Commercial real estate will suffer a recession if banks don't start lending again, warns property billionaire Ross Perot Jr.
have sounded the alarm on commercial real estate in recent weeks. The catalyst for their concerns? The Fed hiking interest rates from nearly zero to upwards of 5% since last spring in an effort to curb inflation.
Higher rates encourage saving over spending and raise borrowing costs, which tends to pull down asset prices. That's because investors can earn solid, guaranteed returns from bonds and savings accounts, which erodes the appeal of riskier assets such as stocks and real estate. Meanwhile, consumers are facing historic inflation and higher monthly payments for their credit cards, car loans, mortgages, and other debts. If consumer spending falls as a result, a recession may set in, which tends to be bad news for most industries.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
House Democrats Angie Craig and Deborah Ross to miss crucial debt ceiling vote.RepAngieCraig and RepDeborahRoss announced that they will miss the crucial debt ceiling vote this week because of needed surgery to repair a dislocated ankle and a positive COVID-19 diagnosis, respectively.
Read more »
May 31: MarketWatch - A Hot Summer for Travel with Outdoorsy's Ross SchwaberJoin Barron’s Live weekdays at noon, for timely and actionable insights tied to the coronavirus crisis. Dial-in to connect with top experts and our editors covering the outbreak, to hear the impact on markets, the economy, companies, real estate, and more. Session topics subject to change pending breaking news. Barron's senior managing editor Lauren R. Rublin, reporter Al Root and a special guest discuss the outlook for the aerospace industry.
Read more »
Diana Ross, CNCO and more headed to Southern California casinos next weekSee who else is scheduled to perform and find out how to get tickets to shows happening the week of June 5-June 11.
Read more »
Ross: IRS funding lost in debt limit bill, tax cheats rejoiceThe debt limit bill has passed the House, and it’ll probably pass the Senate. It was a classic bi-partisan compromise, and I was actually impressed by last night’s debate.
Read more »
Commercial astronauts wrap up second private mission to space stationThe Ax-2 flight was the second 'private astronaut mission' chartered by Houston-based Axiom Space and sanctioned by NASA.
Read more »
It’s Official: Rick Ross’s On-Again, Off-Again Car Show Is Actually Happening This WeekendThe much-anticipated car show by Rick Ross is finally happening this weekend. 🙌 RickRoss carshow
Read more »