I Predicted the '87 Crash, Now I'm Sounding the Alarm

Editor's note: Our friend Mason Sexton is back, sounding the alarm about an upcoming major market catalyst on July 12. As he explains in today's essay, it could be a generational investment opportunity for those who prepare... and it will completely blindside those who ignore it... I remember it to this day... In my Long-Term […] Not rendering correctly? View this e-mail as a web page [here](. [Empire Financial Daily] Editor's note: Our friend Mason Sexton is back, sounding the alarm about [an upcoming major market catalyst on July 12](. As he explains in today's essay, it could be a generational investment opportunity for those who prepare... and it will completely blindside those who ignore it... --------------------------------------------------------------- I Predicted the '87 Crash, Now I'm Sounding the Alarm By Mason Sexton --------------------------------------------------------------- [Why do hedge funds and billionaires pay this man up to $10,000 a month for his e-mails?]( It reads like a who's who of international finance and power. A billionaire Forbes once ranked among the 40 richest in the world... Two of the top 10 best-performing hedge funds of 2022... A billionaire in the alternative media space. They all turn to one man for his daily (and often uncanny) forecasts of the market. But now, he just went public with a new prediction that could have huge ramifications for the future of our country. [See it for yourself by clicking here](. --------------------------------------------------------------- I remember it to this day... In my Long-Term Forecast 1985-1992, published in early 1985, I predicted that "in 1987, the stock market will enjoy its biggest rally in history." The Dow Jones opened the year at 1,908 points. At the peak, two months before the crash, it was at 2,722 points. People often forget the tremendous stock market rally of 1987. They only remember the crash. As it happens, I predicted that, too. In an interview I had on August 14, 1987 with CNN, I said: What we think will happen is that we'll get an important top somewhere around August 24 or 25... If I had to guess the final top, it would be the first or second week of October. When I say, the final top, that would precede a correction of 15 to 20% "minimum" in the [Dow]. On August 20 of that year, I repeated my warning. When I was interviewed by the New York Post, I said, "We are seeing a top in the stock market in a generational sense." As it happens, the Dow Jones topped out at 2722 precisely on August 25 of that year. It was the all-time high for 1987. And it was a level that the Dow would not see again until two years later in August 1989. I'm sure many of us remember what happened next... On Monday, October 19, the Dow Jones collapsed by 508 points, or 22.6%. It was, and remains, the worst one-day drop for the index in percentage terms. Black Monday had arrived... Of course, it's one thing to make a prediction. It's something else to follow through and tell people exactly what to do. That's what I did. On October 2, 1987, I advised clients of my Harmonic Research newsletter to "sell all stocks." Six days later on FNN (the precursor to CNBC), I advised investors to "buy puts on the S&P index... short IBM, GM, PA, XON, and CHV." I don't retell this story to bring up bad memories for those of us that were around for the crash. But it's important we understand what's at stake... Investors that were prepared for the crash could have made a fortune. In fact, I later had a client brag about how her traders had turned $100,000 into $13 million over the course of a few weeks by following my research. But for those that were blind-sided by the crash, it was devastating... While the Dow officially reclaimed its 1987 high two years later in 1989, the reality is that many investors waited much longer to be made whole. Adjusted for inflation, the Dow would not reclaim its 1987 high until 1992. That means it took five years just to get back to even. For those of us in retirement or nearing retirement, that's an eternity. Those are the stakes. I believe a cataclysmic event could be headed for markets and the economy. And it could start in the next eight weeks. Those of us that do nothing will find ourselves living through a repeat of 1987, and that's the best-case scenario. Worst case, we're looking at a wealth-destruction event unlike anything we've seen in our lifetimes. What follows will sound shocking, unbelievable perhaps. Some might say it's "alarmist." But I am alarmed. For that reason, I've come forward to share my warning. And I urge you to read on to prepare for this event. --------------------------------------------------------------- Recommended Link: [Why 'EoD' is the next big thing]( Tech convergences have led to many disruptions that have changed our lives forever, from personal computers to the Internet, smartphones, and electric vehicles. Today, three new technologies are coming together RIGHT NOW to reshape our country in a way we've never seen before. It's called "EoD," and if you've never heard of it, you soon will... Because, just like e-commerce in 1997, "EoD" is about to hit its tipping point. [Get the full details on what could be the biggest tech story of the decade right here](. --------------------------------------------------------------- But first, allow me to introduce myself... My name is Mason Sexton. For the better part of four decades, I have made a career for myself forecasting the precise movements of the markets. I began my career on Wall Street after graduating from Harvard Business School in 1972. I spent three years in the Corporate Finance Department of Morgan Stanley. I did a stint with Salomon Brothers in M&A. Then, I headed the Sales and Research Department of Mabon Nugent & Company. In March 1984, I founded Harmonic Research, a bi-monthly newsletter that specialized in making uncanny, specific predictions for the market. The story above was based on my research with Harmonic. I'm happy to say I have a devoted group of institutional clients that pay tens of thousands of dollars per year to review my research. Out of respect for my clients, I won't name names. But I can say several run successful hedge funds. Others have a net worth in the billions of dollars. I've mostly stayed behind the scenes these past few years. And were it not for the alarming nature of my next prediction, I likely would have stayed out of the public eye. But as I said at the top, something is coming... For those who are prepared, it could be a generational opportunity. But sadly, I fear many investors will be completely blindsided. Let me explain... Given the fundamental factors in place that should support the demand for housing, we believe the effect of the troubles in the subprime sector on the broader housing market will likely be limited. That's what Ben Bernanke – then chair of the Federal Reserve – had to say to Congress in May 2007. At the time, the housing market had been experiencing considerable strain. In January of that year, mortgage lenders Ownit Mortgage Solutions and American Freedom Mortgage had both filed for Chapter 11 bankruptcy. But – as Bernanke assured us – the brewing crisis was contained. I don't have to remind us of what happened next. But it's curious that – in the wake of today's financial turmoil – we have Jerome Powell, Chair of the Federal Reserve, making statements like this: Conditions in [the banking sector] have broadly improved since early March, and the U.S banking system is sound and resilient. We will continue to monitor conditions in this sector. Fed Chair Powell must have been behind on the news. Precisely two days prior, regional bank First Republic had collapsed. It would eventually be sold to JPMorgan (JPM). Ask yourself, dear reader, does it feel like the banking system is sound and resilient? Does any of this feel OK? Human beings have a remarkable intuition for danger... And if we were being very honest with ourselves, we would admit that something is amiss. Something is not right. As I said at the top, something is coming... What precisely is coming? And what will it mean for our investments and retirement? I recently sat down on camera to share my next prediction (it's something far worse than a simple bank failure). I also detail precisely when I believe it will start, and what investors can do to prepare. [If you are at all curious, simply click here](. Regards, Mason Sexton June 29, 2023 --------------------------------------------------------------- Editor's note: Mason just sat down on camera to explain exactly what he sees coming... how bad things could get... and the steps you must take to prepare and prosper. But it's only available until tomorrow. [Don't delay – click here](. --------------------------------------------------------------- If someone forwarded you this e-mail and you would like to be added to the Empire Financial Daily e-mail list to receive e-mails like this every weekday, simply [sign up here](. © 2023 Empire Financial Research. All rights reserved. Any reproduction, copying, or redistribution, in whole or in part, is prohibited without written permission from Empire Financial Research, 1125 N. Charles Street, Baltimore, Maryland 21201 [www.empirefinancialresearch.com.]( You received this e-mail because you are subscribed to Empire Financial Daily. [Unsubscribe from all future e-mails](