Not Quite Twin Peaks

Nominal asset prices, including S&P500 and home, continue to rise, but real prices have not regained prior levels (S&P500) or have plateaued (home prices).

Figure 1: Nominal S&P 500 index (blue) and real S&P 500 index, 2017$ (red), both on log scales. July observation is 7/23 close. Real calculated using CPI-All. Source: FRED, author’s calculations.

Figure 2: Nominal Case-Shiller 20 city home price index (blue) and real Case-Shiller 20 city home price index, 2017$ (red), both on log scales. eal calculated using CPI-All. Source: FRED, author’s calculations.