Calling a Super Bubble: Front Row with Jeremy Grantham
Notes from this interview:
U.S. stocks are in a super-bubble like 1929.
The upcoming crash will rival the 1929 crash and dot.com bust of 2000-2001.
In the last year stocks in the Russell 2000 are down.
The current bubble is a very rare pattern.
The NASDAQ and Russell 2000 are weak against blue chip stocks.
The trend line is (at most) 2500 for the S&P500.
Do not short individual stocks.
The global housing market is currently more overpriced than it was in the housing bubble of 2006-2008.
Inflation will be part of the discussion and move higher from now on.
We are in the early stages of running out of raw materials.
Selected commodity prices will move higher.
Live within your means.