Stocks and bonds; emerging markets and advanced economies; urban office towers and Iowa farmland; you name it, and it is trading at prices that are high by historical standards. (Photo: NYT)
There's been a rash of these stories lately about a bubble then a bust. Seems like the fears of the '08 crash have burbled back to the surface--if they where ever truly buried. Despite all the recent talk of escape velocity in the economy, analysts keep finding bogey men under the bed (how's that for a mixed metaphor?). There is a good quote from Russ Koesterich, chief investment strategist at BlackRock, that's hard to shake, though: “We’re in a world where there are very few unambiguously cheap assets.”
So based on that quote, obviously for some investors, crash nightmares have been buried, or they've just decided to make hay while the sun shines.
—Ron Pechtimaldjian, ThinkAdvisor
In Spain, where there was a debt crisis just two years ago, investors are so eager to buy the government's bonds that they recently accepted the lowest interest rates since 1789. In New York, the Art Deco office tower at One Wall Street sold in May for $585 million
, only three months after the going wisdom in the real estate industry was that it would sell for more like $466 million.