MNSL

Are Equities Still a Better Investment than Housing?

I think so. I do not think that anybody can sell houses easily now.

We are still in the first stage of housing market downturn. Many houses are in negative equity. With falling employment, recession. Slower world growth, banking crisis and newly emerged credit mess will make housing market more and more vulnerable.

Stocks easily can sell even for loss now but not housing. As a result of this prices will drag down further. I do not think any recovery in the housing market for the next 10 years. By the end of next 10 years investment in equity will be better than invest in housing. We can just compare this at the end of next 10 years.

U.S. Market Setting Up for a 2nd Half Rally

I agree with above article.

Definitely we will see turn around in the US stock market in the 2nd half. US dollar will appreciate surprise to many while tumbling commodity prices. Inflation will come down from present level.

Now time to leave commodity oriented countries and put money in the USA and other promising stock markets worldwide to get above average returns from 2nd half rally.