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Arnott on Bubbles and Valuation Gaps

What Goes Up

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What Is an Anti Bubble?

Mike regan: What exactly is an anti bubble? We are seeing microb bubbles all the time. A tesla, if you buy into the notion that it's a bubble, as we do, has just one asset. Real returns in bond markets around the world are negative,. and in stock markets in the usa, barely positive. The marginal seller doesn't care about valuation models; they're selling because of the narrative. And what is unsurprised by the fed tapering?: No, that's not a catalis, cause it's totally expected to happen.

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