Investors Chase Risk in Junk Bonds at Fastest Pace Ever

Mish's Global Economic Trend Analysis: Investors Chase Risk in Junk Bonds at Fastest Pace Ever

"The Bloomberg article said this is a sign markets are returning to normal.

Really?

Was chasing risk in summer of 2007 normal?
How well did it work out?

Let's not confuse the willingness of the greater fool to finance global junk at the highest rate ever with 'normal'.
Instead I would advise focusing on corporate real estate, credit card defaults, and especially housing starts.
The latter typically leads normal recoveries.

Music Still Playing?

But hey, everyone likes a party.
Let's party like it was summer of 2007 again.

I have the perfect quote to match.
It's from July 2007 - Quotes of the Day / Top Call
Chuck Prince: “When the music stops, in terms of liquidity, things will be complicated. But as long as the music is playing, you’ve got to get up and dance. We’re still dancing'.

The Music Stopped for Chuck Prince On November 2, 2007 when his last dance was a two-step out the door.

Rest assured things will 'get complicated' again.
I just wish I could tell you when."

What is it about "human nature" that suppresses even the most recent memory of historical/economic events?