Friday, August 24, 2018

Eric Sprott: It’s A Problem That’s Not Going To Go Away

“You know the debts don’t go away, right? They don’t go away, they have to be paid. The cost of debt is going up, because of interest rates rising… So it just puts a greater, greater strain on all forms of GDP, because a greater part of your GDP has to go to debt repayment, We’ve always speculated, ‘When’s it finally going to have an impact on stock valuations?’ 

And it hasn’t yet in North America, for sure. I would suspect it’s kind of had some impact—obviously—in places like China and European Equities and other Asian equities. So I think it’s probably likely to have an impact here in North America as well.”

- Source, Sprott Money