Where are currencies headed?

[TOM4CWB]

Watching BNN year end specials...
35T added to US money supply by quantitative easing since 2008;
EU still adding stimulus.. negative 1...% central bank rate... still negative!
Deficits... everywhere... in Canada... outside Canada...
China 40-50T added to money supply...
Japan... no better...
Commodities especially oil broke down... demand from Asia down...
CDN$ 73.25... US...headed to???

[farmaholic]

I have no idea!

Just going to think out loud here and prove my ignorance. At what point is it not ok to print money? If the supply is finite in a fast growing and strong economy wouldn't there be a shortage of money at a point? A limited supply couldn't have the velocity in circulation to satisfy the economie's needs. I would think they've gone far past that point already.

What percent of the money supply is squirrelled away in savings accounts? I bet the percentage is miniscule.

What is the debt to money supply ratio now compared to decades ago...is it relative?

Does it matter how much debt there is if there is no chance or willingness that it will ever be paid back?

On the Canuck buck, At what point does a cheap dollar start to harm an exporting based country?

Errol?

[TOM4CWB]

Farma,
How does 'sovereign debt' mean anything... if the central banks [or Fed] just create more liquidity... through 'quantitative easing'?
One would have thought... the US$ with 30+Trillion $ created out of thin air... would be worthless?
Or are the rest of the EU and asian currencies... even more tenuous and of what value???
No wonder our land values are high... they really are not... our commodity prices are just really low!!!
Cheers!!!

I have no idea!

Just going to think out loud here and prove my ignorance. At what point is it not ok to print money? If the supply is finite in a fast growing and strong economy wouldn't there be a shortage of money at a point? A limited supply couldn't have the velocity in circulation to satisfy the economie's needs. I would think they've gone far past that point already.

What percent of the money supply is squirrelled away in savings accounts? I bet the percentage is miniscule.

What is the debt to money supply ratio now compared to decades ago...is it relative?

Does it matter how much debt there is if there is no chance or willingness that it will ever be paid back?

On the Canuck buck, At what point does a cheap dollar start to harm an exporting based country?

Errol?

[the big wheel]

Way too many factors.

Currency value is a relativity of the potential people see in one country compared to another.

In Europe will brexit be good or bad? Will the Muslim migration break the area economically and politically?

Trump gave the oil in the Middle East to the Russians. What effect will this have on European countries or china s demand for oil?

How far has Korea developed their nukes in the last year?

Will trumps policy of giving tax breaks to the super rich trickle down to the middle class somehow or will it cause a revolt if it doesn't? Speaking of which money is concentrated in the hands of so few that they can do things to make markets look better or worse than they are. They start spending the market thinks hey we're on fire but if the middle class cannot survive even with new jobs you can be worse off even if the indicators say the opposite.

If trump gets indicted then what?

Way too many variables to even warrant paying someone to tell you the answer because nobody knows. The only people that know how much money they will make are those rich enough to manipulate everything including governments to fill their own pockets.

[farmaholic]

I wonder what things would look like without the manipulation.

[farming101]

USD in demand. US M0 actually down since 2017. US interest rates rising.
CAD trend is lower

[TOM4CWB]

High US$ has caused lower commodity prices?
Comment that it was year of unexpected US$ strong performance.
US housing in slump.
Will be big demand to rebuild California Houses... Keeping west coast economy hot... and houses in high demand.
Florida rebuild.

USD in demand. US M0 actually down since 2017. US interest rates rising.
CAD trend is lower

[errolanderson]

I have no idea!

Just going to think out loud here and prove my ignorance. At what point is it not ok to print money? If the supply is finite in a fast growing and strong economy wouldn't there be a shortage of money at a point? A limited supply couldn't have the velocity in circulation to satisfy the economie's needs. I would think they've gone far past that point already.

What percent of the money supply is squirrelled away in savings accounts? I bet the percentage is miniscule.

What is the debt to money supply ratio now compared to decades ago...is it relative?

Does it matter how much debt there is if there is no chance or willingness that it will ever be paid back?

On the Canuck buck, At what point does a cheap dollar start to harm an exporting based country?

Errol?

Currencies are extremely difficult to predict due to all the geo-political issues that can immediately impact demand or lack-of. Personally, expect the USD to potentially hit very rough waters in 2019. U.S. is in for a huge economic wake-up call (IMO).

This would provide support for both crude oil, gold and even the loonie. But agree, the CAD likely has to washout further before becoming a solid buy.

As for money printing (QE), this may be eventually seen as a colossal failure in our grandkids history books. The 2019 fallout will show how weakened central bankers have now become. This totally heightens the risk of a lengthy deep recession. Debt does matter . . . big-time. Society and voters will be forced to get their head around this through the pain of markets. Bankers won’t like this at all . . . .

Money printing has had no impact on inflation, a big let-down for Keynesians. But failed central bank policy now has a massive consequence to the next generation and their standard of living.

And debt is so absurd, that rates cannot increase even just a little bit without creating a market train wreck. Recent stock market volatility may be just a sniff of what lies ahead.

[AlbertaFarmer5]

I wonder what things would look like without the manipulation.

There would have been a huge worldwide reset already, lots of pain, many lessons learned and we would be on our way back with healthy growth by now.

[the big wheel]

There would have been a huge worldwide reset already, lots of pain, many lessons learned and we would be on our way back with healthy growth by now.

No actually what would happen is the wealthy would have to burn a few assets but lower income people would lose everything. The wealthy then would own everything although not as valuable but would control even more.

The only thing that will save the middle class or make a new middle class is if it as a group is smart enough to not be hoodwinked, screwed,manipulated. Into thinking any of the current parties owned by the wealthy will do anything for them.
There really needs to be a reset where everyone starts out the same perhaps all with nothing and then go for it. The geniuses have nothing to worry about They will out smart and come up with great ideas and get paid for them. The ones that inherited wealth will be the big losers because most of them only know sitting on their asses and getting free money. The middle class mom and dad workers would thrive. We'd see another type of growth period like never before. But not enough middle class with brains or balls to realize this. Enough are brainwashed and bought off by the puppets so that nothing changes.

[AlbertaFarmer5]

There really needs to be a reset where everyone starts out the same perhaps all with nothing and then go for it. The geniuses have nothing to worry anou They will oh smart and come up with great ideas and get paid for them. The ones that inherited wealth will be the big losers because most of them only know sirringnon their asses and getting free money. The middle class mom and dad workers would thrive. We'd see another type of growth period like never before. But not enough middle class with brains or balls to realize this. Enough are brainwashed and bought off by the puppets so that nothing changes.

As much as I disagree with every other misguided idea of the socialists, this is one I would support. Let them have their way once, redistribute every last asset and currency, eliminate all debt, then let capitalism do what it does best. I'm afraid that the socialists will be very disappointed with the results, and the ambitious will very pleased, net effect on the world economy will be positive. I would be fine with starting out from a level playing field without the burdens we currently toil under.

[bucket]

As much as I disagree with every other misguided idea of the socialists, this is one I would support. Let them have their way once, redistribute every last asset and currency, eliminate all debt, then let capitalism do what it does best. I'm afraid that the socialists will be very disappointed with the results, and the ambitious will very pleased, net effect on the world economy will be positive. I would be fine with starting out from a level playing field without the burdens we currently toil under.

Is there such a thing as a capitalist?

CN looking for government money for its oil pucks. ...

Bombardier always getting government money.....

Churchill rail line just got 100 million...

Ports at West coast got 300 million. ..

Yup real capitalists....for sure...

[the big wheel]

Is there such a thing as a capitalist?

CN looking for government money for its oil pucks. ...

Bombardier always getting government money.....

Churchill rail line just got 100 million...

Ports at West coast got 300 million. ..

Yup real capitalists....for sure...

They're capitalizing on the fact that us duntzes don't have any balls to say anything about it. Hahahaha

[perfecho]

Privatize profit.....socialize losses.....the corps are great at this!

[TOM4CWB]

AlbertaFarmer5;
Isn't 'Quantitative easing'... Socialism in Debt manadement[= Self-Sovereignty]???

Bad Debt... bought by central banks and US fed... THAT WILL NEVER BE REPAID. Japan did it.
China did it... and still is.
EU did it... and still is... plus has negative interest rates.
US did it for 10 years... now at risk of going back negative...
GM, Bombardier, many others got bailed out... Banks biggest gainers... assets all a result of quantitative easing... never to repay any of the bad debt from 2008...

The $100 Trillion... in global money supply... added in the past 10 years... by central banks... is sovereign debt... thin air currency[Quantitative easing]... with exactly WHO.. to repay it [is it owed] too???
NO ONE... OR WHAT DID I MISS???
What does 'TOO BIG TO FAIL ' ... MEAN... REALLY???

As much as I disagree with every other misguided idea of the socialists, this is one I would support. Let them have their way once, redistribute every last asset and currency, eliminate all debt, then let capitalism do what it does best. I'm afraid that the socialists will be very disappointed with the results, and the ambitious will very pleased, net effect on the world economy will be positive. I would be fine with starting out from a level playing field without the burdens we currently toil under.