As Dow crosses its 2007 historical high of 14,164 on Wednesday, it is interesting to compare some of the market variables between 2007 and now, compiled by Tyler Durden.
The US economy at this moment is in far worst shape than it was in 2007 market peak. The Dow can be at its current level and has become completely divorced from economic reality is because of Federal Reserve reckless money printing. The bubble that is being created will burst ultimately. The only question is "when ?".
Click ' A bubble is always biggest right before it bursts ' to learn more about the bubble and the coming derivatives crisis.
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Is there a way to factor in the money supply as a result of QE policy into 2007 peak, which I believe should be much higher? Then the comparison of the 2007 peak and the present peak will be a comparison of apple to apple.
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