As so many of you have already noted, “pop it will...” I have felt that way since 2015, along with John Hussman, who I deeply respect. I welcome getting back to a market I can at least connect to investing fundamentals, if not celebrate. It’s been hard to sit out the runup since then, but I do sleep at night.
The sad part of the market “popping” is, the usual suspects are likely to get bailed out, while the rest take a direct hit in the pension. Ironically, failure to address the obvous distortions in valuations now ensures greater suffering down the road. And will further undermine personal savings prospects for decades to come.
My wife asked me this morning, “honey, why aren’t we in stocks?” Her friends are crowing about “all the money they are making in the market”. Really? The little guys are about to be crushed — again... The traders and promoters? — IBGYBG. Which is completely predictable, and truly sad.