{"id":56795,"date":"2021-02-15T08:31:19","date_gmt":"2021-02-15T13:31:19","guid":{"rendered":"https:\/\/olduvai.ca\/?p=56795"},"modified":"2021-02-15T09:26:07","modified_gmt":"2021-02-15T14:26:07","slug":"a-market-crash-and-high-inflation","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=56795","title":{"rendered":"A Market Crash AND High Inflation?"},"content":{"rendered":"
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A Market Crash AND High Inflation?<\/a><\/h3>\n<\/div>\n

Financial researcher Jesse Felder warns of twin dangers ahead<\/strong><\/p>\n<\/div>\n<\/article>\n<\/div>\n<\/div>\n

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Imagine for a moment that the price of all your investments \u2014 your stocks, your retirement portfolio, your house \u2014 suddenly drop in half this year. Now imagine that\u00a0on top of that<\/u>\u00a0inflation suddenly picks up, making your cost of living skyrocket.<\/p>\n

That would be pretty awful, right?<\/p>\n

Well, this might not be just some theoretical thought exercise.<\/p>\n

Highly respected financial researcher\u00a0Jesse Felder<\/strong>\u00a0warns us that these twin dangers of a market crash and higher inflation actually could indeed happen in the near future.<\/p>\n

For many months now we\u2019ve been sharing the mounting abundance of data points revealing that today\u2019s markets are historically unprecedented levels of over-valuation. To our list, Jesse adds record margin debt levels, which have NEVER been higher compared to GDP than they are now:<\/p>\n

\"Margin<\/p>\n

Margin debt is a measure of how speculative the investing environment is: the more margin debt outstanding, the more speculative the time. So we are now living in the most speculative moment EVER.<\/p>\n

Like many of our recent past guest experts like\u00a0Grant Williams<\/strong>,\u00a0Jim Rogers<\/strong>,\u00a0Steen Jakobsen<\/strong>\u00a0and\u00a0Jim Bianco<\/strong>, Jesse foresees high inflation as the biggest existential threat to markets and the economy going forward. That by itself would puncture the euphoria supporting today\u2019s asset prices.<\/p>\n

So, ugly as it is to contemplate, we may be dealing with declining markets and rising inflation as 2021 progresses.<\/p>\n

Which is why now, more than ever, is the time to partner with a financial advisor who understands the nature of the risks and opportunities in play, can craft an appropriate portfolio strategy for you given your needs, and apply sound risk management protection where appropriate:<\/p>\n