Greenspan Confers `Irrational Exuberance' Mantle on China's Stock Markets

Discussion in 'Wall St. News' started by ASusilovic, Oct 30, 2007.

  1. Oct. 30 (Bloomberg) -- Former Federal Reserve Chairman Alan Greenspan said China's stock market is a speculative bubble that he expects will burst.

    Asked if China was in a state of ``irrational exuberance,'' a phrase Greenspan made famous in 1996, the former chairman said, ``I think so,'' speaking to a conference of insurance executives in Boston today. ``When you don't expect it, it breaks,'' Greenspan said of the bubble.

    His comments reprise remarks from May, when Greenspan said he was concerned Chinese equities might undergo a ``dramatic contraction'' after its main stock index at the time had jumped more than 90 percent since the start of the year.

    Greenspan today also predicted a ``long-term erosion'' of the dollar in part because of the U.S. current-account deficit. The U.S. currency's decline is accelerating, Greenspan said. For three years, he has expressed a view that the dollar will weaken when international investors tire of financing the U.S. current- account gap, the broadest measure of trade.

    http://www.bloomberg.com/apps/news?pid=20601087&sid=aXPIQpTPiIbk&refer=home

    Alan, you´re so cool ! :cool: :cool: :cool:
     
  2. Greenspan is an overrated toad

    Not once has he made any correct predictions about anything. The only skill he has is peddling crappy paperweight books. He needs to shut up.
     
  3. Must mean about another 4-5 years up for China before the pop.
     
  4. Bowgett

    Bowgett

    Somebody please shut him up!!!
     
  5. Retired

    Retired

    He is getting hopelessly senile. He probably thinks he is the Fed Chairman of the entire world and his job is to pop all the bubbles whereever they may be.

    Someone should send him a big needle for his next birthday.
     
  6. IMO, he's actually helping the situation. SOMEBODY needs to call BULLSHIT on the Administration and BS Bernanke. (Though Bernanke isn't doing anything that GreenScam wasn't doing. Funny* though... while at the Fed Greenie COULD have spoken up much more than the token few times he did.)

    * in the pathetic and tragic sense