Dent: Big Crash Coming, Stick With Cash

Monday, October 19, 2009 10:25 AM

By: Dan Weil


Dent told Moneynews, “We’ve seen the greatest credit bubble and greatest real estate bubble in modern history, which means we have inflated asset values and, more importantly, way too much debt in our system. . . We have to restructure this debt." (photo: H.S. Dent)

Financial author and newsletter publisher Harry Dent says the explosion of U.S. public debt will spark deflation.

That deflation in turn will trigger crashes in stocks, bonds and real estate. He recommends that investors stick with cash.

“We’ve seen the greatest credit bubble and greatest real estate bubble in modern history, which means we have inflated asset values and, more importantly, way too much debt in our system,â€