Country's housing is a story of mismatch, not bubbles: Macquarie

Beijing

CHINA'S housing market is starting to resemble a Bermuda triangle for economists: time and again the smartest forecasters wade in only to get it wrong.

That's the view of Larry Hu, head of China economics at Macquarie Securities Ltd in Hong Kong, who describes the latest talk of a housing bubble in the world's second-biggest economy as a recurring myth.

Instead, rapid price gains in the biggest cities merely reflect underlying de…