The stock market is in a massive bubble.
This is not up for debate. The median Price to Sales ratio on S&P 500 companies is over two. That doesn’t sound like a lot until you consider that during the Tech Bubble it didn’t clear 1.6 and during the Housing Bubble it never cleared 1.75.
Put another way, the market has NEVER been more expensive relative to the money corporations receive in sales.
See for yourself (h/t JP Compson)
The bulls will argue that based P/E ratios, stocks aren’t that expensive.
Earnings are a complete fiction. Corporations are using accounting gimmicks to juice them. Earnings that using Generally Accepted Accounting Principles (GAAP) are at levels not seen since 2012.
Meanwhile, stocks are 70% higher…
It’s not hard to see how this ends.
On that note, we are already preparing our clients for this with a 21-page investment report titled the Stock Market Crash Survival Guide.
In it, we outline the coming crash will unfold…which investments will perform best… and how to take out “crash” insurance trades that will pay out huge returns during a market collapse.
We are giving away just 1,000 copies of this report for FREE to the public.
To pick up yours, swing by:
Best Regards
Graham Summers
via http://ift.tt/28IZEWI Phoenix Capital Research