The "south sea bubble" was "too big to fail", until it did. The...

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    The "south sea bubble" was "too big to fail", until it did. The South Sea stock was even trading in its own shares.
    Now where have we heard that before?
    Isaac Newton initially made a lot of money in the South Sea company, but he recognized it was a bubble, so he sold out at a profit.

    Newton then watched the stock continuing to rise, and listened to the "sage" advice of his friends, who told him that it could not bust. He bought back in just before the crash. Newton lost most of his wealth.

    There was the insane tulip bubble in Holland where "wealthy" investors became paupers overnight.

    But, I am sure "this time it will be different" just like our banksters tell us.

    Talking of FOMO and real estate. It is curious that the investment property owners are getting out, while the small buyers are getting in to property to take advantage of the low interest rates. One has to ask the question: Who is correctly forecasting and who is not?

    Property prices have been kept high because of foreign buyers, and the high immigration rates. If Australia experiences a downturn, the immigration will slow.

    And - talking of leading indicators for a downturn - there are lots of expensive boats for sale right now. Remember - the finance is cheap, so they just must be bargains!!!!
 
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