There will be a time that investors will really agree that history will repeat itself. Today, there is a roaming danger that the stock market will repeat a very bad history.
To Michael Hartnett of Bank of Americal Merril Lynch, today’s current market environment is showing a behavior similar to the 1998-1999 stock market bubble. This bubble as crashed during year 2000 might be happening again.
Hartnett wrote in a note Sunday that “It could simply be 1998/99 all over again. After all, a ‘speculative blow-off’ in asset prices is one logical conclusion to a world dominated by central bank liquidity, technological disruption & wealth inequality.”
As BAML’s chief investment strategist, Hartnett really thinks the upcoming market problems and succeeding global response reflect a similar set in the late 1990’s.