Donald Trump and Carl Icahn Agree: US Economy is in a Big Fat Bubble

Billionaire businessman and tv personality turned presidential aspirant Donald Trump at the MSNBC's Morning Joe declared: 

We are in a financial and economic bubble in my opinion (1:17).

Watch video here

Mr Trump wanted to recruit his friend billionaire Carl Icahn as his Treasury Secretary, in case he wins.

But Mr. Icahn promptly turned down the offer with his reply posted on a blog...

My comments re Donald Trump running for President & wanting to nominate me for the Secretary of Treasury June 19, 2015 by Carl Icahn 

I was extremely surprised to learn that Donald was running for President and even more surprised that he stated he would make me Secretary of Treasury. I am flattered but do not get up early enough in the morning to accept this opportunity.

There are others much more knowledgeable than I concerning Presidential elections. I will therefore decline to opine on his chances. But I am knowledgeable concerning markets and believe Donald is completely correct to be concerned that we have “a big fat bubble coming up. We have artificially induced low interest rates.”

I personally believe we are sailing in dangerous unchartered waters. I can only hope we get to shore safely. Never in the history of the Federal Reserve have interest rates been artificially held down for so long at the extremely low rates existing today. I applaud Donald for speaking out on this issue – more people should. 

Nonetheless, Mr. Icahn has been warning of a bubble (particularly in the high yield/junk bond) sector since last year.