Is it reasonable to expect a major bank to ever say that markets are about to crash hard?
Has this happened anywhere in modern times?
If not, is a "slow correction" considered the most negative outlook predicted by a major bank?
Is BMOs statement really that hard to argue?
Highest debt levels ever. Kids with no savings buying houses at historic high prices. CHMC tapped out (again). Lowest (due to government emergency) interest rates ever. 2/3rds of poplulation owning houses already. 1/3rd bought on sub prime mortgages.
Flaherty and Carney sending warnings to Canadians about debt levels.
Banks warning people about debt.
And now a bank predicting a slow decline. Most negative statement a bank will release.
What could go wrong there?
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