Remember last year when I said interest rates will go to 7...

Remember last year when I said interest rates will go to 7 percent and was laughed at well here is the latest chart for US 30 year mortgage rates and you can see panic has set in and is hard to stop.




But it gets worse as typical with every cycle there is a building frenzy in response to rising prices without regard to the strength of the cohort who will be willing buyers so as you can see in the US there is going to be a massive over supply trying to sell into a diminishing cohort of would be buyers.

At least in the US you are about to see the biggest housing crash in living history and normally other countries follow suit.

The disparity of construction activity measured against declining population growth in 2008 At the time of the last crash was a mere blip to what we have now and add in rapidly rising rates increasing mortgage commitment by up to 700 percent you can see why discretionary spending will be absolutely smashed and bad debts will go through the roof.

My view is unaltered that every single BNPL company will be insolvent within 12 months.

I also feel sorry for anyone who has leveraged themselves into the housing market in last 2 years