Originally Posted by kcowan
But it bears little resemblance to the housing bubble in fundamentals. There we had "free money" fueling greed and panic with agents to instill fear of losing out.
Sounds precisely the same. Real interest rates are once again negative in the US. So money is better then free, they're paying you to take it off their hands. Not just in the US, either. Most developing countries, China, India, most of the rest of Asia, Russia, etc all have interest rates pegged below their respective inflation rates. Free money is alive and well. And with oil up 600%+, there is plenty of fear of missing out.
But the world is starting to recognize that it has a brewing inflation problem. That, my friends, is the beginning of the end.
Besides, if one of the richest countries on earth is having trouble coping with $130 oil, do you really think India and China can cope?