An $8,000,000,000,000 Corporate Credit Bubble

02/19/19 12:52PM EST

https://youtu.be/cWpJmEYusvw

A viewer asked Hedgeye CEO Keith McCullough on our inaugural Mega Market Trends webcast his thoughts on how the current shorting opportunity in the market compares to previous setups in 2001 and 2008. 

McCullough explains that while there are some similarities to prior cycles, each economic cycle is different. Currently, one key factor could make the next downturn very different.

“The biggest corporate credit bubble in the history of America - $8 trillion in corporate credit - is about to go for sale and you can’t get out,” McCullough explains in the clip above. 

“That shouldn’t sound like anything, because we haven’t had that happen before. Every economic cycle is different and there’s always an imbalance somewhere. What’s going to happen? I don’t know, but I’m not going to be long it, that’s for damn sure.”

Watch the full clip above for more.

An $8,000,000,000,000 Corporate Credit Bubble - the macro show

© 2019 Hedgeye Risk Management, LLC. The information contained herein is the property of Hedgeye, which reserves all rights thereto. Redistribution of any part of this information is prohibited without the express written consent of Hedgeye. Hedgeye is not responsible for any errors in or omissions to this information, or for any consequences that may result from the use of this information.