Bonus Friday Post: Overdose - The Next Financial Crisis

An excellent 46 minute video produced in Sweden explaining the development of the housing bubble from the ashes of the dotcom burst and terrorist attacks in 2001, the 2008 financial crisis and the evolving stimulus bubble.

I highly encourage everyone to watch it. 2010 is to 2008 as 1931 was to 1929. If you know your history, the market's recovered over 60% after the 1929 crash (which was induced by a massive credit bubble). Events are playing out as they did back then. There was another big crash later in the thirties and the stock market ended down 89% from the October 1929 highs.

"When we tell people there is going to be a bailout bubble, and they see the equity markets up 50 to 60%, they don't wanna believe it's another bubble. They want to step right back to that table and throw their dice and try to win their hand at the wheel of fortune that wall street is spinning. So people still don't want to believe that the worse is yet to come. It's easy to think of these predictions as much too gloomy. But that's exactly what people said the last time when these experts predicted the 2008 financial crisis."

Watch the first five minutes... you will watch it all.

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