Quote:
Originally Posted by 911AP
The market has priced in rate increases till the end of the year then some decrease going into next year. Go look at the bond market. Not sure where you get the 2-3 years part. Interest rates matter because that's tanking every asset class right now. Stocks, crypto, real estate, you name it. The fed is tanking the speculative economy in order to fight inflation. Like I said, prices shot up too fast and came down just as fast. But I do not think it's going to go as low as some of you think. I hope it does though. Then I can go back to getting all the watches I want much easier.
I'm comparing it to give a real life example for people who aren't financial wizards on this forum. I'm not saying watches are the same as houses. Plus if you look at the high end market for real estate it has the same behavior as any "luxury wrist trinket". Paying 3m+ for a house is not a "necessity". The image of watches has changed. People compare it to art now. They speculate, there is a market, and people will always try to make money on it now.
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You got it all wrong. Why have you not responded to any of my claims/numbers? You keep throwing out baseless data and comparisons. Myself and others have clearly provided tangible numbers that the market continues to drop, and you say let’s revisit the conversation. LOL can’t make this up.
Comparing the housing market to watches is asinine on a number of levels. The former is beholden to interest rates, residual land values, and is the largest investment a typical family will make. The latter provides no intrinsic value (rather propped up by perceived value) and is by definition a luxury good that will be the first on the chopping block when disposable income/savings thin out. Again, exceptional circumstances caused this run up in watch prices, and it is more likely than not that watch prices will revert to the mean.
The art market cannot be compared to the watch market either. ROs and Rolexes are mass produced compared to limited run/ 1-of-1 pieces. Moreover, there is an extensive precedent of art as an investment. For watches, it’s just literally a couple years. You think it’s a coincidence that it coincided with historically low interest rates, record savings, and helicopter money?