Rising house prices could spark us bubble

Rising house prices could help spark a financial bubble in America, Robert Shiller has warned.

The economist, who won the Nobel prize this year, highlighted both the US market and the Brazilian market as potentially showing signs for concern.

“I am not yet sounding the alarm,” he told told Der Spiegel. “But in many countries stock exchanges are at a high level and prices have risen sharply in some property markets.”

"I am most worried about the boom in the US stock market. Also because our economy is still weak and vulnerable,” he added.

(Translation source: The Guardian)