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Sure and the catalyst for that was people couldn't afford their mortgages, but current property and stock values are pumped up by an excess monetary supply caus
by jeffreyrogers 6y ago
Sure and the catalyst for that was people couldn't afford their mortgages, but current property and stock values are pumped up by an excess monetary supply caused by quantitative easing and a lack of real innovation which would offer actual good investments.
Since there is so much cash floating around and no good places to put it, when people have to exit the market new money floods in, keeping asset prices up. In January PE firms had 1.5T cash ready to invest. I'm sure that will get deployed as bankruptcies start to happen.