Where The Housing "Recovery" Is, In One Chart

Janet, we have a problem. The Fed's main policy transmission channel, since stock ownership is not widespread enough to affect the real economy's expectations, is via home equity wealth creation and animal spirit exuberance-based borrowing and leverage. As the following chart shows, the much-touted "housing recovery" pillar of the economy - that is set to take off and lift growth to escape velocity - is only evident in one place...

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