📰Jeremy Grantham warns against investing in the United States.
In 2021, Jeremy Grantham was telling anyone who would listen that global asset markets were in the biggest bubble of all time and that a payoff was coming.
In particular, he warns about the Russell 2000, with its high levels of zombie companies and appalling levels of debt. He calls it "the most vulnerable area" to a rate hike.
Given the current level of profitability, it would be mathematically reasonable to believe that the US market as a whole could fall by 50%, says Grantham. Trouble is ahead if the "Magnificent Seven," several companies that held the index this year, lose at least some of their magic.
"Global real estate is overvalued everywhere," says Grantham. Just like "farms, forests, and fine arts."
#Новини
#news
#economy
In 2021, Jeremy Grantham was telling anyone who would listen that global asset markets were in the biggest bubble of all time and that a payoff was coming.
In particular, he warns about the Russell 2000, with its high levels of zombie companies and appalling levels of debt. He calls it "the most vulnerable area" to a rate hike.
Given the current level of profitability, it would be mathematically reasonable to believe that the US market as a whole could fall by 50%, says Grantham. Trouble is ahead if the "Magnificent Seven," several companies that held the index this year, lose at least some of their magic.
"Global real estate is overvalued everywhere," says Grantham. Just like "farms, forests, and fine arts."
#Новини
#news
#economy
