We’ve already seen it in my view - the circa 40% correction in March in one month is the steepest and most rapid correction in the history of equity markets - that is ever. Here in Australia we went from 7300 to 4400 at light speed.
The glaring differences between now and 1987 are we don’t have interest rates going to 20% plus post Covid 19 and secondly there was no such thing as Quantitative Easing and constant money printing that there is today where every central bank globally is injecting mass amounts of liquidity in to the system.
The GFC was a complete melt down of the banking system and the dooms day theorists were saying we were going to have a “1930’s type scenario” play out over the next decade. Well they couldn’t have been More incorrect if they tried.
Ted
IHL Price at posting:
5.1¢ Sentiment: Buy Disclosure: Held
