Grantham: Stock bubble about to pop, end of world nigh

Jeremy Grantham on the end of the world in more ways than one:

David Llewellyn-Smith
Latest posts by David Llewellyn-Smith (see all)


    • Hmm, I thought the opening section where he posited that 5 of the 9b population will get effed by climate change set the mood nicely.

      • …and that was before he started touching on resource depletion, scarcity economics will have nearly just as big an impact. The two together will effectively be TEOTWAWKI.

  1. Emerging markets will be some of the most heavily affected by climate change, how will this impact their growth? Will his investment thesis of EM’s as a no-brainer be not so straight forward……..?

  2. great interview. validates my own views on what commodities to invest into and that a market correction is on the cards. still holding lot of cash. hope it comes. 😉

    • “Cash is trash” Ray Dalio, 22nd Jan 2020. Founder Bridgwater. Pure Alpha Australia Series 1, -12.6% over year.
      Even the best and most experienced are getting this one all messed up

    • I have a reasonable amount of cash (relative to holdings) but I worry that we won’t have a correction. I really don’t feel like buying into the gold stocks at these levels. That said, there is a stimulus-free window right now which should pressure the market lower and the USD higher, so fingers crossed.

      But stimulus will be big again in 2021 … and 2022 … and so on.

      • thinking exactly the same. I even sold some SFR, WSA and IGO today in order to lock some profits and am bidding at lower levels.
        Agree, not 100% sure if there will be large correction but I am almost certain there will be more falls now that everyone knows there is no stimulus this side of the elections. Also, second/third wave of Covid in Europe and US will influence the market until there is stimulus.
        We only need Cu, Ni and Au to fall another 2% (gold bit more will be even better) in order to trigger decent falls in the SPs of our miners. Will be good buying opportunity.
        Now NST and SAR are merging I am looking at NST below $14.80 or if SAR goes below $5.20 then I am buying.

        • Yep, there’ll be a good technical bid for the NST/SAR entity because index funds will be obliged to load up. That said, it will have to exit some indexes. Should be positive al round though, especially as gold enters a new leg of an upward trend.

  3. I liked his take on shorts. There is no better way of describing the risks that come when shorting during euphoria.

    • Shorting in this environment is a mug’s game. Print a trillion dollars at zero cost? Everything’s going up.

  4. Can you actually invest with this guy either indirectly or directly? … or do you have to be a HNWI?

  5. Soooooo… the crash is still on? It felt like things were going back to the “old normal” for a minute now. House prices are just turning and Victoria just peeking out the window..