Jim Rogers stated in an interview with Bloomberg that “the next bear market will be worst in my lifetime,” adding that he didn’t know when that bear market would occur. The stock market has become insanely overvalued. Before last week, several market-top “bells” were ringing loudly. The stock market could easily drop 50% and, by historical metrics, still be overvalued.
Gold, silver and the mining stocks have been pulling back since late January. In fact, I warned my Mining Stock Journal subscribers in the January 25th issue that the sector was getting ready for bank-manipulated take-down. In the latest issue I offered a view on when the next move higher could begin. Mining stocks in relation to the price of gold and silver have become almost as undervalued as they were in December 2015, when the sector bottomed from the 4 1/2-year cyclical correction. In a recent issue I listed my five favorite junior mining stocks.
I was invited to join Elijah Johnson and Eric Dubin on Silver Doctors’ weekly Metals & Markets podcast. We discussed the stock market, precious metals and the Fed’s next policy direction:
I also publish the Short Seller’s Journal, which is a weekly newsletter that provides insight on the latest economic data and provides short-sell ideas, including strategies for using options. You can learn more about this newsletter here: Short Seller’s Journal information.
Hi Dave,
I’d like your take on this chart of Interbank loans. It has fallen off a cliff very recently, and it’s hard to imagine that it is merely coincidental with the huge volatility spike in the markets.
https://fred.stlouisfed.org/graph/?g=ijRA
Cheers,
Tink
The chart is to 2018-01-03 well before the huge volatility spike in the markets. Strange …
On the monthly chart, the Nasdaq could fall 30% from it’s January high and still be on the long term trend line, starting 2009.
Charles Nenner “Market valuation are higher than 1929” and he says like you than stock market can easily go down 50%.
He explains here: https://www.youtube.com/watch?v=vsXxG6uxpOY&t=1393
Good discussion with salient points. Thank you.