Barry Eichengreen: Why investors shouldn’t get bedazzled by today’s blockbuster tech stocks
· livemint.com
As Elon Musk’s SpaceX takes its place in the equity firmament, the story of NTT’s 1987 public offer—which was bigger in some ways than SpaceX’s—should remind investors how hype can let them down. Circumstances and fortunes can turn quickly.
We now know that investor enthusiasm was overwrought. The Bank of Japan began raising interest rates in May 1989 in an effort to lean against financial excesses...