Just How Dangerously Overvalued Are Today's Financial Markets?

Recently we presented a parade of indicators published by Grant Williams and Lance Roberts that warned of an approaching market correction as well as a coming economic recession.

The key message was: When smart analysts independently find the same patterns in the data, it's time to take notice.

Many prudent investors did exactly this by participating in our recent Dangerous Markets webinar, which featured Grant and Lance.

In it, both went much deeper into the structural fragility of today's financial markets and the many reasons why economic growth will remain constrained for years to come.

The excessive build-up of debt in the system -- and the absolute dependence on its continued expansion to keep the economy from imploding -- is, of course, seen as the prime risk to future growth.

As Lance demonstrates here with several of his excellent charts, so much leverage has been taken on that its servicing is increasingly stealing capital that would otherwise go to savings, consumption and productive investment. Going forward, the demands of the debt service will simply result in less and less capital available left over to grow the economy:

As financial assets are (supposed to be) valued on future growth prospects, lower forecasted growth demands lower valuations. Grant calculates that, should the US see another decade of 2% average annual GDP growth (and it has averaged less than that over the past decade), stock prices should be roughly half of what they are today to be considered fairly valued:

And Lance builds further on this, explaining how this moribund growth, coupled with America's aging demographic trend, will simply savage the nation's (already troublesomely underfunded) pension and entitlement systems:

But there are a number of other destabilizing risks to fear beyond our terminal debt addiction. One that Grant believes is not getting enough attention right now is the de-dollarization trend becoming notably apparent across a number of America's strategic trading partners:

Understanding These 'Dangerous Markets'

It's little surprise that, given this multitude of concerns and systemic risks, both Grant and Lance advise investors to prioritize caution. They see extremely few undervalued -- or even fairly valued -- asset classes at today's prices, perceiving nearly everything else at dangerously elevated levels.

Under market conditions like this, moving your capital to safety may be the best move available. The risks of remaining long are obvious. But betting against the market has been a losing proposition for years -- no one knows how many months/years the central planners may be able to hold reality at bay.

Grant and Lance wrestle every day with market allocation decisions on behalf of their clients (and they discuss a number of potential options in the webinar). But both agree that, since the math is clear a major-to-massive correction will happen at some point, positioning today to deploy dry powder at much lower prices in the future is a low-risk/high-reward strategy.

The short video clips above are merely several minute's worth of the excellent discussion and insights from the full one hour-and-a-half long Dangerous Markets webinar. If you have savings, retirement funds, or other financial assets to protect, watching the full webinar will give you a in-depth understanding of the risks in play and of strategies to consider for wealth preservation.

To purchase access to the replay video of the event for $25, click either this link or the blue button below:

Remember, the time to prepare for crisis is before it arrives. Don't be caught unprepared.

When Biden was given the keys to the Oval Office in January 2021, gas was $2.50 a gallon and the inflation rate was 1.4%. Today gas is at $3.32 a gallon and the inflation rate is at 7% ... and STILL RISING. These are just 12 months of numbers, but we’re clearly in a worrying decline. While the economy has opened up more post-COVID, it’s not just getting worse — we’re going IN REVERSE.

On "Glenn TV" Wednesday, Glenn Beck heads to the chalkboard (and the very top of his studio ceiling) to explain what’s happening to inflation and why it’s so hard for your family to afford basic goods and groceries. It’s not “corporate greed,” as Democrats have been telling you. The Biden administration wants to continue to spend trillions of dollars to “reinvent capitalism,” but that’s in addition to the trillions that are being pumped out IN THE SHADOWS.

Glenn exposes what the Fed has been doing behind closed doors and shows us the tidal wave that’s about to hit. He’s looked at the numbers, and they're frightening. Carol Roth, former Wall Street investment banker and author of “The War on Small Business,” gives advice to Americans who want to protect their checking and savings accounts before it’s too late.

Watch the full episode below:

Want more from Glenn Beck?

To enjoy more of Glenn’s masterful storytelling, thought-provoking analysis and uncanny ability to make sense of the chaos, subscribe to BlazeTV — the largest multi-platform network of voices who love America, defend the Constitution and live the American dream.

The stock markets have taken a nosedive in the biggest downtrend since the start of the COVID-19 pandemic in 2020. But that's nothing compared to what's coming thanks to our government's embrace of modern monetary theory, warned BlazeTV's Glenn Beck on the radio program.

"It really is important that you understand what's happening to us," Glenn stated. "Modern monetary theory is truly the [fuel] ... for the great reset. It is the idea that we can print as much money and spend as much money as we want," he explained.

"Then the next step is to release the Federal Reserve digital currency and make payments by other currencies [including cryptocurrencies] illegal," he continued. "And you're seeing it happen now in real time. Why would they do this? Because you cannot print this kind of money without having absolute control over how it is spent."

Glenn broke down the steps powerful political organizations — like the Federal Reserve — will take to end currency competition and enact a Federal digital dollar, which will allow for the government to have complete control over how we spend our money.

"This is what's coming. This is coming quickly, and events will make it move faster. For instance, why is Joe Biden basically giving Ukraine to Russia? He's giving it to them. He he knows Russia's not afraid of him. Putin knows that [Biden] is not going to do anything ... neither is NATO. They're not going to do anything," Glenn said.

"It's because war resets everything. War is the best great resetter. Changes boundaries. It changes borders. It changes laws. It changes societies. It changes currencies. It changes everything. And in the end you just want the war to stop. And so you you accept whatever it is the terms are that you're going to have to live under now. We're in very, very dangerous times. The only way to survive this is to know why they are dangerous times."

Watch the video clip below to hear more from Glenn Beck:

Want more from Glenn Beck?

To enjoy more of Glenn's masterful storytelling, thought-provoking analysis and uncanny ability to make sense of the chaos, subscribe to BlazeTV — the largest multi-platform network of voices who love America, defend the Constitution and live the American dream.

Chances are, you've noticed that many large companies have decided to become woke activists, despite the fact that alienating half your customer base is a terrible business strategy.

This woke shift isn't being driven by the usual market forces. It's the Great Reset's ESG score system at work, Glenn Beck said on "GlennTV." Under the “environmental, social, and governance” score system, companies will no longer make decisions based on what you, the consumer, want. Now, it's all about what those in power deem society should want. And it's not just businesses that are affected, he explained.

Watch the video clip below or find the full episode of "GlennTV" here:


Want more from Glenn Beck?

To enjoy more of Glenn’s masterful storytelling, thought-provoking analysis and uncanny ability to make sense of the chaos, subscribe to BlazeTV — the largest multi-platform network of voices who love America, defend the Constitution, and live the American dream.

11 things you can do to help stop the Great Reset

Photo by Arthur Franklin on Unsplash

The foundation of the American way of life is freedom from tyranny, which can only exist in a nation that defends the rights, powers, and property of individuals and families. Over the past two centuries, the greatest threats to liberty have come from governments, both foreign and domestic. And from the beaches of Normandy to the civil rights movement of the 1960s, Americans have repeatedly conquered the challenges placed before them by those seeking to extinguish or limit individual rights.

However, over the past few years, a new, potentially catastrophic danger has emerged, but not primarily from the halls of Congress or state capitols. This threat to freedom has largely emanated from the board rooms of the world’s wealthiest, most powerful corporations, large financial institutions, central banks, and international organizations such as the United Nations and World Economic Forum.

In an attempt to secure vast amounts of wealth and influence over society, corporate CEOs, bankers, and investors, working closely with key government officials, have launched a unified effort to impose environmental, social, and governance (ESG) standards on most of the industrialized global economy. ESG standards are also referred to as “sustainable investment” or “stakeholder capitalism.” According to a report by KPMG, thousands of companies, located in more than 50 countries, already have ESG systems in place, including 82 percent of large companies in the United States.

ESG standards are designed to create a “great reset of capitalism” and to “revamp all aspects of our societies and economies, from education to social contracts and working conditions.” ESG supporters plan to enact these radical changes by using ESG schemes to alter how businesses and investments are evaluated, so that instead of focusing on the quality of goods and services, profits, and other traditional economic metrics, companies — including financial institutions — are evaluated largely on their commitment to social justice and environmental causes and then assigned scores so that companies can be compared, rewarded, or potentially punished.

Supporters of the movement for a Great Reset also plan on using technology to limit free speech and privacy rights, and they support creating vast new government programs that are designed to transform the Western economy via the Green New Deal, European Green Deal, a federal jobs guarantee, and basic income programs.

Together, the proposals that make up the Great Reset represent the most serious threat to freedom in the West since the fall of the Soviet Union and perhaps since World War II. But there is hope. We can stop the Great Reset, but only if we act quickly and with great conviction.

Below are 11 steps you can take to push back against the Great Reset. These steps represent a powerful bottom-up, grassroots approach to the Great Reset’s top-down plan to remake the world. Although many of these steps won’t be easy for everyone to take, they are essential for ensuring that our children and grandchildren will grow up in a world that protects the rights of individuals and empowers families, rather than wealthy special interests, financial institutions, and large corporations.

1. Live Not by Lies: The time for remaining quiet is over. When you hear or see something that you know to be false, speak up. Be kind, generous, and compassionate, but do not, under any circumstances, allow lies to infect your life. Further, do not support organizations, publications, politicians, schools, or any other institutions that regularly promote false claims.

2. Buy Local: The reason the Great Reset is so powerful is because so many of us have become totally dependent on large multinational corporations. They can be easily manipulated in a way that small, local businesses cannot. Learn to buy local, whenever possible, even if it means spending more money on your purchases. Yes, big corporations offer conveniences and low prices that many small businesses can’t compete with, but those benefits come with a great cost: your freedom.

3. Bank Local: Big financial institutions and banks are driving much of the Great Reset movement. They have started to use their incredible wealth and power to alter society by financing only those businesses who agree to the terms of the Great Reset. This problem is going to get worse, so it’s important to find local banks and credit unions you can trust and who refuse to utilize ESG scores and other discriminatory schemes.

4. Support Local Farms: If you live in an area that has local farms and farmer’s markets, consider buying as many of your groceries as possible from farmers. In the future, food production and distribution are going to change dramatically. It’s important that you support local farmers and build relationships with individuals who can provide you with the goods you need in a time of crisis. One of our main goals must be to make local communities as self-sufficient as possible, and that cannot happen unless we support local farms.

5. Be Vocal: After starting to shop and bank locally, be sure to tell big financial institutions and corporations why they have lost your business. They need to know that their decisions have serious consequences.

6. Run for Local Government: Local and state governments will soon be our most important defense against the Great Reset. Consider running for your local school board, zoning board, or even for a state legislative office. If you don’t feel qualified for these positions, find someone who shares your values and help them run for office. If we don’t have control of our local governments, we won’t be able to halt the Great Reset.

7. Demand That Your State Pass Laws Against ESG Scores: In America, states have a tremendous amount of power to slow the Great Reset and protect their citizens from abuses by large corporations, banks, and international institutions. They can do this by passing laws that make the use of ESG metrics and other, similar systems by financial institutions illegal, when used as a precondition for banking services, financing, investment, etc. ESG scores are, by definition, discriminatory and should be made illegal by state lawmakers who care about protecting their citizens’ rights.

8. Make Responsible Spending a Key Issue for Politicians: In recent years, politicians on the ideological left and right have totally abandoned responsible fiscal policy in favor of vast money printing and loose monetary policies. The many trillions of dollars that have been “printed” in recent years put our economy at risk and are being used to fuel the Great Reset. Without these trillions of dollars of printed money, it would be exceptionally difficult for governments and financial institutions to buy off corporations.

9. Organize Anti-Great Reset Groups: No matter where you live, there are Americans in your community who do not support the Great Reset — Republicans, Democrats, and independents alike. Find like-minded neighbors and organize a local, peaceful resistance. Find people you can trust and agree to support one another when times get tough. Now, more than ever, we need to develop dependable communities.

10. Buy Property and Diversify: Property ownership is going to become increasingly more difficult in the months and years to come. It’s important that you work with a qualified financial adviser to help you figure out the best way to buy property and diversify your investments. Buying hard assets, including real estate and precious metals, could be a good way for you to protect against the Great Reset and a possible financial collapse. If you already own property, resist selling it to large corporations and financial institutions, whenever possible. (This is not financial advice, and I’m not a financial adviser. Talk to an expert you trust before taking action!)

11. Make the Great Reset a Litmus Test for Politicians: Before supporting politicians, find out if they know what the Great Reset is and what they plan to do to stop it. If they aren’t familiar with the Great Reset or don’t have a plan to halt it, then demand that they learn about the Great Reset and develop a proposal to prevent it. Political leaders who refuse to take the Great Reset seriously do not deserve your support. This is the key issue of our generation.