Courtesy of Pam Martens
By Pam Martens and Russ Martens
When the motherlode of stock market bubbles finally pops, exposing the corrupt edifices on which it was built, you can count on one thing for sure – there will be lots of testimony before Congress that no one could have seen it coming.
The simple chart above, that took us 30 minutes to prepare in an Excel spreadsheet, is proof that anyone among the legions of Wall Street bank regulators at the Federal Reserve, the OCC, the FDIC, and the SEC can see what’s coming.
The chart compares U.S. GDP to the total stock market value at December 31, 1999, prior to the bursting of the dot.com bubble; at December 31, 2007, prior to the bursting of the subprime and derivatives bubble; and on December 31, 2020, prior to the bursting of whatever the bailout boys decide to call this bubble.
Our data for total stock market value comes from Siblis Research. Our data for GDP comes from the U.S. Bureau of Economic Analysis as compiled by the St. Louis Fed. (Put your cursor on the graph line in the St. Louis Fed link for the GDP numbers by quarter.)
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