Gobears81
Senior Member
- Joined
- Nov 7, 2013
- Professional Status
- Certified General Appraiser
- State
- Illinois
I read an interesting article this morning:
https://www.marketwatch.com/story/w...-so-blame-the-credit-market-bubble-2017-12-27
Maybe this is all elementary discussion for some of you, but I was not aware of the recent increase debt being taken out by corporations. It does mention predictions of inverting yield curves near the end of 2018.
It seems that crashes happen well after the fundamentals triggering said crash suggests overvaluations of stocks. Of course, we could simply point to trailing P/Es and say that stocks are overvalued now, but a growing concern in late 2017 regarding corporate debt holdings would not be sufficient to trigger a crash in 2018, though as long as the bull market has run, it would not surprise me if there is a significant downward move in 2019/ 2020. What are your thoughts on the market or on this article?
https://www.marketwatch.com/story/w...-so-blame-the-credit-market-bubble-2017-12-27
Maybe this is all elementary discussion for some of you, but I was not aware of the recent increase debt being taken out by corporations. It does mention predictions of inverting yield curves near the end of 2018.
It seems that crashes happen well after the fundamentals triggering said crash suggests overvaluations of stocks. Of course, we could simply point to trailing P/Es and say that stocks are overvalued now, but a growing concern in late 2017 regarding corporate debt holdings would not be sufficient to trigger a crash in 2018, though as long as the bull market has run, it would not surprise me if there is a significant downward move in 2019/ 2020. What are your thoughts on the market or on this article?