Tuesday, January 26, 2010

More bubbles?

Fortune magazine sees four new asset bubbles. Also, the European Central Bank sees bubbles in emerging markets and some commodities. Jim Chanos sees a bubble in Chinese real estate.

1 comment:

  1. S&P 500 is 1087 today.... it was around 1520 back in March 2000..... if it has a 5% total return annually for next 10 years then it will be around 1600. Hence essentially the broad market will have 0 return for 2000 to 2020 something not seen since 1930-1954. Granted, stocks probably had better yields (i.e., dividends) back then (5 to 6% annually???) unlike the paltry 2% annual dividend now.

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