Andy Xie buy a house is nonsense anti-inflation prices will fall 15%

 Economist Andy Xie (data map)

in Guangzhou on Saturday at the Andy Xie, a keynote address at home that is now the global economy into stagflation, due to structural problems have not been resolved in the short term is difficult to have a real recovery; the case of China, will continue to receive money, the real estate industry to the inflection point, if house prices fall , the release will drive the stock market liquidity rose.

Xie pointed out that the large mature markets are now facing financial difficulties, while the debt is too high, the other hand, the underemployment, so interest rates will remain low. Now Europe's fiscal deficit has caused public unrest, the United States must control the budget deficit. However, the economic consequence of reducing the fiscal deficit will not be very good, the other is not raising interest rates.

Although inflation is now passing from the developing to developed countries, developed countries do not dare raise interest rates, even if the rate hike, only to meet style and eventually the West will accept the situation of high inflation. Andy Xie believes that in this background, energy, precious metals, commodities will have the opportunity, especially agricultural products, time to put all assets are sold.

As developing countries, Andy Xie believes that inflationary pressures are facing greater, but high inflation has led to social unrest, as Egypt is an example of intensification of the contradictions. China's overheating economy in 2007 the situation had control in 2008 is the best time, now more painful adjustment, but it must be adjusted to recover the super-issued currency, return to normal.

Andy Xie, analysts pointed out that a large number of low-cost housing market, so real estate prices will fall,

his view, the real estate downturn of the time will be longer, estimated to be about three years, transaction to enlarge, and then continue down. And if house prices down 15%, turnover will be active in the housing market, capital will flow up, the stock market will have a chance. From a fundamental perspective, in the real estate cycle has passed, the cycle will be triggered by a wave of spending big money opportunities.