You're watching...
Money Map Press’ Keith Fitz-Gerald on the housing market and outlook for the U.S. economy.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Now the theme of the day is the new normal.
Economists are predicting a 2.4 percent growth in the US economy.
This for the entire year and voters while they are too optimistic either a new fox polls -- That more than -- think that the worst is yet to come when it comes to the economy.
Joining us now -- FitzGerald from money map press if you go to start first -- -- I was just talking with Sander a bombing sorry Nicole about.
Pulte homes and the homebuilders in general as they're still play in that area a lot of these stocks have moved long before house and started to improve.
Yeah I think they've moved on speculative that people just looking to get ahead of the thing I'm very leery of additional upside here I'm very concerned that this is housing bubble 2.0.
We're missing first time buyers -- missing trade up buyers what we're seeing in many markets as you point out this morning.
Is overseas buyers would lots of cash coming in their bypassing the mortgage markets -- -- simply swooping down pick up real estate I think it's fast money and they're gonna disappear soon as they came.
What about the new normal you know we have this Fox News -- and their whole lot of all the polls out there that suggest a lot of Americans -- -- just becoming okay.
That's really okay with -- but they're coming to grips with that maybe elective last into debt.
That this is that it it ain't getting any better than there.
I think that that's extremely telling because -- suggests a psychological shift in this country in for a country that has always made its future based on hope and optimism.
That's troubling.
You know kids let's just it's Liz -- -- good to be with you.
-- I -- sometimes think that you know what I remember -- Paul Harvey said -- now.
In times like these it helps to remember there's always been I just like these.
Well when you look at what our economic recoveries have been in the past isn't usually ten months of the average recession.
And then in year three we get a recovery what are we looking at right now with three million people.
-- -- -- -- And network fourth.
I think that's a very important observation and I think when it comes down to is the length of cycle.
The problem I have if you look at the data is an average historical cycles are seventeen to 21 years -- -- -- -- big cycles now.
But with the inflow in the influx of modern financial mechanisms we've seen -- compression of that -- business cycles are a lot quicker than they used to be.
My suggestion is probably 20142015.
We're really gonna see this thing take off in recovery began in earnest -- got a little -- yet to wait.
Okay -- in next time you come back we'll find out.
We should buy ahead of this big term but we appreciate it as usual now.
