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Did The Federal Reserve Just Back Down? | Joseph Wang

Inflection Point

00:00

The Price Action Makes You Feel Queasy

In the 1920s, investors happily paid double-digit margin loan rates because they thought that stocks would go up by triple digits. Now interest rates are at 5% and so the discount stocks are the sum of the future value of cash flows,. So stocks should be worth less, but they're not. We're pretty close to some people saying we're in a new bull market.

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