We have presented warning after warning of the risk of a major correction or crash in sharemarkets at near all time record valuations amid an economic environment that in no way supports that. ‘Bad is good’ via stimulus fuelled markets is sadly a reality. However the complacency surrounding this set up is borne not just of a belief the Fed and other central banks will, at best, continue to fuel and, at worst, come to the rescue, but also of a lack of appreciation of the contagion such a sharemarket crash could present.
