DEFLATION: Comin-in strong

[Guest]

What makes me laugh is the 6 or 7 % inflation
Is anyone that simple ?
There isn’t hardly anything that hasn’t gone up 30-50%

[Flatlander]

With inflation dying out, tread long gold positions carefully . . . including copper (IMO).

But but but looking at an a Canadian 1 ounce of gold coin to purchase at a Vancouver bullion and coin shop it will cost you $2711 loonies. How does that not show inflation, or how it can protect purchase power for Canadians?

[ajl]

What makes me laugh is the 6 or 7 % inflation
Is anyone that simple ?
There isn’t hardly anything that hasn’t gone up 30-50%

Paid $11 for 540 Gly at Christmas time and that was too much as I am hearing $9/L now. Paid $16.50 last spring. Glad I did not book fert as 20% cheaper than that time now. Was quoted $1100 for spring urea then. Unloaded oats from truck in December for 4.25 and quoted $4 yesterday for more of the same. Will stay in bin. Truck shopping with salesmen calling back. Looking for a used tractor and found 6 that could fit the bill. Filled car with gas this past week $1.179 Looks like deflation to me.

[errolanderson]

Paid $11 for 540 Gly at Christmas time and that was too much as I am hearing $9/L now. Paid $16.50 last spring. Glad I did not book fert as 20% cheaper than that time now. Was quoted $1100 for spring urea then. Unloaded oats from truck in December for 4.25 and quoted $4 yesterday for more of the same. Will stay in bin. Truck shopping with salesmen calling back. Looking for a used tractor and found 6 that could fit the bill. Filled car with gas this past week $1.179 Looks like deflation to me.

And watch for big bank layoffs . . . Easy money days for lenders are over, credit crunch, deflation.

[Hamloc]

And watch for big bank layoffs . . . Easy money days for lenders are over, credit crunch, deflation.

Diesel price at the pump today in Alberta $1.75-$1.80 per litre. Listening to Dan McTeague of Canadians for affordable Energy on the Roy Green show yesterday, he made a good point. Food, rent and mortgages are still getting more expensive. The average Canadian isn’t seeing inflation going down. Certainly I agree with Ajl, certain commodities like gasoline, fertilizer, natural gas, some grains(not barley yet surprisingly) have moderated. April 1 the Canadian carbon tax goes up another 30%. That and government energy policies will keep the price of energy high. I think later this year the carbon tax portion of your natural gas heating bill will exceed he cost of the natural gas. The tax will be $3.41 a gigajoule on April 1, Alberta natural gas price is getting close to this number. As well workers are demanding higher wages, this will lock in inflation to a certain extent. Inflation will be tough to tame in certain sectors in my opinion.

[biglentil]

A market crash that dwarfs March of 2020 maybe just around the corner. The chart for nominal bond yields of the 10yr minus 2yr is the best leading indicator of such events. Its signalling a doozy. However it could be the type of event you wish you had stocked up on canned beans and toilet paper. The banks could be in big trouble. From what im hearing its already brewing in the US. The bailouts would be many many fold larger than 2008, 10's of trillions. Deflation suggests a return to confidence in the purchasing power in the dollar, confidence is very very hard to regain once lost, however if there are opportunities dont blink. Like the 2008 crash opportunities wont last but weeks.

[errolanderson]

The bell tolls . . . .

[crusher]

Or not. Things may go sideways, up, down. There is always opportunity, just have a plan and your risk tolerance in mind. Cheers! Don't let the naysayers drag down a solid idea.

[errolanderson]

Collapse or capitulation of natural gas has been stunning over the past few weeks. Late fall, natural gas futures were pushing $10/MMBTU. Today, breaking $3 and taking aim @ long-term support of $2.50/MMBTU.

Have yet to hear a media story about this . . . .

[wheatking16]

Collapse or capitulation of natural gas has been stunning over the past few weeks. Late fall, natural gas futures were pushing $10/MMBTU. Today, breaking $3 and taking aim @ long-term support of $2.50/MMBTU.

Have yet to hear a media story about this . . . .

It must be good news......

[errolanderson]

It must be good news......

Lower gas prices is good news for consumers. It must have to be bad news . . . . Media reporting hasn't been worse in my career.

[sumdumguy]

I hope this time around Sask Energy is locking in these prices. It won’t always be in da dumps.

[Hamloc]

Well I am going to give everyone a good laugh today. Stopped at UFA to buy cat litter for my barn cats. The last time I bought it, roughly a month ago it was $18.98 for the 40 lb. bag I buy. Today same exact brand and size $21.98, this is up from the $12.98 I would have payed 2 years ago. Still looking for this mythical deflation!!

[errolanderson]

Well I am going to give everyone a good laugh today. Stopped at UFA to buy cat litter for my barn cats. The last time I bought it, roughly a month ago it was $18.98 for the 40 lb. bag I buy. Today same exact brand and size $21.98, this is up from the $12.98 I would have payed 2 years ago. Still looking for this mythical deflation!!

If market price action were a family . . . . INFLATION would be the bubbly, carefree, somewhat reckless one . . . DISINFLATION, likes to party, but is cautious, knows limitations. . . DEFLATION, is careful with money somewhat recluse . . . and then there’s GOUGING, well, nobody talks about gouging.

[Old Cowzilla]

GOUGING might be a mild term my daughter's Toronto apartment 10 months ago was $1550 /month when she moved now when she checked this month same place is $2200. $1550 at % 8 inflation =1674 not 2200. This is what a lot of folks are dealing with these days in the higher population areas. The level of hurt has a long way to go yet I'm afraid.