@jackwilliambell@rustedneuron.com
Post #3767474
2026-07-07 17:33 UTC
#bubblewatch update:
Russ Mould is saying the #AI #bubble has expanded too far and will badly hurt the wider #economy when it pops. He bases this on an abnormal Shiller CAPE ratio indicating S&P 500 stocks are insanely overvalued.
> On Black Tuesday, the day that kicked off the worst financial catastrophe in modern history, the ratio was 32.5 — 8.5 points lower than it stands today.
> https://en.wikipedia.org/wiki/Cyclically_adjusted_price-to-earnings_ratio
Paywalled link:
> https://www.telegraph.co.uk/money/investing/stocks-shares/golden-decade-us-equities-may-have-run-its-course/
Summary:
> https://futurism.com/future-society/impending-market-collapse-ai-bubble-stocks-overvalued
Replies (1)
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@jackwilliambell@rustedneuron.com 2026-07-07 18:14
Meanwhile, back at the Stock Market: > Nasdaq slides over 1% as chip rout deepens. https://www.reuters.com/business/nasdaq-futures-fall-after-samsungs-record-profit-fails-allay-chip-jitters-2026-07-07/ > The Nasdaq fell more than 1% on Tuesday, pressured by a selloff in semiconductor stocks including Nvidia amid mounting doubts about the sustainability of the AI-driven rally, while a report on China's DeepSeek making an AI chip also soured sentiment.