MICHEL PIREU: Is a financial crisis on the cards?
'Markets have shrugged off the Trump presidency, but some analysts fear a crash is looming'
Last year, Jim Rogers, who founded the Quantum Fund with George Soros, warned that "A $68-trillion ‘biblical’ collapse is poised to wipe out millions of Americans". Mark Faber told CNBC "investors are on the Titanic" and stocks are about to "endure a gut-wrenching drop that would rival the greatest crashes in stock market history". Andrew Smithers warned "US stocks are now about 80% overvalued … the only time in history they were this risky was 1929 and 1999". Even the Royal Bank of Scotland told their clients to "sell everything" because "in a crowded hall, the exit doors are small". So far, these dire predictions have proven to be wrong — spectacularly wrong. After President Donald Trump’s speech to Congress last week, the Dow broke through 21,000. It cleared 20,000 three weeks ago, making this the fastest rise between 1,000 milestones since 1999.The Trump presidency, it seems, can do no wrong on Wall Street. Travel ban troubles? Who cares? Russian revelations? Nah. Staffing woes?...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.