U.S. Debt Crisis: Is the 'Mother of All Bubbles' About to Burst? 💥

The U.S.’s heavy reliance on government debt is unsustainable and could weaken economic growth and corporate profits, according to market strategist Ruchir Sharma, Chair of Rockefeller International. In the Financial Times, Sharma reiterated his "mother of all bubbles" warning, highlighting that U.S. economic outperformance is at risk of collapse. Sharma noted that current "supernormal profits," bolstered by unprecedented deficit spending, are unsustainable. U.S. debt held by the public is near 100% of GDP and is projected to surpass post-World War II levels. With U.S. stock prices sharply outperforming, Sharma described the market as being in the late stages of a bubble, suggesting the "end is near."