The Everything Asset Bubble: Asset valuations of real estate, stocks & bonds to rise

[AJ Wong]

Here is an opinion: The increasing US deficit and US rate cuts will cause asset valuations to rise. 

Equities, stocks, bonds, real estate, gold, silver and everything else is going to increase in nominal value but not necessarily in real value. 

What I mean is that although portfolios are increasing in 'price' those assets do not necessarily translate to real wealth. In other words, selling one home cannot purchase two. 

The 'valuations' of assets will follow the quantity of capital in the system, dominated by..the US deficit. As the deficit grows, so will the relative (but not real) value of assets. In effect, 'everything will go up,' until it goes doesn't. 

I expect economic activity to slow, rate cuts to deepen, housing activity to accelerate and USD purchasing power to continue weakening.  

We are long tangible assets: RE, Metals, Commodities.