The impact of the European directive can be devastating for the real estate market, but can it lead to difficulties for the stock exchanges?
Today, global attention is focused on the great crisis banking international. We struggle to understand how much the various banks are solid and how strong is the danger of infection. The collapsed banks today make noise because the international banking system is connected by one thick relationship network.
As the 2008 crisis demonstrated when a bank collapses the domino effect it can be very heavy and today many are wondering if the stock market could be affected by this problem. US and EU central banks scramble to reassure i account holders and investors, but if the banking crisis is frightening, it is equally true that there are other problems on the global stock exchanges as well.
Tech bubble and real estate bubble
The tech bubble it is an issue of which very little is said but which is objectively dangerous. The big American companies in the technology sector have been extensively overrated and now the sensational staff cuts of the tech giants are scary. Many analysts believe that there is a real bubble in this sector and that it is about to burst.
Companies like GoogleApple and Facebook boast stellar quotations but these values are very likely to be log out completely from business fundamentals. Another bubble ready to burst is that real estate. As the reader will recall, it was the real estate bubble in 2008 triggering the great crisis. Analysts fear a similar crisis around the world and in Europa may arrive sooner due to green houses directive.
Green houses directive: according to experts, the impact will be devastating
This directive on energy efficiency could lead to a tightening so strong on mortgages and on the real estate market to accelerate the bursting of the bubble in this sector. If today the issue that holds the court is precisely that of financial institutions in difficulty, the collapse of the stock market could have originated from a series of factors heavy and concomitant.
Today the green houses directive is feared by home owners who will be forced to carry out very expensive energy efficiency works. Who doesn’t fit by 2030 will not sell or rent homes. However, this directive is also very problematic from a global point of view market. The European real estate market (and that of mortgages) risks an unprecedented squeeze and the repercussion on the economy and on the bags it could be very strong. Also there BCE he underlined that the directive is problematic and needs to be rewritten. It would be truly paradoxical if a directive born with an ecological intent could end up bringing down the stock markets, yet we must not forget that the crisis of subprime of 2008 was born from one seemingly mundane real estate frenzy.