Loading ...For one, real estate prices are too high compared to wages. Raising rates to calm it down, might pop the bubble. NOT raising rates will make the bubbles continue to get bigger. But consumer borrow rates need to stay low to encourage spending, buying of cars and homes.
Houses should not be investment thing, just a consumer product. Thank God food is not an investment vehicle. Imagine if it was possible to invest all your savings in food? Hording food? Buying more than you need? I see that with real estate.
The excess saving or investment funds are SUPPOSED to go to Gold and Silver. It won’t matter to, or hurt consumers, no matter how high AU and AG get. The only people hurt by higher AU and AG would be jewelers, and jewelry consumers. And who cares about them? They’ll have to adjust.