Risk appetite in the markets record high

Welcome to the Precious Metals Bug Forums

Welcome to the PMBug forums - a community supported watering hole for folks interested in gold, silver, precious metals, sound money, investing, market and economic news, central bank monetary policies, politics and more.

Register a free account to join the discussions. When you register an account and log in, you may enjoy additional benefits including access to market data/charts and additional members only rooms (including one for trade/barter with the community).

bushi

Ground Beetle
Messages
968
Reaction score
13
Points
143
http://twitpic.com/bvdrat

717837941.jpg


Quote from the tweet above:

"The professionals haven't been this bullish for almost 20 years. What could possibly go wrong?"


You can see on the graph, that the risk appetite is the highest in 20 years, and touching all-time highs (on record). If this is not a flashing red light & prelude to a rapid reversal/crash, I don't know what is. Global economy is on life support, yet traders are willing to take highest risks on records - the very definition of malinvestment and reckless behaviors.

Question (homework ;)): what happens, when trend reverses (and/or crashes), and people are getting risk averse in the financial markets, what assets classes benefit?

It seems to me we will be welcoming new members here all the time in the foreseeable future :)

:popcorn:
 
Last edited:
Come and see the moral hazard inherent in the system...
 
Back
Top Bottom