How The Venezuelan Stock Market Predicted The Crisis

How Venezuela’s economy is leading the crisis in the South American country? Chuck Thompson, senior analyst at the Socionomic Institute, shares his views and research on how the Venezuelan Stock Market predicted the current social and humanitarian crisis.

venezuelan stock market

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Venezuela has been on our radar as a trouble spot for several years now, as its increasingly negative social mood registered bell-ringing levels on our key indicator. That indicator is the Venezuelan stock market, which CNBC noted was 2018’s worst stock market performer in U.S. dollar denominated terms, suffering a collapse of 94 percent. Negative social mood trends – as reflected by stock market prices – engender recessions and increases in crime, disease, social unrest, and dissatisfaction with leaders – all of which are currently on display in Venezuela.”

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Q4 hedge fund letters, conference, scoops etc


About Chuck Thompson:

Chuck Thompson is a senior analyst at the Socionomics Institute and a staff writer for its monthly magazine. He has spent more than a quarter-century studying and writing about personal finance and cultural trends. He also served as a writer and editor in the radio and newspaper industries for eight years prior to making the jump to finance.

What is the Socionomics Institute:

Socionomics is the science of history and social prediction. It is a field of study encompassing the origins and effects of an endogenous human social dynamic called the Wave Principle, a specific sequence of progress and regress that regulates the complex system of collective mood and social interaction. It examines and forecasts market and social trends on this basis: that the character of social, political, cultural, financial and economic trends are the product of collective human psychology, which is based upon an unconscious herding impulse deriving from pre-rational portions of the brain.



About the Author

Jacob Wolinsky
Jacob Wolinsky is the founder of ValueWalk.com, a popular value investing and hedge fund focused investment website. Prior to ValueWalk, Jacob was VP of Business Development at SumZero. Prior to SumZero, Jacob worked as an equity analyst first at a micro-cap focused private equity firm, followed by a stint at a smid cap focused research shop. Jacob lives with his wife and four kids in Passaic NJ. - Email: jacob(at)valuewalk.com - Twitter username: JacobWolinsky - Full Disclosure: I do not purchase any equities anymore to avoid even the appearance of a conflict of interest and because at times I may receive grey areas of insider information. I have a few existing holdings from years ago, but I have sold off most of the equities and now only purchase mutual funds and some ETFs. I also own a few grams of Gold and Silver