Robert Shiller on latest housing data

“Home prices are declining a little bit,” Shiller says. “It's a worry that the support we've seen [via the tax credit] is not continuing and we're going to resume the downtrend.”
In his estimation, we are stuck in a liquidity trap: Despite rock bottom interest rates, people are still not spending because they are concerned about the future.
Shiller says it is definitely not the time to be bullish on real estate, “I think it is a risky bet. If we have more stress, if house prices continue to go down, as they've started to do just a little smidgen…if they go down another 5% that is going to put a lot of stress on financial institutions.”

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2 Responses to Robert Shiller on latest housing data

  1. Anonymous says:

    On Monetary Idiocy and Treason, Chris Whalen
    http://market-ticker.org/akcs-www?post=170440

  2. Anonymous says:

    Bill Gross Calls Fed “Most Brazen” Of All Ponzi Schemes, Says 30 Year Bond Market Is Ending, Compares US Economy To Black Hole
    http://www.zerohedge.com/article/bill-gross-calls-fed-mother-all-ponzi-schemes-says-30-year-bond-market-ending

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