Stocks - The Best Buys 2

[DoubleK]

RIP Hut8

[Calgary]

Nvdia with a very wild day. They always seemed overvalued. Almost too good to be true. Curious to see what the coming weeks bring.

[Calgary]

Just like that it's back up almost 10%

[Fire]

Selling some Canadian investments in case Trump goes through with the tariffs which would probably cause a recession. My Canadian exposure was way to high anyway. Even if Trump doesn't tank the Canadian economy I will re-invest it outside of Canada in the future.

[Shazam]

I had XAW for many, many years.

[Fire]

Originally Posted by Shazam

I had XAW for many, many years.

I recently bought some XAW as well.

[DoubleK]

XAW is a core holding for me

[puckedoff]

I think that the enhanced CPP measures should be optional for people making over some threshold. If you make $200K/year, you are able to save for your own retirement and should not need to contribute (and, if you don't contribute should not be eligible for the increased CPP payments).

[Shazam]

Originally Posted by puckedoff

I think that the enhanced CPP measures should be optional for people making over some threshold. If you make $200K/year, you are able to save for your own retirement and should not need to contribute (and, if you don't contribute should not be eligible for the increased CPP payments).

That's like the exact opposite of what they want.

CPP is a terrible investment. Buying a short-term corporate bond ETF will make you more.

[bizaro86]

Originally Posted by Shazam

That's like the exact opposite of what they want.

CPP is a terrible investment. Buying a short-term corporate bond ETF will make you more.

The math on enhanced CPP is much better than regular CPP. I spent a bunch of time on it when they announced it, because I thought if was as bad as regular cpp I might take the risk of going 100% dividends instead of salary to opt out of paying it.

But the enhanced cpp works out to like a 4-6% return on contributions for the range of assumptions I used. Not spectacular or anything, but acceptable.

Using the same set of assumptions my regular cpp contributions are like 0%-1% or something.

The difference is the enhanced contributions don't include a bailout of all the folks who underpaid for their cpp for decades.

[Shazam]

You don't have to go 100% dividends, you just need to give yourself employment income right up to the CPP+ threshold.

[Johnny199r]

Will be interesting to see the tariff’s effect on the markets. I’m guessing it won’t be pretty on Monday morning.

[Slava]

Originally Posted by Johnny199r

Will be interesting to see the tariff’s effect on the markets. I’m guessing it won’t be pretty on Monday morning.

It’ll be interesting because on some fronts this appears to be priced in, or have a smaller impact. Looking at energy, with the decrease in CAD, the turnarounds in the spring and some decline in share price over the past number of weeks, a lot of that 10% is baked in from where I’m sitting.

In other areas, you could see the impacts being considered ahead of time as well. And then we have some sectors where there really isn’t a direct impact (overall economic impact is another issue). The economic impact for things like GDP is more of a consideration for longer term tariffs. I think it’s hard to know what we’re dealing with on that front.

[PaperBagger'14]

Originally Posted by Johnny199r

Will be interesting to see the tariff’s effect on the markets. I’m guessing it won’t be pretty on Monday morning.

My expectation would be a strong dip so what’s actually gonna happen is they’ll pop for a day and crater on Tuesday.

[GGG]

It dropped 1% on Friday. My bet would be an initial sell off followed by almost recovering so less than 1% drop at close of day Monday but a wild ride.

[Fire]

I was expecting the TSX to start dropping for a while because of the tariff threat but I haven't seen much of that except on Friday. My pure guess is that the TSX drops 5 to 10 percent next week.

[Fuzz]

Originally Posted by GGG

It dropped 1% on Friday. My bet would be an initial sell off followed by almost recovering so less than 1% drop at close of day Monday but a wild ride.

I suspect we see sustained drops all week. I don't think this is a recoverable blip.Canadian markets will be down 5-10% by the end of the week, and the dollar probably down 2-3 cents.

[Slava]

Originally Posted by Fire

I was expecting the TSX to start dropping for a while because of the tariff threat but I haven't seen much of that except on Friday. My pure guess is that the TSX drops 5 to 10 percent next week.

The TSX hasn’t dropped much since tariffs were announced and this past week it was positive. I think on both sides of the border that a lot of “us” were working on the assumption that Trump was all bluster. I still think a 5-10% drop would be a lot though.

Originally Posted by Fuzz

I suspect we see sustained drops all week. I don't think this is a recoverable blip.Canadian markets will be down 5-10% by the end of the week, and the dollar probably down 2-3 cents.

I think the 10% in energy is largely baked in. I say that because of the CAD decline and the turnarounds that will reduce production. I also think that there are questions about the duration of these tariffs (no one knows, obviously), but the longer term they are, the more damaging. The weakened dollar also helps to mute the tariff issue though, as our products get that much more attractive to US buyers.

[Manhattanboy]

I guess it’s unpatriotic to go long in the US dollar or short the Canadian dollar? Kind of like betting against the Flames?

[Nancy]

Originally Posted by Manhattanboy

I guess it’s unpatriotic to go long in the US dollar or short the Canadian dollar? Kind of like betting against the Flames?

Better act fast. CAD$ is at 0.678 right now.