S&P 500 is 'bizarrely overvalued' and could crash 49% as recession sets in, elite strategist says
S&P 500 is 'bizarrely overvalued' and could crash 49% as recession sets in, elite strategist says
Paul Dietrich of B. Riley Wealth said the stock market "bubble" was about to burst and could slash the S&P 500's value in half.
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The crazy thing about speculative economy is that by releasing this article, businessinsider might scare some of the investors and so create a self-fulfilling prophecy.
Shhh, it's exactly how stock is meant to work for them. Hype bubbles and "adjustments".
I've always thought that about recession predictions. After all, economists measure consumer confidence and define the meaning of the results as
if consumers are optimistic, they will spend more and stimulate the economy, but if they are pessimistic then their spending patterns could lead to an economic slowdown or recession.
It's clearly reasonable to think that publishing panic-inducing articles like "stock market will soon CRASH 49%!!" would decrease consumer confidence.
I think that's pretty much what the foundation series was about, predicting a system changes it.
That's what they are paid to do. Big fund takes a short position, then pays analysts to produce stories to make their short position profitable.
Cassandra complex
Wouldn't that be the exact opposite of a Cassandra complex.