When is the Next Financial Crisis Coming?

Well, that is difficult to say, with precision.

It would, however, be beneficial to watch three indicators to pick up early signals:

  1. The yield curve- it’s flattening.
  2. Private debt as a share of GDP accelerating to a level of 6% higher than its trend over the previous decade.
  3. Private credit growing faster than the economy for three to five years.

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