Alas, at least one analyst, Jim Reid of Deutsche Bank, has cautioned that now might not be such a bad time to take a step back and look at the longer term demographic and economic trends. Reid argues that global demographic trends, including the addition of "1 billion cheap workers" from China and India and a wave of highly productive 35-54 year old workers, have created a 35-year super cycle that is just about ready to reverse. Going forward, Reid warns that the "extrapolation of the last 35 years could be the most dangerous mistake made by investors, politicians and central bankers."
Therefore, Reid argues that, due to the combination of these global demographic trends, it is no wonder that global asset valuations have undergone a 35-year super cycle resulting in the most excessive bond and equity valuations in over 200 years.
DYI
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