Dow to lose 80% of value?

Saw this post by Bruce Perens over on Technocrat:

“When CNBC commentators start taking very seriously the notion that ‘within 12 months, all the major US financials will be owned by the US government,’ you know you live in interesting times.

The prediction is made by a hedge fund manager who is up 40% over the past year. How? He saw stuff coming and went long no bonds. (‘I look like a genius at the moment!’)

He also predicts an 80% decline in stocks.

He predicts a 4-5% GDP drop next year.

He figures bonds (treasuries, mainly) that have done so well for him might well collapse in about 18 months at which point, he remarks, ‘Then I’m buying gold bars.'”

You can find a link to the video of the interview here.

Author: Nick Knisely

Episcopal bishop, dad, astronomer, erstwhile dancer...