Flybytheseat
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With the US Stock markets currently clearly in a bubble (CAPE (Schiller P/E ratio) at nearly 32 against a historical average of 16.8) and with Trump elected the financial outlook for the US is poor with inflation / stagflation extremely likely over Trump's term. Interest rates will rise, the Fed will continue to print money generating high inflation, asset prices will rise (equities, US Real Estate), crypto will continue up to the ponzi scheme high until it's bubble bursts and the ponzi scheme ends with the bitcoin falling to earth.
Where macroeconomically should people invest if they believe the above to be likely ? You can't be in cash or long term bonds as you'll be wiped out by inflation/ interest rate rises. Will the dollar loose its reference currency designation in the next 10 years with record US national debt and noone willing to buy US government bonds / debt for fear of an inevitable default?
Most multi asset pension funds are heavily US focused with US equities making up 60-80% of their assets. US stocks are clearly overpriced so where can you put your equity investments (Emerging Markets (BRIC, Asia ? ), European Stock (not exactly showing any signs of growth), precious metals (gold/silver/platinum), other commodities, REITs, Crypto (if you've lost all sense)... ?
Where macroeconomically should people invest if they believe the above to be likely ? You can't be in cash or long term bonds as you'll be wiped out by inflation/ interest rate rises. Will the dollar loose its reference currency designation in the next 10 years with record US national debt and noone willing to buy US government bonds / debt for fear of an inevitable default?
Most multi asset pension funds are heavily US focused with US equities making up 60-80% of their assets. US stocks are clearly overpriced so where can you put your equity investments (Emerging Markets (BRIC, Asia ? ), European Stock (not exactly showing any signs of growth), precious metals (gold/silver/platinum), other commodities, REITs, Crypto (if you've lost all sense)... ?
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