Despite increased expectations that the Federal Reserve will achieve a soft landing, one analyst predicts the biggest crash of our lifetime in 2024.
In an interview with Fox News Digital, financial newsletter editor Harry Dent offered a grim outlook for markets in the coming year.
“I think 2024 is going to be the biggest single crash year we’ll see in our lifetimes,” said Dent. “Since 2009, this has been 100% artificial, unprecedented money printing and deficits; $27 trillion over 15 years, to be exact. This is off the charts, 100% artificial, which means we’re in a dangerous state.”
“I’m the guy that’s praying for a crash while everybody else is not,” Dent continued. “We need to get back down to normal and we need to send a message to central banks.”
According to Dent, the “everything bubble” started to burst in late 2021, with the first major correction occurring in 2022. While 2023 saw equity markets rebound from prior year lows, Dent says 2024 will bring the “B wave” of the crash.
Unlike the prior market crashes, Dent believes the upcoming downturn will not be a quick correction but one that could last a decade.
“We may never see these levels again,” he told Fox News Digital. This crash is “going to be more in the ’29 to ’32 level — and anybody who sat through that would have shot their stockbroker.”
Despite Dent’s contrarian expectations, he maintains that his 2024 forecast will be one for the history books. He predicts an 86% drop in the S&P, a 92% decline in the NASDAQ, a 96% crash in crypto, and a 50% reversal in real estate prices.
“You’re going to see it start and be more obvious by May,” Dent added.
If Dent is wrong and prices stay at historically highest valuations over the next six to 12 months, he admits investors will have missed out on some gains. However, if he’s correct, Dent says investors will prevent massive losses and “will be able to reinvest a year or year-and-a-half from now at unbelievably low prices and magnify your gains beyond compare.”
