Public Archives
Our good friend John Rubino over at DollarCollapse.com just released an analysis titled US Housing Bubble Enters Stage 2: Suddenly Motivated Sellers.
He reminds us that housing bubbles follow a predictable progression:
- Stage 1: Mania — Prices rise at an accelerating rate as factors like excess central bank liquidity/loose credit/hot foreign money drive a virtuous bidding cycle well above sustainably afforable levels.
- Stage 2: Peak — Increasingly jittery owners attempt to sell out before the party ends. Supply jumps as prices stagnate.
- Stage 3: Bust — As inventory builds, sellers start having to lower prices. This begins a vicious cycle: buyers go on strike not wanting to catch a falling knife, causing sellers to drop prices further.
Rubino cites recent statistics that may indicate the US national housing market is finally entering Stage 2 after a rip-roaring decade of recovery since the bursting of the 2007 housing bubble:
Trouble Ahead For The Housing Market
by Adam TaggartOur good friend John Rubino over at DollarCollapse.com just released an analysis titled US Housing Bubble Enters Stage 2: Suddenly Motivated Sellers.
He reminds us that housing bubbles follow a predictable progression:
- Stage 1: Mania — Prices rise at an accelerating rate as factors like excess central bank liquidity/loose credit/hot foreign money drive a virtuous bidding cycle well above sustainably afforable levels.
- Stage 2: Peak — Increasingly jittery owners attempt to sell out before the party ends. Supply jumps as prices stagnate.
- Stage 3: Bust — As inventory builds, sellers start having to lower prices. This begins a vicious cycle: buyers go on strike not wanting to catch a falling knife, causing sellers to drop prices further.
Rubino cites recent statistics that may indicate the US national housing market is finally entering Stage 2 after a rip-roaring decade of recovery since the bursting of the 2007 housing bubble:
Real estate offers a path to build equity and income outside of the Wall Street casino, in ways that take advantages of tax incentives not available to stock and bond holders. It can also offer purchasing power protection during periods of currency devaluation.
But, education and timing are very important in this space. How can the novice investor get involved while reducing their risk of making costly mistakes? Real estate markets can enter price bubble territory (as many are in now) — how can you determine when it's safe or too risky to invest?
We've invited Robert Helms and Russ Gray, better known as The Real Estate Guys, onto the podcast this week to provide a "Real Estate Investing 101" overview for the Peak Prosperity audience. In it, they cover the different ways to invest, how to identify which approach is best for you given your personal goals and risk appetite, and how to get started educating yourself towards becoming an active investor.
Helms & Gray: Real Estate Investing 101
by Chris MartensonReal estate offers a path to build equity and income outside of the Wall Street casino, in ways that take advantages of tax incentives not available to stock and bond holders. It can also offer purchasing power protection during periods of currency devaluation.
But, education and timing are very important in this space. How can the novice investor get involved while reducing their risk of making costly mistakes? Real estate markets can enter price bubble territory (as many are in now) — how can you determine when it's safe or too risky to invest?
We've invited Robert Helms and Russ Gray, better known as The Real Estate Guys, onto the podcast this week to provide a "Real Estate Investing 101" overview for the Peak Prosperity audience. In it, they cover the different ways to invest, how to identify which approach is best for you given your personal goals and risk appetite, and how to get started educating yourself towards becoming an active investor.
Some day, today's era of insane asset price bubbles will end. But how? Will it unwind in an orderly and polite way, as the world's central planners hope? Or will be disorderly, resulting in painful portfolio losses and mass layoffs?
Michael Pento, fund manager and author of The Coming Bond Bubble Collapse returns to the podcast this week to offer his prediction that events will most likely take the latter route. In fact, he sees the developing inversion of the yield curve as a dependable precursor to the US economy entering recession as soon as this Fall:
Michael Pento: When The Yield Curve Inverts Soon, The Next Recession Will Start
by Chris MartensonSome day, today's era of insane asset price bubbles will end. But how? Will it unwind in an orderly and polite way, as the world's central planners hope? Or will be disorderly, resulting in painful portfolio losses and mass layoffs?
Michael Pento, fund manager and author of The Coming Bond Bubble Collapse returns to the podcast this week to offer his prediction that events will most likely take the latter route. In fact, he sees the developing inversion of the yield curve as a dependable precursor to the US economy entering recession as soon as this Fall:
As the Federal Reserve kicked off its second round of quantitative easing in aftermath of the Great Financial Crisis, hedge fund manager David Tepper predicted that nearly all assets would rise tremendously in response.
History proved Tepper right: financial and other risk assets have shot the moon. Equities have long since rocketed past their pre-crisis highs, bonds continued rising as interest rates stayed at historic lows, and many real estate markets are now back in bubble territory.
And everyone learned to love the 'Fed put' and stop worrying.
But as King Louis XV and Bob Dylan both warned us, what's coming next will change everything.
A Hard Rain’s a-Gonna Fall
by Adam TaggartAs the Federal Reserve kicked off its second round of quantitative easing in aftermath of the Great Financial Crisis, hedge fund manager David Tepper predicted that nearly all assets would rise tremendously in response.
History proved Tepper right: financial and other risk assets have shot the moon. Equities have long since rocketed past their pre-crisis highs, bonds continued rising as interest rates stayed at historic lows, and many real estate markets are now back in bubble territory.
And everyone learned to love the 'Fed put' and stop worrying.
But as King Louis XV and Bob Dylan both warned us, what's coming next will change everything.
Fresh from releasing his exhaustive 230-page annual report titled In Gold We Trust, Ronald Stoerferle joins us to summarize his forecast for the yellow metal.
Stoerferle, an author of several books on Austrian economics and head of strategy and portofolio management at Incrementum AG, concludes that gold is extremely cheap right now in dollar terms. And he sees a new bull market beginning for the precious metal — one likely to quickly build momentum as the next (and long overdue) financial market correction arrives.
Ronald Stoeferle: Gold Is Dirt Cheap Right Now
by Chris MartensonFresh from releasing his exhaustive 230-page annual report titled In Gold We Trust, Ronald Stoerferle joins us to summarize his forecast for the yellow metal.
Stoerferle, an author of several books on Austrian economics and head of strategy and portofolio management at Incrementum AG, concludes that gold is extremely cheap right now in dollar terms. And he sees a new bull market beginning for the precious metal — one likely to quickly build momentum as the next (and long overdue) financial market correction arrives.