Foros de la Plataforma por una Vivienda Digna

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Spanish property and other bubbles

Published: April 20 2007 15:00 | Last updated: April 27 2007 14:43

A massive bubble in the Spanish housing market is set to implode, according to Charles Dumas, chief economist at Lombard Street Economics. The impact is likely to be felt beyond the country’s borders. Mr Dumas points out the whole of the Euroland grew on the back of Spanish demand until 2006. With 11 per cent of Euroland’s GDP, Spain provided one third of its incremental domestic demand between 2002-06. Artificially low interest rates and the ease of financing Spanish deficits in the common currency induced a housing bubble which is now set to burst.

Mr Dumas, a highly influential and experienced economist in markets, can answer your questions on the implications not only for Spain but other markets. He can also answer your questions broader market issues such as how far the US economy will slow this year, what will be the next move for the US Federal Reserve on interest rates, the relative appeal of Europe over the US for investors, are corporate profits at a cyclical peak, are equity markets due for a correction.

Mr Dumas has extensive experience in the financial world as an investment banker, economist and journalist. At JP Morgan, he worked as managing director of mergers and acquisitions in new York, head of research in London, and international economist in New York. He also worked for General Motors as European economist and the Economist as a journalist.

Join the live Q&A with Mr Dumas on Monday April 30 at 2pm (GMT).

http://www.ft.com/cms/s/e60493e8-ef3a-11db-a64e-000b5df10621.html