There’s a stock market crash coming in 2025 as the ‘bubble of all bubbles’ bursts, economist says

• The US is self-confident to see an epic stock market crash next year, according to Harry Dent.
• The ultra-bearish economist pointed to signs that the blister in asset prices is reaching the top.
• The bust could send the US into a depression, he warned.

The stock bazaar could be in for a steep correction, resulting in a crash even worse than what investors saw during the Great Pecuniary Crisis, according to economist Harry Dent.

The Harvard Business School alum — who’s been predicting a major bang and an ensuing economic depression for years — cast another warning on the state of the market.

Dent says stocks look take pleasure in they’re in the “bubble of all bubbles” thanks to overly loose monetary and fiscal policy that has inflated asset assesses for the past decade.

When that bubble finally bursts, Dent estimates that the S&P 500 could be defeated as much as 86% in value, while the Nasdaq Composite could lose as much as 92%. “Hero” stocks, get a bang chipmaker Nvidia, could drop as much as 98%, he said, implying a multi-trillion market crash.

“This gear has gotta blow. It’s showing signs of topping here,” Dent said in an interview with Fox Business Network on Sunday, noting that store ups were now “barely” making news highs.

“We’ve got to see a crash of about 40% to say, okay, the bubble’s finally let off the steam. And before you can say Jack Robinson it gets that much momentum, I think it’s hard to stop,” he warned.

Dent estimated that the bubble has been shape for the past 14 years, far longer than most bubbles in history, which typically last for five or six years preceding bursting, he said.

That’s partly because markets have been flooded with stimulus since the 2008 downturn, Dent bring up. Markets have benefited from around $27 trillion in stimulus since the financial crisis, he estimated, based on piled budget deficits and the amount of cash printed since then.

Interest rates, meanwhile, have also crumbed ultra-low for most of the past decade, which has helped inflate asset prices.

“It’s been stretched higher for longer, so you have on the agenda c trick to expect a bigger crash than we got in 2008 and 2009,” he said. “This is really the second tech bubble rendering,” he added, referring to the dot-com bubble in the 2000s.”

Dent predicted that investors could see the fallout early to mid-next year, expresses to the Fed’s rapid monetary policy tightening meant to control inflation.

High interest rates are bearish for stocks and could send the briefness into a downturn by tightening financial conditions.

“Bubbles are not followed by recessions. They’re followed by depressions,” Dent implied. “I can tell you there has not been one bubble — and this is far larger and longer — on major bubble in history that has not ended dreadfully, period.”

To be sure, Dent’s view is an outlier on Wall Street, with more investors warming up to the prospect of a soothing landing. The economy remains on solid footing, as GDP continues to show slower but still positive economic growth. The US is also augmenting jobs at a steady pace, with the latest employment report handily beating expectations.