Welcome to the era of financial candyfloss
Financial Times 2026-07-24 04:00:14
Context: The United States is experiencing a significant shift in its economic landscape, where the value of real assets is declining, and financialization is on the rise. This trend suggests a growing disconnect between the financial sector and the underlying economy. As a result, the nature of financial assets and their relationship to tangible wealth is changing.
Key Facts
- The value of real assets in the US is shrinking, indicating a decline in the worth of tangible goods and properties.
- Financialization is soaring in the US, implying a rapid growth in the financial sector's influence on the overall economy.
- The phenomenon of financialization is leading to an era of "financial candyfloss," suggesting a situation where financial assets are becoming increasingly detached from their underlying value.