- Investor behaviour makes bubbles almost impossible to judge
- ESG-mania, bitcoin frenzy and tech valuations all suggest that the markets are in bubble territory
- Tips for spotting what could stop the surge
Let me paint you a couple of pictures.
Scenario number one. The year is 2025 and a graduate financial journalist on a training programme has pitched a story to his editors: lessons from the 2021 stock market crash. He’s hoping to make a good impression with this story, permanent jobs have been thin on the ground for new graduates since the economy tanked. Digging through the archives throws up plenty of juicy content: overhyped ‘ethical’ stocks, a flurry of tech-focused IPOs among companies with no hope of profits, bitcoin-mania and social media speculation. ‘How did they not see this crash coming?’ he wonders.