House Prices

Back to the '70s

Disco, bell-bottoms and the Eagles may not make a comeback, but lousy stock market returns might.

Saturday, May 15th 2004

The 1970s produced many things of debatable merit: disco, feathered hair, the Pinto; some people love them, some people hate them.

But few would disagree that the stock market was lousy in that decade, and some analysts, unfortunately, fear that performance could be repeated in the decade to come.

Between 1970 and 1979, the Dow Jones industrial average gained just 4.8 percent, a pretty miserable performance. Adjust that for the runaway inflation of the period, and things look even worse.

That sluggish decade was in fact part of a longer, 16-year, flat stretch, running from 1966 to 1982, according to many analysts.

Stocks took a similar 16-year breather between 1934 and 1950, according to technical analyst John Bollinger, founder of Bollinger Capital Management, before launching into a 16-year bull market, and the doldrums of 1966-82 set the stage for another bull market from 1982-1998.

If the pattern holds true, then we might not see the next long-lasting bull market until, oh, say, 2014. And Bollinger believes the pattern is holding true.

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Heartland Bank - Online 6.69
SBS FirstHome Combo 6.74
Wairarapa Building Society 6.95
Unity 6.99
Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.45
China Construction Bank 6.75
TSB Special 6.75
ICBC 6.75
ANZ Special 6.79
ASB Bank 6.79
AIA - Go Home Loans 6.79
Kiwibank Special 6.79
BNZ - Classic 6.79
Unity 6.79
Westpac Special 6.39
China Construction Bank 6.40
ICBC 6.49
SBS Bank Special 6.55
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
ASB Bank 6.55
AIA - Go Home Loans 6.55
TSB Special 6.59
Kainga Ora 6.99
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

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