Morgan Stanley: Dwelling construction crash to run two more years

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Hammer meet nail, via Morgan Stanley:

A recovery in housing construction activity is still yet to start in Australia, and building materials providers have more pain to come, acording to Morgan Stanley.

In a study of less materials-intensive apartment activity, versus more-intensive detached houses, the broker has created its Morgan Stanley Intensity Adjusted index which signals the worst is yet to be felt.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.