A Market Veteran Is Warning About An Imminent 80 Percent Stock Market Crash

A 48-year market veteran is warning about an imminent 80% stock market crash and he's stressing that investors should "prepare for more wealth destruction than we've ever seen". In fact, he isn't alone. According to a recent survey, more than half of all big Wall Street investors are bracing for a significant crash in the coming weeks and months. This is the type of news you won't see on the mainstream media, which wants us to believe we're marching towards a prosperous future when, in reality, we're headed to what may be the greatest financial meltdown in modern history.
Most people are still in denial that a stock market bubble even exists. The bubble is not only here, but already set for a brutal burst, an event some argue that will rival the 1929 Wall Street crash. For that reason, today, we decided to expose the truth. And it is ugly. We're going to echo the voices of market insiders who have been trying to alert us about the dangers lying ahead.
If we look at the latest numbers, we will see that stocks' performance is reflecting this cautious outlook. The S&P 500 dropped by about 4.5% since its September 2 peak of 4,536. The decline has sparked questions about whether the market is close to its peak or if it has already peaked. According to the chief macro strategist at Contrarian Macro Advisors, David Hunter, the timidness on Wall Street and among investors right now signals that stocks are about to top out in this bull market.
Hunter, a 48-year market veteran who knows how cycles work and when threats are emerging, says that the S&P 500 will go to 5,000 before crashing down. And everything will start to fall apart when the Federal Reserve begins to cut back its balance sheet and taper its asset purchases. The market insider reiterated his call for a steep pullback in stocks: The S&P 500 to drop as much as 80% from its peak, he warns. "We're going to see more wealth destruction than we've ever seen," Hunter stressed.
The veteran also alerted that this brutal stock market crash is likely to come around the fourth quarter, as inflation will rise beyond the Fed's expectations and it will cause the central bank to taper more aggressively and more quickly than investors have anticipated. It is hardly surprising at this point that most big bulls on Wall Street are starting to experience a bearish sentiment. Many of them have started selling off their riskiest assets and turning to the exits before the carnage begins. Even big banks, such as Morgan Stanley, have been recently warning their clients about an impending correction and urging them to back off and reposition.
In fact, according to a survey released by insurer Allianz, most US top investors now foresee stocks heading toward a crash, as they fear resurgent virus cases will throw the economy back into recession. Over 1000 investors in the market's top tier were interviewed and the survey found that a 54% majority say they are "worried that a big market crash is on the horizon". That rate is the highest of 2021, largely surpassing the 45% of respondents in the previous quarter. Nearly 70% revealed that they believe inflation will hurt Americans' purchasing power in the next six months. Inflationary pressures are only growing worse in recent weeks, with the core personal consumption expenditures index, a key inflation measure watched by the Federal Reserve, rising to 3.6% last month, the highest rate since May 1991.
The tension is intensifying across financial markets given that October is known as the most volatile month for stocks. Stocks suffered their two worst crashes in U.S. market history in the month of October, and with only seven trade days in, it already looks like we will have another rough fall. Few investors still remember the trauma of the 1987's Black Monday. Many prefer to reassure themselves that a similar crash couldn’t happen nowadays, given market reforms that were instituted in the wake of the selloff. But they're only kidding themselves, said Xavier Gabaix, a professor of economics and finance at Harvard who conducted a study that emphasized the growing chance that the stock market will experience a one-day crash as bad as 1987’s Black Monday by the end of this month.
In essence, overbullish sentiment, economic weakness, excessive debt levels, and reckless monetary policies are key ingredients for a disastrous recipe. Today's stock market is facing dangers much bigger than during previous bubbles. If these expert predictions turn out to be even half-correct, this means that we will be facing a financial apocalypse earlier than most people dare to imagine.

[mreric]

Who else is watching and reading comments at the same time 😊

[JurrasicWorld.]

If it doesn’t happen in October 2021.
I will unsubscribe this channel.

[MrFunkdaddyfresh]

I sure wish you would make another video about the stock market crashing...

[brittanyclark]

An investment in knowledge pays the best interest. If you know your way around finance, you'd know better than to panic regardless of the fact that there will be a market crash. That's why when I consider how much in profit I've been able to accumulate from my investments in the trade market with my financial consultant and the amount of flexibility I have achieved in my portfolio. The only thing i see in a market crash is opportunity to continue to grow my investments.

[judithclerici]

It's far too easy for investors to lose perspective. whenever something big goes wrong, a lot of people panic and hold on to money that should be working for them. Looking at history, the markets recovered from corona virus, 2008 crisis, the dotcom crash, even the Great Depression. So they'll probably get through whatever comes next as well.

[kekebryant]

Please prepare spiritually for what's coming.Many will perish& lose their mind because of greed.Stay vigilant.

[NEWNATURE]

The current surge in inflation is neither due to a shortage of supply nor transitory, as central banks want us to believe. It is primarily due to soaring consumer demand fueled by excessive growth stimuli and monetary creation.

[NEWNATURE]

Shalom!

“Shortages” Aren’t Causing Inflation. Money Creation Is.



Maranatha 👍

[seandadon]

I hope the stock market falls harder than when King Kong hit that sidewalk

[ianwelling]

if this doesn't happen, I won't be listening to this channel anymore.

[JoeBlow-fpng]

I dunno...I kinda feel like I've heard about an "imminent stock market crash" on this channel once or twice before. Or maybe every week for the past 4 years. 🙃

[moonspots]

This channel has been saying that a crash will happen "tomorrow" for 2 years now. I'll believe it when I see it.

[jjjackson]

That voice though. I am dubbing it, "The Voice of Doom."

[alecleamas]

Noah was wrong until it starting raining and didn't stop.

[brunohart]

Market crashes are an opportune time to protect capital in the sense that one can gain years of growth from the bottom of a crash in a matter of months. this last crash provided over a decade of growth in majority of stock. Always be ready to jump at these opportunities.

[DavidSmith-rueo]

Love this stuff just before bed will dream of positive things.

[argonoth]

We’re in completely uncharted waters, there are so many factors at play I think even though it’s likely inevitable that the everything bubble will pop, I think it’s impossible to say exactly when it will crash.

[leinad]

Best Halloween story ever....just a little early...me scared now

[NANASplash]

I’m terrified of a crash. My 401K can’t be cashed out without losing 25% or more to taxes. If there’s a crash, I can’t make my house payment anymore.

[kennethflores]

Bring it on already, flip the switch this is like almost like holding your breath before the plunge.