In this video, you will learn about the causes and consequences of stock market bubbles.
#stockmarketbubble #yieldcurve #wallstreetmojo #invertedyieldcurve #stockmarket
Chapters:
00:00 – Introduction
00:30 – Causes
02:17 – Consequences
03:12 – How to spot a stock market bubble?
03:48 – Conclusion
Causes
Wild speculation
Cheap credit
Panic
Consequences
Market crash
Recession
Widespread discontent
How to spot a stock market bubble?
The yield curve can be used to spot the market bubble.
The yield curve is a graph plotting the yield of short-term and long-term debt instruments.
If the yield of the short-term debt instrument is more than that of the long-term debt instrument, then it is a signal of an economic slump.
If the market increases with an inverted yield curve, it indicates a bubble.
This will be all for this video. Subscribe to the channel, give this video a like, and share it with others.
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