Be warned: the financial bubble will soon burst
And just like 2008, many will be hurt — except for the biggest gamblers.
Friends,
This isn’t an investment letter and I’m not an investment advisor. But I want to warn you. The financial economy — stocks, bonds, and their derivatives — is in for a big reality check, and I think it will happen soon.
The real economy is showing worrisome signs. Yesterday’s Commerce Department report about the U.S. economy’s performance in the second quarter — April to June — revealed serious strains.
Although consumer spending is up from the first quarter, the 1.4 percent rate of growth in the second is nothing to write home about. It’s slower than the growth rate throughout most of the Biden administration.
Also worrisome is that U.S. exports fell during the second quarter, particularly in the auto sector.
