A video from a youtuber not know for these videos and more about educational videos. Relate to US economy but just as other graphs the Canadian money printing looks essentially the same
It's hard to take anything that guy says seriously when he doesn't seem to realize (or does, but it is misrepresenting the data) that the definition of M1 changed in early 2020. His chart shows a massive jump in May 2020 which was the result of M1 starting to include savings deposits where it didn't before. M1 jumped from ~$4B to ~$16B overnight as a result.
Also, his chart is in 1983 constant dollars, but he's talking like they're actual amounts that are relevant in 2010-2022 (i.e. "between 2010 and 2015 we printed approximately $1 trillion").
People who know more than me. How much is the price at the pump related to the fact that the US army is no longer in Iraq?
Not much at all.
OPEC made the decision to cut output during the pandemic, as the demand for oil fell off a cliff. They had a plan to slowly increase output back to pre-pandemic levels. The Russian war caused a shock to the oil markets, and OPEC is now increasing production much faster than originally planned. It's still not fast enough.
On top of oil demand/supply issues, there has also been genuine inflation caused by low interest rates and massive covid stimulus. Our dollar is genuinely worth less now, and oil prices will not go down to where they were.
The Iraqi oil industry is actually in a pretty stable place:
I was having this conversation with a friend of mine. At what point is it not transitory? Like lets say that some of the supply issues start to ease in the second half of this year. We had say 1.5 years of inflationary pressures (it's all kind of rough timelines), is that not transitory?
Yeah, that amount of money that everyone was up in arms about in 2008-09 is paltry in comparison, no question. But again, what would you have had them do in March 2020? Once the decision was made to put the economy into hibernation (which was completely uncharted territory(, there weren't many choices aside from sending out a lot of cash. If that doesn't happen, you almost certainly get civil unrest as people are starving and have no way to provide for themselves.
No one said it was wrong, just that there are consequences.
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I was having this conversation with a friend of mine. At what point is it not transitory? Like lets say that some of the supply issues start to ease in the second half of this year. We had say 1.5 years of inflationary pressures (it's all kind of rough timelines), is that not transitory?
I would argue that if ongoing inflation were to get back under 3% within a couple years or so, that would qualify as transitory - just a post-Covid blip.
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I would argue that if ongoing inflation were to get back under 3% within a couple years or so, that would qualify as transitory - just a post-Covid blip.
It seems a more likely scenario is a big crash in prices as stock market collapses, layoffs and other economic hardships will crater demand and prices. We're probably looking at deflation by next year.
Just from the news this morning that 1 out of 4 homeowners will have to try to sell if interest rates go up further. Which we should expect from the Bank of Canada as they try to fight inflation
TORONTO - Nearly one in four homeowners say they will have to sell their home if interest rates go up further, according to a new debt survey from Manulife Bank of Canada.
The survey, conducted between April 14 and April 20, also found that 18 per cent of homeowners polled are already at a stage where they can't afford their homes.
Over one in five Canadians expect rising interest rates to have a "significant negative impact" on their overall mortgage, debt and financial situation, the survey found.
Its also expected that the real estate market is going to cool down significantly
At the pump with the summer maintenance season coming up as well as vacation travel demands that gas will increase quite a bit.
From May, Food inflation is 9.7 percent overall with meats increasing by 10%, and things like Pasta by 20%.
Many Canadians are having to alter or sacrifice some of their living and eating habits as rising food costs nip at their wallets.
Last week, Statistics Canada reported that Canadians paid 9.7 per cent more for food in April 2022 than a year prior, while average hourly wages rose by about 3.3 per cent year-over-year.
Basic foods like fresh fruit have jumped by 10 per cent, while pasta prices have spiked by nearly 20 per cent.
Statistics Canada places the blame on the Russian invasion of Ukraine mingled with rising fuel costs.
I mean right now its a perfect storm of suck and consumer hammering, and its likely not going to change for quite a while.
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It seems a more likely scenario is a big crash in prices as stock market collapses, layoffs and other economic hardships will crater demand and prices. We're probably looking at deflation by next year.
I'll take that bet.
One, or maybe two quarters of declining prices? Maybe. Deflation? Very unlikely.
It seems a more likely scenario is a big crash in prices as stock market collapses, layoffs and other economic hardships will crater demand and prices. We're probably looking at deflation by next year.
I was watching the news this morning and it looks like the TSX is getting a bit hammered today, especially around energy stocks and precious metals.
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My name is Ozymandias, King of Kings;
Just from the news this morning that 1 out of 4 homeowners will have to try to sell if interest rates go up further. Which we should expect from the Bank of Canada as they try to fight inflation
It's across the board. The TSX and the S&P500 are both down 2.5%.
Crypto, some tech, and O&G as well, are all doing worse. As are some other areas.
No surprise on Crypto, that has been adjusting downwards for a while. But it was hyper over valued.
Oil and Gas I don't know if that was really unexpected at all. But clearly confidence has gone shaky, I was reading that there is a strong move to safer investment vehicles like bonds, and currency.
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It's hard to take anything that guy says seriously when he doesn't seem to realize (or does, but it is misrepresenting the data) that the definition of M1 changed in early 2020. His chart shows a massive jump in May 2020 which was the result of M1 starting to include savings deposits where it didn't before. M1 jumped from ~$4B to ~$16B overnight as a result.
Also, his chart is in 1983 constant dollars, but he's talking like they're actual amounts that are relevant in 2010-2022 (i.e. "between 2010 and 2015 we printed approximately $1 trillion").
Oh I pulled that chart from another site, it would be me that doesn't understand lol.
Curious to hear what people are receiving this year for a raise and if employers are recognizing the huge rise in prices that their employees are facing. We finally received our first increase in 8 years. Cost of living increase and it was 3%.
as usual, my wage increase is 0. (and I'm a union worker)
it's been 0 for years. The union has managed to maintain most of our benefits, so I am thankful for that.
Still 6 Trillion in 2 years I guess but less than the M1 shock graph
Which is a ~33% increase in 2 years. That's not that far out of line with other historical examples. It's high, but not something that's completely unprecedented. The video you linked was claiming the last 2 years saw 3x the increase in money supply that we saw between 2010 and 2015, but that's not even close to being correct.
