Michael Steinhardt was on Squawk Box this morning. In the category of famous last words about the investment bubbles and bottoms, the legendary investor used the phrase “it's different this time.” He used it to explain away how all his very smart buddies got it so wrong in the last year, and how hard it is to make investing decisions right now. (See video below.)
“It's different this time.”
Sound familiar? It should.
People said “it's different this time” at the height of the Internet bubble to justify sky-high valuations on any stock with “dotcom” at the end of its name. (The Internet is creating a new paradigm — remember? Amazon was worth $400, said Henry Blodget.)