War? What war? Inflation? Ba humbug, says the market, which continues to get high smoking AI crack 24/7.
https://finance.yahoo.com/markets/stocks/articles/ray-dalio-ai-bubble-nearing-070000246.html?g...
btw this story is worth reading. Dalio's been consistently on target ahead of previous big corrections in the markets. n.b.:
"Acadian Asset Management's Owen Lamont has framed the clearest test of whether markets are truly in bubble territory around four conditions he calls the "Four Horsemen of the Bubble Apocalypse": extreme overvaluation, widespread "bubble beliefs" (investors who admit prices are too high but expect them to rise anyway), a surge in equity issuance, and a flood of new market participants.
Dalio's comments map almost precisely onto the third horseman. "There's almost nothing that's easier to produce than stock," he said, describing how a company can raise $50 million, get valued at a billion, and mint a paper billionaire without a billion dollars ever changing hands. He's identified surging stock issuance as one of the two primary forces that "prick" a bubble, alongside rising interest rates."
"Acadian Asset Management's Owen Lamont has framed the clearest test of whether markets are truly in bubble territory around four conditions he calls the "Four Horsemen of the Bubble Apocalypse": extreme overvaluation, widespread "bubble beliefs" (investors who admit prices are too high but expect them to rise anyway), a surge in equity issuance, and a flood of new market participants.
Dalio's comments map almost precisely onto the third horseman. "There's almost nothing that's easier to produce than stock," he said, describing how a company can raise $50 million, get valued at a billion, and mint a paper billionaire without a billion dollars ever changing hands. He's identified surging stock issuance as one of the two primary forces that "prick" a bubble, alongside rising interest rates."
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