There is a ‘high probability’ the stock market will be ‘flat’ for an entire decade

C

cancel2 2022

Canceled
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I hope that he's wrong but he has an awesome track record so who knows.

Stanley Druckenmiller, one of Wall Street’s most respected minds, argued that the pain won’t be temporary—and that stocks face an entire decade of sideways trading as the global economy goes through a tectonic shift.

“There’s a high probability in my mind that the market, at best, is going to be kind of flat for 10 years, sort of like this ’66 to ’82 time period,” he said in an interview with Alex Karp, CEO of software and A.I. firm Palantir.

Druckenmiller added that with inflation raging, central banks raising rates, deglobalization taking hold, and the war in Ukraine dragging on, he believes the odds of a global recession are now the highest in decades.

And given Druckenmiller’s track record, investors would be wise to heed his warnings.

The legendary investor founded his hedge fund, Duquesne Capital, in 1981, and routinely outperformed the majority of his peers on Wall Street over the coming decades, delivering an annual average return of 30% from 1986 to 2010, according to Yahoo Finance.

https://fortune.com/2022/09/15/stan...-warns-stock-market-flat-decade-central-bank/
 
" The stock market is a giant casino "

" I've been contemplating various economic ideas for the last several years and lately have been wondering what is the justification for even having a stock market? On a day to day basis, the frenetic movement of money between hands accomplishes absolutely nothing in the grand scheme of things. It produces absolutely no wealth, it just shifts it around from less savvy "investors" to those who have more of a knack for the game. For those who understand the game, it makes some of them absurdly rich for essentially doing squat. It inflates real wealth inside absurd stock valuations and creates enormous risk for people who aren't "good at the game." I understand that a finite, healthy economy requires the free flow of money, but it seems like the stock market is a strange backwater where there is enormous churn with little overall benefit to the society as a whole. If the enormous amounts of time and energy devoted to mastering the stock game were instead devoted to designing a stable system with high liquidity and low to zero risk, it seems like we'd all be much better off. For example, it seems like a pure bond market (with a couple of tweaks to eliminate penalties for pre term sales) would be a much better way to go. I would be very interested in hearing why the stock market is a good thing. "

Reference: https://www.physicsforums.com/threads/what-if-there-was-no-stock-market.260638/


10 Ways to Invest That Don't Involve the Stock Market

https://www.huffpost.com/entry/10-ways-to-invest-that-do_b_7942682
 
That would be terrible - but people were saying roughly the same in 2008. I don't know how anyone can predict what will happen over a decade these days - we don't even know what will be driving the market 2 years down the line, much less 10.
 
Primavera said:
.
I hope that he's wrong but he has an awesome track record so who knows.

Stanley Druckenmiller, one of Wall Street’s most respected minds, argued that the pain won’t be temporary—and that stocks face an entire decade of sideways trading as the global economy goes through a tectonic shift.

“There’s a high probability in my mind that the market, at best, is going to be kind of flat for 10 years, sort of like this ’66 to ’82 time period,” he said in an interview with Alex Karp, CEO of software and A.I. firm Palantir.

Druckenmiller added that with inflation raging, central banks raising rates, deglobalization taking hold, and the war in Ukraine dragging on, he believes the odds of a global recession are now the highest in decades.

And given Druckenmiller’s track record, investors would be wise to heed his warnings.

The legendary investor founded his hedge fund, Duquesne Capital, in 1981, and routinely outperformed the majority of his peers on Wall Street over the coming decades, delivering an annual average return of 30% from 1986 to 2010, according to Yahoo Finance.

https://fortune.com/2022/09/15/stan...-warns-stock-market-flat-decade-central-bank/
Click to expand...

Sideways from here for a decade is actually rather optimistic given the reality of America and the world. I would say inflation adjusted equities in American corporations (to the extent that they are actually still American corporations with how they fuck us) will tank 50-70% and will not recover for as far as the eye can see.
 
What the corporate class types still dont understand is that the WOKE are coming for them too, they are simply further down the Kill List than most of the rest of us.
 
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