Op-Ed: I've seen bubbles burst - this isn't a bubble

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Despite more potential downside, the U.S. equity market is not in a bubble at all.

In light of the tumultuous move in global stocks this week, I found it comforting, in that it-could-be-worse sense, to think about some excessively priced assets I've watched up close, as well as from a distance.

As investors have learned through the ages, jumping off a wave too early can sometimes be a very dangerous move. I wish I had jumped off this one sooner. Soon we will have a new landlord, who is paying $75 million and intends to invest over $50 million in a full conversion to biopharma lab space, right in the heart of Boston's Financial District. At that price, our ten-year lease must make them queasy.

, but sometimes a real case strikes an alarm note. An executive of a firm that developed a software system used in training workers explained to me that their private equity parent was encouraging them to make acquisitions for the purpose of growing their revenues in preparation for a resale of the company.

 

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agree it ain't a bubble. But its a bear market. -20% to -30%

Your assumptions for 2021 are wrong... don’t you think? The S&P is going to 2000-1800. Have fun.

Not a bubble, but virus fears have sped up a very real upcoming correction & given the President's reelection year, I'm worried he'll start to panic & his meddling will make a natural correction worse.

Not a bubble. The wealthy just doing what they do. Big sell off. Taking gains on the misfortune of others.

Are you suggesting the prices we saw two weeks ago (NQ 9700) was fairly priced? Shame on you for misleading Joe Public or pity on you for being that outrageously gullible.

Don't listen to this fool! As we come out of this, watch interest rates!! They are going to pop on fiscal stimulus. You rotate to risk-on before fiscal stimulus announced. NASDAQ will crash on stimulus and higher rates.

This is a bubble! Like every company Trump created. Create a bubble, grab the money and declare bankruptcy.

This isn't a Bubbles. This Is THE BUBBLE. everythingbubble

Interesting article Karen_Firestone. Are you hinting that there are other shoes to drop or that bringing multiples in line will push off the failure of other asset classes thus avoiding a bursting bubble?

possibly the 'everything' bubble in financial assets. At least, gave young people a little better buying opportunity than buying stocks at all time market cap/GDP and market cap/top line sales that existed into 2/19/2020. Hindsight will tell us if this is a bubble.

Not a bubble? But surely a burst you must agree. Ain't seen nothing yet.

How can you not see the glaring bubble? Are you blind? Stonks, Real Estate, bonds, crypto, art, etc

It's really just in response to Coronavirus. This will all pick back up once there's a vaccine. Stocks are undervalued now so there will be a lot of buying.

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