Asset prices far above what the fundamentals support
Stocks or property rise beyond any level that profits or rents can explain. Borrowing that assumes further gains pushes prices higher still, and when expectations turn the rise unwinds quickly. The label is usually applied only in hindsight.
Japan's Nikkei peaked at 38,915 in late 1989 and did not return to that level for over 20 years.
For learning, not investment advice. Decisions are your own.
StockFit · TrueNorthLabs Inc.