Top Economist Predicts Massive Economic Crash in 2024
As the countdown to 2024 progresses, economist Harry Dent is issuing a somber prediction for the upcoming year, foreseeing what he deems as the most significant crash in our lifetimes.
Dent, speaking to Fox News Digital, attributed this ominous outlook to what he perceives as the artificial nature of the markets, fueled by unprecedented money printing and deficits exceeding $27 trillion over the past 15 years.
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He argued that the economy is in a dangerous state and emphasized the need for a return to normalcy, signaling a cautionary message to central banks.
Dent, known for his contrarian views, contends that the markets are overvalued, driven by excessive stimulus spending.
While recent market rallies have instilled mild recession expectations among investors, Dent maintains that an impending burst of the "everything bubble" awaits in the coming year.
Citing historical patterns of market bubbles characterized by rapid ascents in stock prices followed by steep declines, Dent traced the origins of the current bubble back to late 2021, with signs manifesting in 2022, notably in the 38% drop in the Nasdaq. He predicts that 2024 will usher in the "B wave" of the crash.
Dent expressed skepticism about a swift return to normalcy, cautioning against complacency. He believes that this crash will not be a mere correction but likens it to the severe downturn witnessed from 1929 to 1932, anticipating an 86% crash in the S&P, a 92% crash in the NASDAQ, and a substantial decline in crypto and real estate values.
In light of the Federal Reserve's recent signaling of potential rate cuts, Dent dismissed the possibility of a soft landing, foreseeing a shift from disinflation to deflation, resembling the 1930s.
He argued that the central bank is grappling with a weak economy, exacerbated by the tightening measures implemented in response to the COVID-induced stimulus.
Dent painted a grim picture of an extended economic slowdown lasting 12 to 14 years, contributing to a widening wealth gap, with the rich experiencing substantial losses and the average person facing job uncertainties for an extended period.
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