Ray Dalio Warns: Tech Stocks Mother of All Bubbles To End in The Mother of All Crashes !!
The Atlantis Report: Feb 23, 2021
Largest Hedge Fund Manager Ray Dalio is warning that Emerging Tech Stocks are in Extreme Bubble. I’ve seen a lot of bubbles in my time and I have studied even more in history, so I know what I mean by a bubble .
There is a very big divergence in the readings across stocks. Some stocks are, by these measures, in extreme bubbles (particularly emerging technology companies), while some stocks are not in bubbles.
This market action is reminiscent of the Nifty Fifty in the early 1970s and the dot-com bubble stocks in the late 1990s, both of which I remember well. It scores similarly to the bubble stocks of the late 1920s, which I can’t remember because I wasn’t alive then. Dalio is right .
The tech valuations are getting scary; it might be time we start worrying about tech-stock valuations. It is likely that the S&P 500 Technology Hardware, Storage & Peripherals index is in a bubble at risk of bursting.
Unprecedented QE, unprecedented spending. Mother of all bubbles, mother of all crashes. The markets keep chasing the free money everyone keeps promising. Endless SPACs and IPO’s taking advantage of rampant speculation.