🔥🚨 THIS IS HOW A MAJOR FINANCIAL BUBBLE IN MODERN HISTORY BURST.
Bond yields started spiking sharply.
The markets shrugged it off.
Then the bubble popped.
That happened in:
• Japan 1989
• Dot-com 2000
• China 2007
And now the same pattern is re-emerging globally.
In the Japan bubble, government bond yields soared by about +230 basis points before the Nikkei tanked over 60%.
In the dot-com bubble, U.S. Treasury bond yields climbed roughly +260 basis points by 1999 as the Fed tightened policy.
The markets kept rallying anyway because investors believed the internet would change everything.
Then the Nasdaq plummeted 78%.
In the China bubble of 2007, bond yields rose again before one of the sharpest stock market crashes in the country’s modern history.
The pattern was always the same:
Easy money inflated the bubble.
Higher yields eventually killed it.
#globaleconomy #china #japon #EEUU #NASDAQ $QQQ