Now that he’s handed off his the mother of all credit and asset bubbles to Ben Bernanke, Alan Greenspan feels safe saying what anyone with their eyes open has know for 1-2 years:
From a May 18th CBS Marketwatch article: At the 30th anniversary dinner honoring the Bond Market Association Greenspan said that he thought the housing market boom was history. He said much of the recent weakness stems from a slowdown in investment demand for housing. “Everything is going in the same direction,” he said.
Note: He’s also said that an end to the global liquidity glut will lead to lower asset prices (duh).