Bankless
The 2023 Recession with Coinbase's David Duong
Oct 3, 2023
David Duong, Head of Research at Coinbase, shares his insights on the current macroeconomic landscape. He dives into discussions about yield curves and their historical significance as recession indicators. David questions the reality of macro economics and explores the impact of government fiscal spending post-banking crisis. He discusses the increased value of cash in today's market and contrasts U.S. equities with cryptocurrencies, all while addressing the looming recession and its many complexities.
01:08:49
Episode guests
AI Summary
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- Equities are currently at high levels due to growth and outperformance, particularly in the US stock market, with concerns about equity prices as higher bond yields may impact valuation.
- The US government's significant fiscal spending has provided a boost to the US economy, which has outperformed other countries, but concerns arise as this stimulus is expected to taper off in 2024, potentially leading to a downturn.
Deep dives
Equities are high due to growth and outperformance
Equities are currently at high levels due to growth and outperformance, particularly in the US stock market. Other countries seek access to the US stock market as their economies struggle. However, there are concerns about equity prices as higher bond yields may impact valuation. The relationship between bond yields and equities is complex and not always predictable. Additionally, the correlation between crypto and equities has been low recently, with crypto outperforming equities on a risk-adjusted basis. This may be due to various factors such as increased institutional interest and positive regulatory developments.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
