Stock Market Bubble Expert Warns 'Things Could Get Bloody Fast' | Jonathan Treussard

Animal spirits have certainly been running wild in the stock market of late.

The S&P is up over 1,000 points (roughly 25%) in the past 4.5 months.

Is this a new era of easy gains as giddy bulls are proclaiming? One investors should jump in and make the most of?

Or is this the latest incarnation of irrational exuberance? And is caution warranted instead?

For insight, we're fortunate to speak today with Jonathan Treussard, former partner and head of product at Research Affiliates, and now founder of Treussard Capital Management.

Jonathan, who authored academic research on financial bubbles at UCLA, indeed concludes we are in the midst of another such bubble now.

#bubbles #nvidia #nvda
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[martintheguitarist]

Finally someone talks sense about this AI hype. I've been waiting for an interview like this for over a year.

[davidfraser]

Such a good, interesting and thought provoking interview I listened to it over again. Adam, you’re a genius. Please get Jonathan back on. Thank you both 🙃

[martinross]

I love these comments. The “I missed out on the bull and I’m jumping on the train” is a key indicator of the last stage of the bull. When the skeptics give up and go long who’s left?

[fugacité]

His line about existential fear driving things right now rings true to me. I know I'm not the only one who feels pinched & pi*#ed off because I lost 33% of my purchasing power in the last 3-4 years, while the wealth gap currently looks like the Gilded Age. I saved & have a cushion, but it feels like it could get wiped out so easily, & it's so hard to get ahead.
I've been on the sidelines & I'll stay there until this bubble pops. My money's in savings @ 4.4%, but I understand the impulse to gamble on stocks & crypto, etc. The playing field is very tilted right now, & desperate times call for desperate measures. Unfortunately, we know how this ends for many retail investors, & it does not end well. And for good measure, the masses will likely get to bail out banks, & businesses who spent too much on buybacks & CEO pay.
Anyhow... thank you Adam, for all the great interviews & info you continue to bring us. Incredible help to cut through all the noise & see the picture more clearly.

[turtle]

The fact that so many comments are dismissive of this talk could be a sign “the pop” is close

[margrietlaan]

Didn't know Jonathan but he sounds like he knows what he is talking about. I liked this interview! 👍

[richhands]

My three favorite channels: Adam Taggart, Stock Brotha, & How Money Works. Make my week complete! 🔥 🔥 🔥

[pjb]

This guy was very interesting. Adam is killin’ it getting guests!

[johngalliano]

This guy is awesome! I was super excited for the last question, & I look forward to researching his answer. Thank you both.

[cairns-holiday-homes]

An interview to watch or listen to again. Very thoughtful and thought provoking. Jonathan is a realist and points out that that we are hardly in a new bull market but well into one. There are all sorts of justifications - FOMO, Ai, strong economy, low real rates etc. The justifications are typical of a market closer to its end than its beginning. At some point we will be talking about FOLLE - Fear Of Losing Literally Everything. Extreme perhaps but so is the US and worldwide debt.

[robertlehr]

Jonathan is a wonderful ‘thoughtful’ guest.

[mattanderson]

Thank you for having Jonathan on, brilliant discussion!!

[Memanfree]

Once we all agree they are wrong, they will be 💯 correct.

[patrickyim]

Nvda revenue is “real” because of Meta paying 5x for their chips, and this craze benefited both Nvda and Meta to the tune of $3T, and Zuck cashed in big time recently.

[FeelingPeculiar]

43:38 "Crazy things can get way crazier"

Well said.

This market could get much much crazier. Hyperinflation will go on until everyone is wiped out.


Great guest for sticking to good instincts and data

[gregbailer]

Asteroid vs Dinosaur was the best analogy. The smart species burrowed underground and survived. Sell stocks and buy shovels when you feel the heat...just before you see the "flash". T. Rex

[eggmackan]

One of the best guests u had on lately. Hope to see him again 👍🏻

[ellaschris]

Have a great weekend, Adam brother thanks for all the great guests always eye-opening!

[scotthodor]

Its great to here a Phd sound as smart as youd expect a Phd to be. And so balanced too. Great conversation.

[sglaser]

If we had a free market in interest rates and a FED that didn’t engage in money printing beyond GDP growth, I suspect this bubble would have been avoided, the government would have less total debt and the economy would be healthier. Given where we are now, a free market in rates would likely be higher and the equity markets 20-40% lower. This would allow for reasonable future returns. Zombie companies would not have been unable to consume productive capital and not provide value to society.