Danger Signs for the Markets?

COIN MARKET INSIDER • VOLUME 33 • ISSUE 20


Danger Signs for the Markets?

Every week we are seeing more and more experts issue warnings about danger in today’s stock market. Whatever you decide to do with your equity portfolio, it is always a good idea to diversify. The key to diversification is to include assets that are not closely correlated with one another.

In the current environment, this creates a wonderful opportunity in tangible assets, since tangible assets have historically not had a close correlation with stocks or bonds for that matter.

Warnings like these should prompt investors to diversify into assets that do not move in the same direction as stocks…


Jim Rogers is preparing for the most devastating bear market of his lifetime.

The veteran investor sees higher interest rates and serious threats to the US dollar.

Rogers is bullish on commodities and skeptical that governments will adopt bitcoin. The following are recent comments made by this legendary billionaire investor:

1. “The next bear market will be the worst in my lifetime because the debt has gone up by such staggering amounts in the past 14 years.”

2. “We should always be concerned about Washington. They don’t have a clue what they’re doing. And they prove it day in and day out.”

3. “You should be extremely worried. If you’re not, you don’t know what’s going on. Many countries are starting to look for alternatives to the US dollar, partly because of its horrendous debt problem. I’m looking every day, because I know that something bad is going to happen in the currency markets in the next two or three years.”

4. “Interest rates are going to go higher worldwide. I don’t know how high they have to go to kill inflation this time around. The world has never seen the debt and the spending and the money printing like in the last few years. So something is going to have to be very, very ruinous to solve this problem this time.”

5. “There’ll be trouble in all the markets — property markets, stock markets, bond markets, currency markets, everything.”

6. “I don’t think that the world is going to convert to Bitcoin. It will be computer money, but it will be government computer money.”

7. “The best place to be when you have inflation is real assets, and real assets are commodities. The cheapest asset that I know is still commodities.” (Rogers said he owns some silver and gold currently.)


JP Morgan has historically made profits by recommending financial assets. They are now recommending gold. This is virtually unprecedented.

JPMorgan is Advising to Cut Equities and Hold More Cash, Gold

JPMorgan advises cutting exposure to risk-on assets and holding more cash and gold, citing the U.S. debt ceiling risk, recession outlook, and a hawkish Federal Reserve stance.

JPMorgan advises cutting exposure to risk-on assets and holding more cash and gold, citing the U.S. debt ceiling risk, recession outlook, and a hawkish Federal Reserve stance.

With the macro environment taking on several new risks, a team led by JPMorgan Chase chief global market strategist Marko Kolanovic is trimming its exposure to stocks, boosting its cash holdings by 2%, and moving out of energy into gold.

JPMorgan cited gold’s safe-haven effects…
A previously successful forecaster is now calling for a 60% drop in the stock market...and don’t look to cryptocurrencies for protection from a bear market in stocks…


Market expert who predicted earlier market disasters blames high valuations & poor investor sentiments as driving factors for another major crash.

Prominent market expert, John Hussman, renowned for his accurate predictions of previous market crashes, is warning of an impending bear market. Having successfully called out the dot-com crash and the Global Financial Crisis, Hussman believes that current conditions are aligning for another significant market downturn.

Hussman asserts that the market is even more overvalued than during the dot-com bubble and the 2008 financial crisis.

Hussman’s bearish outlook for the stock market might extend to the broader crypto market as well. As reported earlier on CoinGape, this sentiment aligns with JPMorgan Global Head of Equity Macro Research, Dubravko Lakos-Bujas, who shares a similar perspective. A significant collapse in the US stock market could have a ripple effect on cryptocurrencies.


Even perennial stock market bulls like The Motley Fool are reporting on danger signs in the stock market…

For the First Time in 23 Years, the S&P 500
Is Displaying an Ominous Warning to Wall Street

The Dow Jones, S&P 500, and Nasdaq Composite have bounced substantially from their 2022 bear market lows.

An increasingly smaller group of companies is powering the broader market higher.

The last time this happened, the S&P 500 topped during the dot-com bubble and subsequently lost almost half of its value.

Even though there’s no such thing as a foolproof indicator, history has a way of repeating itself on Wall Street, and these indicators and metrics have the potential to give investors who follow them a leg up.

With the S&P 500 hitting a nine-month high this past week, it would appear the worst of the 2022 bear market is over. However, a closer look at the breadth within the S&P 500 reveals a different story.

During a true bull market, we typically see a wide assortment of stocks take part in the upside. This means large-cap, mid-cap, and small-cap stocks from most sectors and industries are going to be rallying.

But… the S&P 500 seems to have a clear breadth problem.

Based on recent data, approximately 20% of the S&P 500’s components are beating the index on a trailing three-month basis. The last time such a small percentage of S&P 500 stocks were outperforming the broad-based index was March 2000. Not coincidentally, the S&P 500’s closing high prior to the dot-com bubble bursting was set on March 24, 2000.