist
    @Ravidist3 жыл бұрын

    Worst GDP report in history, stock market explodes upward lmfao

  • @Marque734

    @Marque734

    3 жыл бұрын

    Your assumption those should be linked are based one what?

  • @JasonCWaite
    @JasonCWaite3 жыл бұрын

    Make video on concept of Confessions of An Economic Hitman!

  • @jackmist5096
    @jackmist50963 жыл бұрын

    Yes definitely so the video makes sense and seems legit.... My question is : So then why vanguard, blackrock, BRK and SSGA holding this large number of apple shares ???? When they know that stock market is booming and gdp is sinking, it is pretty clear that it is a bubble and so why dont they start decreasing their stake in overvalued tech companies ?????

  • @11DMorales
    @11DMorales3 жыл бұрын

    You just told us what we all know. we need information that could really help.

  • @jasonx1767
    @jasonx17673 жыл бұрын

    Well if the bubble last 10 years like the 90s then great..lol

  • @ronaldvasquez6488

    @ronaldvasquez6488

    3 жыл бұрын

    It will, this forced recession would make it so, plus a stimulus check lol. Anyways, the point is the gap between rich and poor would be more noticeable soon.

  • @ericcartman1929
    @ericcartman19293 жыл бұрын

    It's a good idea to sell short?

  • @SuperEs75
    @SuperEs753 жыл бұрын

    Can you voice your opinion on virgin galactic? Thanks

  • @arrrryyy
    @arrrryyy3 жыл бұрын

    Everyone knows we are in bubble we were in bubble in 2019 too

  • @vipergts6073
    @vipergts60733 жыл бұрын

    Great vid! You have to be ignorant to think that the market is just going to keep going up from here! We will see another substantial drop in the near future maybe sooner than later!

  • @superbwlthirty1

    @superbwlthirty1

    3 жыл бұрын

    Viper GTS but for now weeee!!

  • @pranavdixit6157

    @pranavdixit6157

    3 жыл бұрын

    Haha nope

  • @lucanidae100
    @lucanidae1003 жыл бұрын

    Very good video...get well soon

  • @TRXST.ISSUES
    @TRXST.ISSUES3 жыл бұрын

    Exceptional videos