The Fed may have broken the US housing market, according to top economist Mohamed El-Erian.
That's because interest rate hikes have helped drive up mortgage rates, weighing on both supply and demand.
High rates have frozen the housing market over the past year by crimping both supply and demand.
AdvertisementAdvertisement"When you go from record-low mortgage rates to levels that we haven't seen for almost 20 years, you've destroyed both demand and supply.
That is the way you destroy the housing market," El Erian said.
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