by Gary Gordon | Jan 24, 2020
A heavily indebted country with debt-to-GDP north of 100%. That’s like making $100,000 per year while carrying a credit card balance of $100,000. Tack on an aging demographic that has been drawing down at an ever-increasing rate on social benefits. Cap it off with an...
by Gary Gordon | Jan 22, 2020
The world’s massive debt-to-GDP ratio is, in many ways, unimaginable. 322%! Countries with limited borrowing capabilities could face extraordinary hardships in meeting financial needs. And the refinancing risk? A total of more than $19 trillion of syndicated...
by Gary Gordon | Jan 21, 2020
Corporate debt as a percentage of GDP correlates with recessions and market tops. In every credit cycle, excessive leveraging leads to rapid deleveraging to restore balance sheets. Indeed, the last three recessions (as well as their corresponding stock declines)...
by Gary Gordon | Jan 20, 2020
“Bubblicious” evidence is blindingly glaring when one examines the disconnect between S&P 500 stock prices and corporate profits. In the late 1990s, stocks rocketed (green line), even as profits had flatlined (red line). In the late 2010s? Same exact thing. The...
by Gary Gordon | Jan 18, 2020
The total value of companies (Enterprise Value) in relation to profits (EBITDA) has surpassed the bubble peak from 2000. No stock bubble here?
