Good read: Rising Prices Explained?
emar
Posts: 697 ✭✭✭✭
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emar
Posts: 697 ✭✭✭✭
emar
Posts: 697 ✭✭✭✭
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Basically inflation where the wealthy and high incomes wander, but no inflation on necessities. There's no money chasing food or other consumer goods and not enough chasing real estate rentals. Interesting.
That would definitely explain the rush on very high end stuff...and the relative collapse of everything else.
As has been posted in multiple threads, record highs on many PSA 10'a and desired PSA 9's. in the meantime, for the first time I'm able to assemble a mid grade vintage set for the first time in my life.
One more thing ill note from the article which I've also been saying is that the author states that it basically creates bulges that will contract or even explode. And that's correct. When money chases a market, it eventually moves on to the latest greatest. I imagine that will happen once the stock market implodes...at some point money will re enter the stock market with a fury and that's going to hurt both high end collectibles and real estate.
Bonds, CDs, under the mattress are no fun. Hence the explosion of alternative investments.
IMHO...we'll see the "sell in May" crowd with heavy selling. After the dust settles, new money will flood the market and breakout to sustainable record highs. (until the next crisis)