Now that Q2 earnings season is mostly complete and the most recent U.S. economic data is out, Evercore ISI analyst Ed Hyman released a report assessing the overall state of the economy and the stock market.

Hyman’s focus was primarily on whether we are now approaching a bubble and/or a recession.

Sotheby’s

According to Hyman, one of the best indicators of past bubbles has been the stock of fine art and jewelry auctioneer Sotheby’s BID 3.23%. The Japan bubble in the late 1980s, the tech bubble of the late 1990s and the U.S. housing bubble in the 2000s were all marked by a sharp spike in Sotheby’s stock followed by a steep decline.

Hyman predicts that the next major market bubble could send Sotheby’s stock to around $75 based on technical analysis of previous bubble peaks.

Two Other Indicators To Watch

Almost every bubble/recession pairing in recent history has been…

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