Interest Rates, Fed Policy, AI Bubble And Market Trends with John Rubino #6008
Kerry Lutz and John Rubino discussed a range of topics, including the successful implementation of libertarian policies in Latin American countries, the potential ramifications of the AI bubble on the stock market, Google's recent AI blunder, the legal implications of Trump's judgments in New York, and the potential consequences of truckers refusing to go to New York City. They also analyzed the unexpected rise in interest rates and inflation measures, leading to a hawkish stance from the Fed and its impact on the housing market. The speakers expressed hope that the successful implementation of libertarian policies in Latin America would pave the way for libertarian ideas to become politically marketable in the US. They also expressed concerns about the exponential growth of artificial intelligence and its impact on market valuations, highlighting the interconnectedness of the AI bubble with other market bubbles such as housing, commercial real estate, and government bonds. The conversation underscored the difficulty of identifying market bubbles in real-time and the potential for a widespread market downturn if the AI bubble were to burst. Additionally, they discussed the challenges and risks associated with shorting the NASDAQ as a hedge against the AI bubble. Find John here: Rubino.Substack.com Find Kerry here: FSN