Housing Bubble

Tyler Durden's picture

Futures Continue Surge On Global Draghi Euphoria, Tech Earnings





Yesterday morning, when previewing the day's tumultuous events, we said that "Futures Are Firm On Hope Draghi Will Give Green Light To BTFD." And boy did Draghi give a green light, that and then some, when his press conference unleashed one of the biggest one-day US equity rallies in 2015. This morning it has been more of the same, with global market momentum on the heels of Draghi's confirmation that Europe's economy is again backsliding (it's a good thing, if only for stocks), leading to momentum for US equity futures, which together with soaring tech/cloud, earnings if no other, are on their way to take out recent all time highs.

 

 
Tyler Durden's picture

This Is What Happens After Three Years Of Negative Interest Rates





Property prices in Copenhagen have risen 40-60 percent since the middle of 2012, when the central bank first resorted to negative interest rates to defend the krone’s peg to the euro.

 
Tyler Durden's picture

Freddie Mac Launches "Three Percent Down" Mortgages To Lure Millennials





Now that mortgage rates are sliding back to 2015 lows, any sense of urgency from the demand side of the pricing equation has been removed. So what is the alternative? Pushing the supply into overdrive of course, and doing more of precisely what got the US financial system (and the bailed out GSEs) in trouble in the first place: today Freddie Mac, together with Quicken Loans, announced a new lending program, one which would enable "eligible borrowers" and focusing on millennials, to finance a house with a "down payment of as little as three percent."

 
Tyler Durden's picture

Here's Why Housing Must Be Propped Up





If housing tanks, the last prop under the veneer of middle class wealth collapses. No wonder the Powers That Be are so desperate to prop up housing. But the bubbles and busts they've engineered are integral to credit/asset booms; their goal--a steady, permanent rise in prices that never falters--simply isn't possible.

 
Tyler Durden's picture

Bernanke: The Courage To Print - Reading Between The Lies





The Fed needs to extricate itself from manipulating the financial markets. It needs to end backstopping market liquidity. It must never again print Trillions of new “money” out of thin air. Because so long as the marketplace perceives that the markets are "too big to fail", there will be speculative excess, major securities markets mispricings and Bubble fragilities. No one – average investor or sophisticated financial operator – has a clue as to the degree Fed policies have distorted asset prices.

 
Tyler Durden's picture

How Much Longer Can Our Unaffordable Housing Prices Last? (Spolier Alert: Not Much)





This globalization of regional housing markets is pricing the middle class out of housing in areas that also happen to be strong job markets. Many commentators are concerned that a nation of homeowners is being transformed into a nation of renters, as housing is snapped up by hedge funds and wealthy elites fleeing China and the emerging markets. But will current conditions continue unchanged going forward?

 
Capitalist Exploits's picture

There Will Be Blood – Part III





Hedge fund manager exposes the ugly truth about America's energy revolution: it's like the housing bubble but larger!

 
Tyler Durden's picture

Lashed To The Zero Bound - The Fed's Ship Of Fools





If you don’t think financial markets have been utterly destroyed by central bank intrusion then how can you explain Friday’s 460 Dow point reversal higher after the post-NFP low? It was pure machine rage triggered by another implied “lower for longer” Fed policy signal. In short, we are now in an exceedingly dangerous phase of the central bank end game. They continue to pour gasoline on the first of financial speculation, yet smugly insist all is clear.

 
Tyler Durden's picture

Australia Is "Going Down Under": "The Bubble Is About To Burst", RBS Warns





"Australia has benefited from China’s growth over the past decades, but has become a less diversified and commodity dependent economy in the process. It is now exposed to China’s slowdown, and may be unable to re-engineer itself quickly enough to avoid the end of the commodity super-cycle. The worst is yet to come, in our view."

 
Tyler Durden's picture

80% Of All New Home Buyers In Irvine Are Chinese





"We are seeing more globalization as Southern California has become a destination for international buyers," said Mark Hughes, chief operating officer with First Team Real Estate, covering the Southern California market. "Eighty percent of new construction in Irvine last year was sold to Chinese buyers. International buyers are driving home prices up and sometimes out of reach for many local residents."

 
Tyler Durden's picture

Stocks, Futures Soar As Europe Joins Japan In Deflation, Surge Driven By Hopes For More Japan, ECB QE





Terrible economic news is wonderful news for markets, all over again, and with the worst S&P500 quarter since 2011 set to close today, some horribly "great" news is just what the window-dressing hedge funds, most of whom are deeply underperforming the broader market (not to mention Dennis Gartman) ordered.

 
Tyler Durden's picture

Carl Icahn Says Market "Way Overpriced", Warns "God Knows Where This Is Going"





"They don't understand the treacherous path they are going down. God knows where this is going. It's very dangerous and could be disastrous."

 
Tyler Durden's picture

This Is "Getting Really Ugly, Really Fast": Two Thirds Of Recent Graduates Say US College Education Is A Ripoff





"When you look at recent graduates with student loans it gets really ugly, really fast. If alumni don’t feel they’re getting their money’s worth, we risk this tidal wave of demand for higher education crashing down."

 
Syndicate content
Do NOT follow this link or you will be banned from the site!