Elon Musk compares current stock market to ‘1929’
Did Elon Musk just predict a massive stock market crash for 2023?
Elon Musk Stock Market Crash Prediction
As tech investors have experienced a brief rally in 2023, with Tesla stock ($TSLA) recovering nearly 70% since Dec. ‘22 lows.
However, the fun may end soon. Tesla CEO Elon Musk took to Twitter to respond to infamous investor, Cathie Wood.
Lot of current year similarities to 1929
— Elon Musk (@elonmusk) March 15, 2023
Recently, with Silicon Valley Bank collapsing, and now Credit Suisse too, the Fed may have to stop raising interest rates.
Cathie Wood argued that instead of regulators cracking down on crypto, they should have been paying more attention to the banking system.
Wood’s main concern is that rates increased too quickly, coupled with deposits in the banking system decreasing on a year-over-year basis for the first time since the 1920’s.
Thus, Elon responded to the thread, seemingly agreeing with Wood’s synopsis. His blunt reply of ‘lot of current year similarities to 1929’ signifies that Musk is bearish on the economy.
Musk has previously criticized the Fed for hiking rates too aggressively. He’s also been critiquing the ‘woke’ agenda of the mainstream media, and of the ‘Soviet-style’ education system in the US.
Parents don’t realize the Soviet level of indoctrination that their children are receiving in elite high schools & colleges! https://t.co/xhpmNanp6b
— Elon Musk (@elonmusk) March 14, 2023
If you’ve been reading this blog, you’ll know we believe in Musk. And that we believe in Tesla. With that said, I’m quickly becoming bearish on the stock market.
The US does a good job of making things seem better than they really are. Now, will tech stocks, which already got hit significantly in 2022, decline? I’d imagine some real pullback is likely.
However, I think the worst is over for tech stocks. And who knows, this could spark a rally of cryptocurrencies and ‘meme’ coins, with people losing trust in the banking system.
All I know for certain is that we’re living through strange times. Be safe out there everyone.
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