Multiple prominent businessmen and entrepreneurs are predicting that an economic crash is on the horizon and that it will be bigger than any other economic collapse America has ever experienced. On Wall Street, a leading financial analyst has already predicted that the stock market is about to experience a "summer of pain."
"The entire thesis that Wall Street worked on since 2009 … which is low inflation and slow growth, that whole thesis is over," commented Lior Gantz of the Wealth Research Group during an interview with Josh Sigurdson of the "World Alternative Media" podcast.
Businessman Robert Kiyosaki agrees that the economic crash will happen, the only question is when will it arrive.
"The best time to prepare for a crash is before the crash. The biggest crash in world history is coming. The good news is the best time to get rich is during a crash. The bad news is the next crash will be a long one," he wrote on his personal Twitter account.
On Wednesday, May 18, the stock market experienced its largest daily drop since 2020. All three major benchmarks closed sharply lower as consumer stocks took a beating.
The Dow Jones Industrial Average dropped by 3.6 percent. The Nasdaq Composite dropped by 4.7 percent. The S&P 500 closed 4.04 percent lower and all 11 of its sectors also experienced drops in their value.
One of the companies that lost the most is Target, whose stocks tanked by nearly 25 percent after reporting a big earnings miss.
Scott Minerd, the chief investment officer for investment company Guggenheim Partners Global, commented that he does not see the stock market recovering any time soon and much of the blame can be pinned on the Federal Reserve.
The Fed has made it abundantly clear that it wants to keep raising interest rates even though this will likely cause significant disturbances to equity markets and elsewhere. Fed Chairman Jerome Powell said the central bank's main goal is controlling inflation and restoring price stability.
Minerd believes that the Fed will continue raising interest rates "until they see a clear breaking of the inflation trend" and that it is willing to raise rates above the neutral rate.
The neutral rate refers to a level of interest rate that doesn't stimulate or restrain the economy. If the Fed goes over this rate, it will ultimately constrict economic activity, leading to a recession. (Related: Biden's proposed TAX HIKES will lead to RECESSION, financial planner Carlos Cortez Jr. warns.)
"With the passage of time as the Fed continues to hike [interest rates], we will find ourselves experiencing the effects of increasingly restrictive monetary policy," warned Minerd. "Well before it reaches this terminal rate the Fed will increase the risk of overshooting, causing a financial accident and starting a recession."
Learn more about the coming economic collapse at MarketCrash.news.
Watch this episode of "World Alternative Media" as host Josh Sigurdson talks to entrepreneur Lior Gantz regarding the rapidly escalating global economic instability.