Jump to content



Photo

Potential ‘Minsky moment’ collapse


  • Please log in to reply
9 replies to this topic

#1 Rogerdodger

Rogerdodger

    Member

  • TT Member*
  • 24,913 posts

Posted 03 September 2020 - 10:55 AM

Markets are facing a potential ‘Minsky moment’ collapse, strategist says

A “Minsky moment,” named after economist Hyman Minsky, refers to a sudden market collapse following an unsustainable bull run, which in this case could be fueled by the “easy credit” environment created as a result of unprecedented fiscal and monetary stimulus measures.

 

“This is this ongoing story of tech street, Wall Street and Main Street all diverging,” he said. “If we look at the equal weighted index of the S&P 500, it has barely broken above its June peak and has actually been flatlining ever since, so we can see there the ’FAANG-tastic divergence, as I call it.”

 

Mike Burk

Sept-chart.jpg


Edited by Rogerdodger, 03 September 2020 - 11:00 AM.


#2 Dex

Dex

    Member

  • Traders-Talk User
  • 2,687 posts

Posted 03 September 2020 - 11:12 AM

Nice timing.
"The secret of life is honesty and fair dealing. If you can fake that, you've got it made. "
17_16


#3 linrom1

linrom1

    Member

  • Traders-Talk User
  • 1,569 posts

Posted 03 September 2020 - 11:44 AM

Minsky Moment refers to collapse of Ponzi market speculation phase where debts can no longer be paid off from asset appreciation and debt is suddenly cut off for the speculator.



#4 Rogerdodger

Rogerdodger

    Member

  • TT Member*
  • 24,913 posts

Posted 03 September 2020 - 12:23 PM

debts can no longer be paid off...

 

We don't have no stinkin debt... Making Ben Bernanke look like a piker.

 

debt-clock.png

 

 

 

trans.giftrans.gif



#5 redfoliage2

redfoliage2

    Member

  • Traders-Talk User
  • 13,777 posts

Posted 03 September 2020 - 12:29 PM

They have been totally wrong since the pandemic and they will be wrong again.  I covered my ES shorts and just loaded NQ long .....................


Edited by redfoliage2, 03 September 2020 - 12:31 PM.


#6 linrom1

linrom1

    Member

  • Traders-Talk User
  • 1,569 posts

Posted 03 September 2020 - 12:57 PM

They have been totally wrong since the pandemic and they will be wrong again.  I covered my ES shorts and just loaded NQ long .....................

Today is a trend day: its not spontaneous or news driven selloff.



#7 redfoliage2

redfoliage2

    Member

  • Traders-Talk User
  • 13,777 posts

Posted 03 September 2020 - 12:59 PM

 

They have been totally wrong since the pandemic and they will be wrong again.  I covered my ES shorts and just loaded NQ long .....................

Today is a trend day: its not spontaneous or news driven selloff.

 

It's typical bots actions yesterday and today.  Nowadays bots rule on the street not analysts .............


Edited by redfoliage2, 03 September 2020 - 01:00 PM.


#8 linrom1

linrom1

    Member

  • Traders-Talk User
  • 1,569 posts

Posted 03 September 2020 - 01:10 PM

JPM and AXP are  two positive stocks in the DOW.



#9 redfoliage2

redfoliage2

    Member

  • Traders-Talk User
  • 13,777 posts

Posted 03 September 2020 - 03:48 PM

BTW, this is absolutely not the time for the market to crash as it will mean the end for capitalism and it's not allowed.......................


Edited by redfoliage2, 03 September 2020 - 03:54 PM.


#10 slupert

slupert

    Member

  • Traders-Talk User
  • 1,538 posts

Posted 03 September 2020 - 04:29 PM

BTW, this is absolutely not the time for the market to crash as it will mean the end for capitalism and it's not allowed.......................

 I don't think we are ready for debt deflation just yet, maybe in a few more years.