Part 5/8:
On the topic of housing, Johnson suggests that a crisis like that of 2008 is unlikely, although price adjustments in individual markets may occur. Even as housing costs remain high, a substantial number of Americans are finding it increasingly difficult to secure housing due to inflated prices.
He discusses the role of the bond market, particularly 10-year treasury notes, in influencing mortgage rates. Expecting rates to stay high or rise further, he posits that if economic conditions turn negative enough, this may lead to renewed interest in treasuries as a safe haven.