Dallas Fed President, Robert Kaplan: "...growth in the balance sheet is not free. There is a cost to it."
"Behind the U.S. is China, the only other country with a double-digit share of global wealth, equal to 17.7% of wealth or $63.8 trillion. As the country continues to build out its middle class, one estimate sees Chinese private wealth increasing by 119.5% over the next decade."
"If I had the time this morning to trawl the last three years of trade headlines, I’d have analysed everything Donald Trump said he wanted from China and put them all on a list. I’d then put yesterday’s “agreement” beside it, and work out what’s missing. It’s likely to be a long list."
"The U.S. population is set to grow by 100 million more people over the coming decades, raising the pressure on limited U.S. land and natural resources. This pressure will be felt everywhere, from dense urban land to agricultural farmland."
"...in the entire history of the United States stock prices have never been more overvalued than they are at this moment."
"Here is a young man, who grew up during the longest bull market in history, just took his exam last year, has no real investment experience to speak of, and is now giving advice to people with no investment knowledge. What could possibly go wrong?"
"Taking profits and reducing risks now may lead to a short-term underperformance in portfolios, but you will likely appreciate the reduced volatility if, and when, the current optimism fades."
In the average recession, gross domestic product (GDP) is not the only thing shrinking—incomes, employment, industrial production, and retail sales tend to shrink as well.
"Market bubbles have nothing to do with valuations or fundamentals."