Loading ...Even real estate is sucking in excess funds. Some people are so wealthy they can justify purchasing just about anything no matter how ridiculous the price it is, referred to as Stupid Money.
These are being used as inflation hedges instead of AU and AG. They are very good diversions from Gold and Silver. We saw what happened after 1980. All the inflation hedges at that time AU AG antiques etc went down and evaporated tons of money supply.
Between 1945 and 1971, stocks and real estate were inflation the popular hedges. The Dow and Real Estate were dead for ten years after as rates to 20% and Gold Silver went up until 1981. The Dow was flat 1968 to 1982. Houses, flat 1971 to 1982. Due to high heating oil and Mtg rates to 18% from 6%. Big headwinds.
These modern-day inflation hedges are a big potential deflation problem just waiting for a spark to happen. AU and AG will not go into deflation. They are simply too cheap, disrespected, bashed constantly and undervalued.