Quick roundup of tidbits I collected:
First, notice the striking correlation between the %YoY change in Canada and Australian home price indexes:
Graph sources:
AUS Price Index (fig 1)
CAD Price Index (comminuques->april)
Second, look at the similarities between today and summer 2008:
– Both Aus & Canada %YoY home price trends are following the trend set in ’08.
– USD index came within a hair of its summer ’08 lows and has started to rally
– Commodities have started to tank and have registered their largest 1 week plunge since ’08
Third, QE2 comes to a close end of June. No more $4 billion of liquidity pumped into the markets daily to goose commodities and other risk assets. This also gives further fuel to the USD rally.
A crash this time around would be uglier as interest rate ammo worldwide is thin. So buckle up and let’s get the remaining world housing bubbles popping at warp speed scotty!
Submitted by crashcow