Posts: 21,943
   
Threads: 6,200
    
Likes Received: 4,092 in 3,204 posts
Likes Given: 472
Rate of inflation Is proportional to rate of M2 increase.
The Fed cause jnflation by printing money during the pandemic ....1yr later we kena inflation.
The Fed shrinks money supply.....we will be hit by deflation after a time lag.
I, being poor, have only my dreams; I have spread my dreams under your feet; Tread softly because you tread on my dreams.
>
Posts: 4,140
   
Threads: 899
    
Likes Received: 255 in 247 posts
Likes Given: 750
I only remember During 2008 subprime reset for ah joe and Mary globally were around $900B USD.
Posts: 4,140
   
Threads: 899
    
Likes Received: 255 in 247 posts
Likes Given: 750
Posts: 39,803
   
Threads: 2,252
    
Likes Received: 5,765 in 5,029 posts
Likes Given: 4,062
To be sure, home prices are not collapsing. In December 2022, the total value of US houses was still 6.5 per cent higher than it was a year earlier.
Posts: 1,038
   
Threads: 4
    
Likes Received: 157 in 133 posts
Likes Given: 265
Please share info source of property value loss of 2.3T
Posts: 6,275
   
Threads: 95
    
Likes Received: 1,806 in 1,426 posts
Likes Given: 404
(23-02-2023, 04:40 PM)sgbuffett Wrote: Raising interest rates too quickly is like this....
When you run off the cliff ...you only realise too late.
The Fed always use stale data like CPI and PPI that lag for months that is how they killed the economy in 31 out of 32 rate hike cycle.
Modern day we use real time data. Last CPI report ever show housing cost increase when in fact it has collapsed.
https://www.businesstimes.com.sg/propert...ggest-2008
Chen Zhao, economics research lead at Redfin, said: “The housing market has shed some of its value, but most homeowners will still reap big rewards from the pandemic housing boom.” She added that the total value of homes remained about US$13 trillion higher than in February 2020.
To be sure, home prices are not collapsing. In December 2022, the total value of US houses was still 6.5 per cent higher than it was a year earlier.