Inflation Dichotomy and Equities vs. Real Estate Aug 16, 2021 View in your browser Inflation Dichotomy and Equities vs. Real Estate By Erik Norland, Senior Economist CME Group Surging Inflation Unique to U.S. U.S. core inflation at 4.5%, U.K. at below 2.5%, eurozone 1%. China’s inflation below pre-pandemic level at 1%, Japan at around zero. Massive U.S. fiscal spending led to a surge in consumer spending. Did U.S. economy reopening sooner than others fuel inflation? Read article Investment Shift from Equities to Real Estate? Real estate outperformed stocks during high inflation in 1972-82 period. Equities outperformed housing 1982-2000 when inflation fell. If 2021 inflation persists, housing could outperform equities. High stock valuations predicated on continued low interest rates. Read article SEE MORE ANNOUNCEMENTS
