Mark Thornton: The Most Overvalued Stock Market Since 1927? Why Gold Could Win Next

"The stock market right now is more overvalued today than it has been over the last 150 years. The only period that was more overvalued than it is right now was 1927."

That's the stark warning from Mark Thornton, Senior Fellow at the Mises Institute, who believes years of debt-fueled growth, artificially low interest rates, and soaring AI-driven valuations have created one of the most fragile financial environments in modern history. Yet despite seeing an elevated risk of a severe economic downturn, Thornton also argues that gold and silver may be carving out an important bottom, setting the stage for what he believes could be the next major rotation in markets.

In this interview with Maggie Lake, Thornton explains why he believes government deficits, corporate leverage, consumer debt, and monetary policy have delayed—but not eliminated—the consequences of years of easy money. He discusses what could finally trigger a broader market reset, why he expects capital to flow into precious metals and other real assets, and how investors should think about protecting portfolios if today's historic valuations begin to unwind.

If you're wondering whether today's AI boom resembles past market bubbles, whether gold's correction is ending, or how to prepare for an increasingly uncertain macro environment, this conversation offers Thornton's framework for what's ahead.