I took a picture of these tulips at the Tulip Festival in Ottawa Canada.
They remind me about the tulip bubble which occurred 100 years ago. Speculators bidded up the price of a tulip until it cost more than a house. The bubble burst and many people were financially destroyed.
The last bubble that burst in 2001 was the dotcom bubble. After it burst, the benchmark dropped by 75 percent. Many stocks lost 90 percent or more of their value.
The stockmarket is now at a high. Will it be another bubble? We do not know. The former chairman of the Fed said that one can recognise a bubble only after it burst. If it has not burst, it is not a bubble.
I hope that the current boom is not a bubble.
What a lovely picture!
ReplyDeleteWhat a great Creator we have!
Such multitutdes of varieties that prevail in nature!
Yet, most of us do not take time to smell the flowers. We are caught in the rat race of property acquisition and investing in more and more stocks! Enough is never enough. I'd rather have just enough, but plenty of time to travel and smell the flowers.