A renowned market bear says stocks are setting classic trap before another steep plunge — and says the market is at risk of a 57% drop from current levels
— isn't prepared to give the same all-clear signal. He instead thinks current investor sentiment is falsely assuming that the ongoing market recovery will persist.
That "unusual combination" is increasing Hussman's anxiety over the overall well-being of the market — one he thinks is setting a trap. His view is informed by the four-part "phases of a bubble" economic model popularized by renowned academic"The current position of the market is reminiscent of the 'return to normal' trap in Jean-Paul Rodrigue's familiar chart of speculative bubbles," he said.
Hussman added: "My sense is that investors remain disoriented about where they actually are in the cycle."
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Stock market investing strategy: 5 reasons to buy any dip amid turmoil - Business InsiderCredit Suisse outlines 5 reasons why stock traders should buy any dip that transpires this year — even as the market grapples with the coronavirus
Baca lebih lajut »
Stock picks to buy, investing strategy from top small-cap fund manager - Business InsiderThe best small-company stock-picker of the last 5 years tells us what he added to his portfolio after the market crashed — and shares his 3 favorite investments for the next decade
Baca lebih lajut »
Stock market investing: How to trade as coronavirus volatility falls - Business InsiderMorgan Stanley explains why the end of wild swings in the stock market is near — and shares the perfect trade to profit from the calm ahead
Baca lebih lajut »
Why it makes sense to file taxes jointly with my husband - Business InsiderMarried couples can either file their taxes jointly or separately. According to the IRS, less than 3% of married couples filed separately in 2016.
Baca lebih lajut »
You should never work a financial adviser who's not a 'fiduciary' — here's why - Business InsiderA financial adviser is a trusted person in your financial life, but you can't trust everyone just because they call themselves a financial adviser.
Baca lebih lajut »
How I lost $107,662 in 40 days and why I regret nothing - Business InsiderThe Money Wizard's net worth was over $360,000 before the coronavirus hit. But a three-part test shows why his investment strategy is working.
Baca lebih lajut »