Kiplinger

What is the Central Bankers' Bubble and Will It Burst?

In the 1990s we had the dot-com bubble. In the 2000s we had the real estate bubble. In a book I published at the end of 2005, I predicted that real estate bubble would burst. And now we have the central bankers' bubble.

The central bankers' bubble has formed thanks to a concerted effort by several government central banks around the world to boost their economies. Since 2008 they've used a combination of strategies, including setting low interest rates (even negative interest rates in certain countries), buying their own government bonds and even buying actual stocks. This has driven up asset prices worldwide. Due to all this stimulus, we are currently in the second-longest bull market in history. March 2018 marked the nine-year anniversary of this bull market!

I believe that this current bubble will burst,

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