Housing market crash has most impact on investors

markets forum

With some 70% of all stock ownership in the US held by just 10% of the overall population, Kent Shep...

With some 70% of all stock ownership in the US held by just 10% of the overall population, Kent Shepherd, US fund manager at Franklin Templeton, believes consumer spending will be impacted more by a housing market crash than any stock market bubble bursting. While the impact of the Federal Reserve's policy of rising interest rates is so far unclear, Shepherd argued if it does adversely affect US house prices going forward, the impact will be far greater on consumers than an equity bear market. He said: "At present, US consumer end demand remains strong due to the low level of unemployment...