OAN’s Elizabeth Volberding
2:20 PM – Monday, January 1, 2024
American economist Harry Dent made an unfortunate prediction about the markets in the new year, claiming that 2024 will bring forth the “biggest crash of our lifetime.”
Advertisement
Dent, who spent a majority of his career analyzing proprietary research, attributed his contrarian forecast to overvalued markets and too much stimulus spending, making a dire prediction about the economy in the new year.
“Since 2009, this has been 100% artificial, unprecedented money printing and deficits; $27 trillion over 15 years, to be exact. This is off the charts, 100% artificial, which means we’re in a dangerous state,” Dent told the press. “I think 2024 is going to be the biggest single crash year we’ll see in our lifetimes. I’m the guy that’s praying for a crash while everybody else is not. We need to get back down to normal, and we need to send a message to central banks. This should be a lesson I don’t think we’ll ever revisit. I don’t think we’ll ever see a bubble for any of our lifetimes again.”
Despite the fact that most recent rallies have led investors to expect a mild recession, Dent is adamant that the “everything bubble” will burst sometime in 2024. Historically, stock prices have risen quickly during market bubbles before experiencing a sharp decline.
Additionally, the economist highlighted that this bubble actually began in late 2021 following the peak of the COVID-19 pandemic, with the initial signs showing in 2022 when the NASDAQ Stock Market had fallen by 38%.
“The Roaring 20s bubble was not an everything bubble. [A] real estate barely bubble [in 2008], it was stocks and urban real estate that bubbled,” Dent said. “This is the one time I’m telling you, do not listen to your financial adviser. Things are not going to come back to normal in a few years. We may never see these levels again. And this crash is not going to be a correction. It’s going to be more in the ’29 to ’32 level. And anybody who sat through that would have shot their stockbroker.”
“That’s an 86% crash in the S&P and a 92% crash in the NASDAQ. And crypto, it’s going to be 96%. So that is a big deal,” the economist continued. “And real estate, by the way, is only projected, by me, to go back to its 2012 lows… but that’s a 50% crash for the average house, which went down 34% in the last crash, more than the Great Depression, more than any time in history. That is what’s going to hurt people the most.”
As the Dow Jones Industrial Average ended last week at 37,000, setting a third record close, Dent chastised investors who had profited from the year-end market rally and he urged Americans to “get out of the way.”
“If I’m right, it is going to be the biggest crash of our lifetime, most of it happening in 2024. You’re going to see it start and be more obvious by May,” Dent argued. “So if you just get out for six to 12 months and stuff stays at the highest valuation in history, maybe you miss a little more gains if I’m wrong. If I’m right, you’re going to save massive losses and be able to reinvest a year or year-and-a-half from now at unbelievably low prices and magnify your gains beyond compare. We’re still up there. We’re still near the highs, and that shouldn’t have happened. So you’ve gotten a gift… you’ve gotten this rebound where you get a second chance to get out near where you could have before. Boy, [that’s] lucky, lucky, lucky.”
“The only reason they had to tighten so much is because they stimulated too much over COVID. But that tightening is now going to hit way more in 2024,” he continued. “And when you stop that gravy train and reverse the tightening, you’re going to be in a depression within a year, not a mile. All this talk about, ‘Oh, yeah, now we’re going to have a mild recession’ — not a chance in Hades.”
“Depressions are different from recessions. They go much deeper, and they end up in deflation,” he further stated. “It’s going to bring down a lot of consumer price inflation, and especially housing… When this asset bubble bursts and the price of everything, especially housing, comes back down to reality, imagine, not only can you buy the house you want at half-off… you can buy twice as nice a house here for the same mortgage you were going to get before. How’s that for a Christmas present?”
Dent issued another warning, stating that the “everything” bubble will have a long-lasting slowdown effect for 12 to 14 years. He agreed that “as the rich get richer” and the “poor get poorer,” the wealth gap in America will continue to widen.
Stay informed! Receive breaking news blasts directly to your inbox for free. Subscribe here. https://www.oann.com/alerts
