Monday, January 4, 2021

Updating Bubble Bubble Toil and Trouble

 On Dec. 21 I posted on "Bubble Bubble Toil and Trouble."  Mostly things have not changed too much.  Oil is still running around $50 per barrel, stocks are not too different from where they were then.  I have no new data on real estate.  Gold is up a bit, now over $1900 again and scraping all time highs, but that is not too much higher than it was on 12.21/20.


What has been shooting up again, quite dramatically in the last few days, have been the cryptocurrencies again, especially bitcoin that has hit a substantially higher new high over $31,000 today. Others have followed, although not as dramatically, although second largest market Ethereum has passed $1,000 for the first time ever.  In any case, this is not a particularly informative post because I have no new information on why this is happening or what is driving this.  There are the same rumors that were around before about possible official digital currencies, and so on, although not any new news on those fronts.  Indeed, I remind that the outcome of any major rollout of official digital currencies might well crash the cryptos, with some people speculating they could also crash regular monies and even banks, although I am doubtful things would go that far.  But in any case, the crypto markets are going wild again, for whatever reason.

Oh, and happy new year, you all.

Barkley Rosser

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