Sunday, April 24, 2016

Catalysts For
The Next Crash Are Many
John Rubino* explains it turns out that most of it came from borrowing, "which means it’s not really cash at all, but simply the asset side of an asset/liability entry that nets to zero. Assuming there’s a limit to how much companies can borrow before new debt spooks investors and becomes a net negative, then that point is, if not near, at least closer than ever before." .. concludes: "Add it all up — a strong dollar that hampers exports, already-high U.S. equity valuations, foreign investors souring on U.S. financial assets, corporate debt at five times the 1990 level — and catalysts for another up-leg are scarce. But catalysts for the next crash are many."
LINK HERE to the commentary

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