This simple graph shows why the economy is about to party like it's 1929

[Prefect]

I got a feeling TS is salivating at the thought of said graph and would be out in the street waving an upside down American flag telling everyone I told you so

Correction is necessary and the sooner it happens the fewer people will get hurt. By people, I mean regular that don't have influence in the government or insider knowledge.

 

[superpunch]

Ummm, in what way did the scale increase?

I see the same ratio step increase for both of the y, and x axis.

You're looking at numbers that, according to the graph, are 7000 times larger on the right side than the left side. So a 20% variance between the 2 lines is going to be 7000 times bigger on the right of the graph; the same % variance on the left side of the graph would be visually microscopic. A smaller 5% variance on the right would appear to be 1,750 times larger than a bigger 20% variance on the left.

It's like the difference between 800 feet and 1000 feet is 20%. The difference between 8 feet and 10 feet is 20%. If you put that all on the same graph, you'll just see the difference between 10 and 8 as 2 feet, and the difference between 1000 feet and 800 feet as 200 feet. The same % difference would appear to be 100 times larger on the right side of the graph.

 

[JonesBones]

The American market is wildly over valued on any analysis.

It's not a matter of if it corrects; but when and how much.

How do you figure? Companies have been smashing earnings. And companies that don't, get killed. Look at financial stocks. YOu think those are overvalued? lol. Banks stocks are fuckin dead. Basic materials. Industrials. Dead. Those are major sectors off the top of my head who have been getting creamed.

And tech companies like FB and Netflix dropped around 15-20% recently due to bad earnings. Stop spreading ignorance. And to say that a market is gonna correct is about as useful and impressive as saying it will rain some day on a sunny day.

 

[JonesBones]

Hey, I'm no ground hog expert, but that graph looks bad.

Are we on the verge of a economic collapse?

Discuss.......

What is this "everything" in that bubble? and lol at you trying to read charts. saw you got an education in this thread.

 

[JonesBones]

True, but in this case, the data is so glaring, I think it stands on it's own.

I mean unless someone can explain by what sustainable measure household wealth is growing like that, that is the definition of a bubble, and it is twice the size of the housing bubble that almost collapsed the world economy.

What data? You showed nothing. How is Apple overvalued for example? Tell me how all these companies are overvalued with specific metrics. You have shown you are pitifully ignorant of the stock market with your big pharma and fed conspiracies. Pharma makes more than tech companies like Apple remember? Bigger profit margins. lol.

Explain to me how so many people are able to afford iPhones with Apple's massive profit margins. Which you claim are smaller than pharmas.

I first want you to admit being totally wrong about tech and pharma and having them ass backwards.

Say something about the deep state and 911 too for the conspiratard trifecta.

 

[JonesBones]

fuckin fear mongers. live in fear and spread it. Conspiracy theories are based on fear.

 

[Otto!]

Pepper your angus.

Anger your peppus.

 

[VivaRevolution]

What data? You showed nothing. How is Apple overvalued for example? Tell me how all these companies are overvalued with specific metrics. You have shown you are pitifully ignorant of the stock market with your big pharma and fed conspiracies. Pharma makes more than tech companies like Apple remember? Bigger profit margins. lol.

Explain to me how so many people are able to afford iPhones with Apple's massive profit margins. Which you claim are smaller than pharmas.

I first want you to admit being totally wrong about tech and pharma and having them ass backwards.

Say something about the deep state and 911 too for the conspiratard trifecta.

Btw, you are pro immigration, pro corporate?

You are a Jeb Bush Republican right?

No wonder your so salty all the time.

 

[JonesBones]

Btw, you are pro immigration, pro corporate?

You are a Jeb Bush Republican right?

No wonder your so salty all the time.

And not one rebuttal was given. Thought so. Keep dodging.

 

[VivaRevolution]

And not one rebuttal was given. Thought so.

Rebutt your down right misrepresentation of what I said? No thanks.

You might find life less difficult if you were less salty btw.

 

[JonesBones]

Rebutt your down right misrepresentation of what I said? No thanks.

You might find life less difficult if you were less salty btw.

You made claims. I specifically challenged them. You can't answer. End of story.

Tell me how "everything" is a bubble. What "everything" is and metrics used. For starters.

You are talking out your ass and you know it. I am challenging you.

 

[VivaRevolution]

You made claims. I specifically challenged them. You can't answer. End of story.

Tell me how "everything" is a bubble. What "everything" is and metrics used. For starters.

You are talking out your ass and you know it. I am challenging you.

No, you are using debate tropes.

If you were interested in debate, you would gather information, and ask where the graph came from.

Fucking idiots. You don't even know the context, and yet you are sure it is BS.

FYI, that graph was found in a Forbes article. Want to know which article so you can actually understand the context dummy?

 

[JonesBones]

No, you are using debate tropes.

If you were interested in debate, you would gather information, and ask where the graph came from.

Fucking idiots. You don't even know the context, and yet you are sure it is BS.

Still not one bit of information contained in this correspondence. Your dodging is blatant. I asked you a specific question on things you claimed. You can't answer. If you quote me again without any content related to this issue I will report you for derailing and trolling. I am not listening to your fumbling anymore.

 

[VivaRevolution]

Still not one bit of information contained in this correspondence. Your dodging is blatant. I asked you a specific question on things you claimed. You can't answer. If you quote me again without any content related to this issue I will report you for derailing and trolling.

You are child's play son.

Attack, attack, control the grounds of debate.

We should have a WR kindergarten you have to graduate from, before you can come post with the big kids.

 

[JonesBones]

You are child's play son.

Attack, attack, control the grounds of debate.

We should have a WR kindergarten you have to graduate from, before you can come post with the big kids.

Your entire argument is "look into it". Reported. The gymnastics you will do to not debate the issue says it all.

 

[VivaRevolution]

Your entire argument is "look into it". Reported. The gymnastics you will do to not debate the issue says it all.

No, my response is ask a fucking question, instead of attacking and assuming.

 

[n...not crazy]

People have been saying this for years. It's weird. But Trump is clearly superhuman and bulletproof, and the graph keeps growing. Also weird.

Idk. Just holding my stocks, and making a buy every 6 months or so. I ain't no economist, but I do know that nothing is simple.

 

[VivaRevolution]

People have been saying this for years. It's weird. But Trump is clearly superhuman and bulletproof, and the graph keeps growing. Also weird.

Idk. Just holding my stocks, and making a buy every 6 months or so. I ain't no economist, but I do know that nothing is simple.

Unless you are close to retirement, this is the only play.

I mean if the whole system collapses, your money will be good for kindling.

If it is a recession, you just have to wait it out. Either way, the right play is staying diverisifed in large cap investments.

 

[Jack V Savage]

No, you are using debate tropes.

If you were interested in debate, you would gather information, and ask where the graph came from.

Fucking idiots. You don't even know the context, and yet you are sure it is BS.

FYI, that graph was found in a Forbes article. Want to know which article so you can actually understand the context dummy?

It wasn't really a Forbes article. This comes up a lot. Forbes hosts randos who can blog on their platform. Here's the author's bio:

Jesse Colombo is an economic analyst, investment advisor (Series 65 licensed), and Forbes contributor who warns about bubbles and future financial crises.

And I'd say that an "everything bubble" is by definition nonsense, and the fact that this clown uses it just shows that he has no idea what a bubble is. If you're saying that an asset class is overvalued, the question is "relative to what?" What could an "everything bubble" be overvalued relative to? Money? Is he predicting a huge burst of deflation? Seriously, think about it. What would the bursting of an "everything bubble" entail? Everything getting cheaper, right?

 

[VivaRevolution]

It wasn't really a Forbes article. This comes up a lot. Forbes hosts randos who can blog on their platform. Here's the author's bio:



And I'd say that an "everything bubble" is by definition nonsense, and the fact that this clown uses it just shows that he has no idea what a bubble is. If you're saying that an asset class is overvalued, the question is "relative to what?" What could an "everything bubble" be overvalued relative to? Money? Is he predicting a huge burst of deflation? Seriously, think about it. What would the bursting of an "everything bubble" entail? Everything getting cheaper, right?

I believe the idea of a everything bubble, is not that it is one cohesive bubble, but a conglomerate of multiple smaller bubbles making together, a massive bubble. That if one pops, it would act like a banking run, and cause the others to start popping.

Akin to how GM would have never needed to be bailed out if the banksters wouldn't have crashed the economy.