Tuesday, March 11, 2008

The Economist house price index

See Attached,

The 1st, 2nd, 3rd and 30th, largest economies Real Estate values are showing negative year over year returns, the 5th largest the UK, has over the past 4 months has registered negative returns, as its economies slows dramatically, add the stock market losses, and you have the recipe for financial accidents similar to the thirties. These countries account for almost half of the world GDP.

It seems with the systemic tightening by the markets, that within two years most if not all Real Estate markets could be witnessing similar negative year over year returns.


The supercycle of debt or the big unwind, is spreading very quickly.


Global Investment cycles
Posted by at

Disclaimer

This Global Historical probability model is intended for information only and under no circumstances should items be considered as recommendations to purchase or sell investments.
Any statements contained herein that are not based on historical fact are forward-looking statements. Any forward-looking statements represent the Investment advisor’s best judgment as of the present date as to what may occur in the future. However, forward-looking statements are subject to many risks, uncertainties and assumptions, and are based on the Investment advisor’s present opinions and views. For this reason, the actual outcome of the events or results predicted may differ materially from what is expressed. Furthermore, this investment advisor’s views, opinions or assumptions may subsequently change based on previously unknown information, or for other reasons. The Investment advisor assumes no obligation to update any forward-looking information contained herein. The reader is cautioned to consider these and other factors carefully and not to place undue reliance on forward-looking statements.

These are my own views, please enjoy these insights