The next big bubble.
FYI : When I talk about sectors in this topic, I am talking about the sectors that make up the S&P, 1200 Index.
Okay, so I know that calling a bubble before it has even started floating around in the air is dumb, but it will happen. So after, I finished marking the first round of shitty essays by dumb undergrads, I was watching TV and saw 5 ads in a row for the health industry (drugs and health insurance.) With the recent boom of the health sector stocks, I'm calling it now, that the next bubble will be the health sector. How? Well look back at the dot.com bubble. The two biggest sectors in 2000 were telecommmunications #1 and Finance #2. And now that the Finance bubble burst, it's time for another. In 2008, the two biggest sectors were Finance #1 and Health Care #2. If you think that it's just chance (I thought so too.) Think back to the amazing bull of the Finance sector, and that a majority of the ads on TV were related to banking or mortages. If the Finance bubble took away our homes, then the next will take away our hospitals and docters. I just hope that I am wrong on this one.
Baby boomers retiring.
People always get sick.
People will pay literally anything to get the best health-care possible.
Biotech / GreenTech / Asia = The Future.
a higher market cap doesn't make an industry a bubble. I know this is just your musings but it's very shallow. for one thing, healthcare companies are in many ways poised to benefit from the republican "frankenstein-ation" of obamacare. Also consider that a bubble is posthumous by definition (e.g. was the mortgage market a bubble in 2004? if you thought so, you lost. how about 2005?)
^ Exactly. The demand in that sector will not be artificial. It will be legitimate. No bubble here, unless some fucked up policy arises. Biotech, genomics/consumer genomics, nanotech, etc., will all drive accelerated growth for a long, long time; never mind demographic transformations.
OP, you might think there is a pattern between the "biggest sectors" and bubbles, but you really haven't provided any logical explanation for healthcare, or pharma/biotech, becoming a bubble.
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