Sucker’s Rally Will Crush Millions, Economist Warns
Millions of American investors are jumping back into stocks as the market continues to surge, and they’re walking right into a sucker’s rally. Several economists have already warned of an impending stock market crash.
Billionaire Carl Icahn, for example, raised a red flag on a national broadcast when he declared: “The public is walking into a trap again as they did in 2007.”
Economist Andrew Smithers backs up his prediction that US stocks are about 80% overvalued using a ratio which proves that the only times stocks were this risky was 1929 and 1999, after which they fell by 89% and 50%, respectively.
The Royal Bank of Scotland says the markets are flashing stress alerts akin to the 2008 crisis. They told their clients to “sell everything” because “in a crowded hall, the exit doors are small.”
James Dale Davidson, famed economist who predicted the collapse of 1999 and 2007, now warns: “There are three key economic indicators screaming sell. They don’t imply that a 50% collapse is looming—it’s already at our doorstep.”
Although the future may seem bleak, there is no need to fall victim to it. If you are on the right side of what lies ahead, you can seize opportunities that come along once or twice in a lifetime.