Investor compares Buffett Indicator spike and trade deal euphoria to dot com bubble before 2000 collapse

Investor compares Buffett Indicator spike and trade deal euphoria to dot com bubble before 2000 collapse

TLDR:

  • The dot-com era saw explosive stock gains from 1995 to 1999, with almost everything going up

  • Examples like CYBR and JDSU skyrocketed despite weak fundamentals

  • The crash began on March 24, 2000, and $QQQ didn’t recover its ATH until 2014

  • The user kept buying the dip and dollar-cost averaging, which led to major losses

  • Markets can stay irrational far longer than expected before reality hits

  • Today’s market mirrors dot-com herd behavior, just with new players and headlines

  • Buffett Indicator hit 216% of GDP, higher than dot-com’s 163%

  • Trump’s tariff policy triggered volatility, but trade deals are being spun as economic miracles

  • Financial media hype is back, just with a new narrative

  • Lesson: take profits, don’t get greedy, and remember Buffett’s long-game wisdom



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