Harry Dent Predicts Major Stock Market Crash Worse Than 2008

harvey dent stock market crash prediction

According to ultra-liberal economist Harry Dent, a significant correction in the stock market may result in a disaster far worse than what investors experienced during the 2008 financial crisis.

Harry Dent is a US-based economist and bestselling author. He is known for his unique method of studying economies in the world. He is the former Harvard Business School student who has long been forecasting a financial meltdown and ensuing misery. He cautioned about the status of the markets once more.

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Harry Dent claims that the excessively loose fiscal and monetary policies that have driven asset values upward over the last ten years are to blame for equities being in the “bubble of all bubbles”.  Dent predicts that the Nasdaq Composite might drop as much as 92% and the SP 500 as much as 86% of its value when that bubble ultimately pops. He predicts that leading riser stocks, such as chipmaker Nvidia, may drop as much as 98%. 

“This has to explode. The market is showing signs of peaking,” Dent recently explained in an interview with Fox Business Network that the market is peaking and that it is getting harder for these star stocks to set new records. 

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“From 1925 to 1929, it was a natural bubble,” Dent said. There was no incentive behind this, an industrial incentive per se. So this is new. This never happened.” “What do you do if you want to cure a hangover? You drink more. “And that’s what they were doing.”

As markets approached the middle of the year, US stocks rose and ended the month of May with gains as the tech-heavy Nasdaq stole the show, ending trading up 6.9%. The Standard & Poor’s 500 rose 4.8%, and the Dow Jones rose 2.3%. Nearly two weeks ago, technology and artificial intelligence company Nvidia announced a 10-for-1 stock split, pushing shares past $1,000 three days later, an all-time high. “I think we will see the S&P down 86% from the top, and the Nasdaq down 92%. A champion stock like Nvidia, as good as it is, which is a great company, (falls) 98%. Boy, this is over,” Dent confirmed. He continued: “We have never seen the government maintain a completely artificial bubble for a decade and a half, and we will see what happens next.” “But I can tell you, there has not been one bubble, and this is a much bigger and longer bubble, one major bubble in history that did not end badly, period.”

The only adjustment to Dent’s forecast is timing, noting that market bottoms are likely to appear sometime between early and mid-2025. And in the middle of the bubble stands the real estate market. Dent previously predicted the hohan they will soon be worth. “Never in history has housing been owned on sucusing sector would see 2012 lows this year, and claimed Tuesday that homes in the US have already increased by double or more th a large scale, and many people have second and sometimes third homes just for speculation,” Dent said while noting that countries such as China and Japan are seeing an increasing number of residents buying empty properties as security. For their residence. Potential market crash. “If you understood what real cycles were, you wouldn’t have to buy the most expensive house in history right at the top of the market and then whine for 14 years while it goes through the next recession, like ’29 to ’42 or ’68 to ’82,’” the author expanded, “or “It wouldn’t have happened, without all this $27 trillion in stimulus, from 2008 to 202

The expert claims that the fact that interest rates have been extremely low for the majority of the last ten years has also contributed to the inflation of asset prices. “Interest rates have remained very low for most of the last decade, which has contributed to inflated asset prices.” 

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Before attempting to forecast the future, Dent adds, “This is the second version of the technology bubble” that the global economy saw in 2000. He claims that investors will feel the effects early or mid-next year due to the Federal Reserve’s tightening of monetary policy. 

Excessive interest rates tighten financial conditions, which is bad for equities and could slow down the economy. Recessions do not follow bubbles. Depressions follow them,” claims Dent. “I can tell you there hasn’t been a single bubble – and this one is much bigger and longer – in history that hasn’t ended badly, period.” 

Without a doubt, Dent’s viewpoint is unusual on Wall Street, since an increasing number of investors are cheering the idea of a gentle landing. The GDP is still growing at a slower rate than before, but it is still growing. The economy is in strong shape. At a steady pace, the US is also producing jobs.  

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