“Goldilocks” and the Three Bears
The internal logic of “Goldilocks and the Three Bears”, and the idea that the economy can be “just right” for financial markets, merits some inspection.
Consider commercial property. American office-vacancy rates reached 16.4% in the middle of the year, according to Colliers, an estate agency, above the previous record that was set after the global financial crisis of 2007-09.
Banks with under $10bn in assets have exposure to commercial real estate worth 279% of their equity cushions, the rating agency noted, compared with 51% for those with over $250bn.
For less leveraged firms, workers and stock investors, the economic porridge seems to be at just the right temperature.
The Economist 29 August 2023
Inlägg med etikett cre
https://englundmacro.blogspot.com/search/label/cre
Kommentarer