At the beginning of the housing market crash of 2007/8, housing sale prices dropped from $305,800(Q4-2007) to $290,400 (Q1-2008)(-5.04%)
Today, 2020, Q1 to Q2 dropped from $383,000 to $368,700(-5.74%)
US House Prices consistently correlate a 6 month forecast of Real Personal Consumption Expenditures (PCE), according to Oxford Economics.
Q2(2020) GDP decreased 32.9%, where Q1 had only decreased 5%.
Disposable Personal Income increased $1.53T(42.1%), in Q2 compared with an increase of $157.8B(3.9%) in Q1 where a stimulus package for unemployment was nonexistent. Real Disposable Personal Income increased 44.9% for Q1, compared with an increase of 2.6% for Q2.
Personal Saving increased to $4.69T 3x from Q1 to Q2.
Gold has been on a bull rise since April, steeper than World Technology, and also World Alternative Energy. As of mid-June, Gold bull sentiment has made an even steeper rise to today.
Goldman Sachs Global Investment’s Risky/Safe Asset Flow Sentiment shows asset risks in April was around only 5%. As of the beginning of July, their assets were forced up to 82% risk. And in the last month, they’ve managed to decrease their risk to 60%.
Stock Market Valuation from Dec2007 to Jun2008 dropped 38% from neutral(0%) to deeply undervalued.
Autists, if you read this, and read it again, you will see that in 6 months from now, we will be at the bottom of the market. But, unlike last time where it took 18 months for the market to level out to normal, this time it will take 36-48 months.
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence or consult your financial professional before making any investment decision.