Economist Harry Dent recently reiterated his alarming prediction of a “crash of a lifetime,” suggesting it will eclipse the 2008 recession. In an interview with Fox News Digital, Dent warned that the current economic bubble, fueled by extensive financial stimulus, is unprecedented and poised to burst.
Dent emphasized that unlike the 1929 crash, which was a natural bubble without artificial stimulus, today’s economy is heavily manipulated. “Flooding the economy with extra money might enhance it long-term, but we’ll see when this bubble bursts,” he stated. Dent predicts a more significant crash than 2008 due to the prolonged duration of the current bubble.
The U.S. stock market showed gains in May, with the Nasdaq up 6.9%, the S&P 500 rising 4.8%, and the Dow Jones increasing by 2.3%. However, Dent forecasts dramatic declines, predicting the S&P will drop 86% from its peak and the Nasdaq 92%. He pointed to Nvidia as an example, suggesting it could fall 98%.
Dent argues that the government has sustained an artificial bubble for over a decade and a half, warning that no major bubble in history has ended well. He expects market bottoms to become apparent between early to mid-2025.
Previously, Dent predicted a severe downturn in the housing market, reaching 2012 lows this year. He claims U.S. home prices have more than doubled their soon-to-be-worth values, noting that widespread home ownership and speculation are contributing factors.
Responding to critics who label him a “fear monger,” Dent insisted, “I just say what I see and don’t give a damn if people don’t like it.” He criticized central banks’ power to print money, stating, “We’ve never realized the power that central banks can have to just print money out of thin air.”
Dent advises investors to move their capital out of the stock market, suggesting that Bitcoin could be a worthwhile investment in the coming years due to its significant volatility and potential for growth. He cautioned that the government-created bubble is bound to burst, echoing the historical lesson that “you don’t get something for nothing.”
