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Wealthion - Be Financially Resilient

Bill Gross Is Bearish On Both Stocks AND Bonds | Adam Taggart & New Harbor

Aug 18, 2023
Bill Gross, longtime "bond king", reveals that he is bearish on both stocks and bonds. He believes bond yields will move higher due to the US' large deficit spending, and stocks are dangerously overvalued with a low equity risk premium. The podcast explores the challenges for average investors in the current economic climate, including record low interest rates, US debt, and monetary stimulus. Can prices keep rising, or is there a painful reckoning ahead?
43:50

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Podcast summary created with Snipd AI

Quick takeaways

  • Bill Gross predicts higher yields for bonds due to the US' high degree of current deficit spending.
  • The equity risk premium is at a 15-year low, indicating dangerously overvalued stock prices.

Deep dives

Bill Gross predicts rise in yields

Bill Gross predicts a rise in yields for the bond market in the near term, suggesting that the US 10-year treasury is fairly valued at around a 4.5% yield.

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