Markets Falling

[shithead]

Gold and oil have dropped significantly in the last two days.

TSX and DOW have taken big hits.

Anyone lose any money??

I have an inlaw that did.

Think they will turn around soon?? the TSX has already dropped 5% this year!

They are blaming it on stagflation.

[Bowlcut]

Short term people may have lost money, but long term things look really good for commodities. The Chinese are increasing demand for hogs, and do not forget oil and gold are still WAY up from the prices they were a year ago.

Smart investors started shorting US homebuilding stocks well over a year ago when the first signs of this credit squeeze started to really emerge.

[Durk]

What do you guys think is going to happen to manufacturing in canada? That is what I am really worried about.

[Tystix]

I can tell ya anyone interested in buying mutual funds...nows the time

[physique]

What do you guys think is going to happen to manufacturing in canada? That is what I am really worried about.

move to china and beg for a job that pays u more then slum wages. writtings on the wall, everything will be made there soon.

[shithead]

Things happen so fast you can see how insider trading/info can be so profitable. The report was released tuesday morning on poor december US retail sales and lots of people jumped ship. If ya could results of the report on monday and sold high and bought back in at low.
WOW!

Ya my brother inlaw didnt sell a thing this time. He has a bunch of advisers that help him, but he's always on the CPU anyway. He doesnt "work" so to speak.

[Durk]

:(

[Anatomy]

What do you guys think is going to happen to manufacturing in canada? That is what I am really worried about.

need to drop the value of the CDN$. interest rate cut please

[Bowlcut]

need to drop the value of the CDN$. interest rate cut please

Not necessarily. Canadian productivity is shit and that is where we drastically need to improve. CBC Newsworld had some stats and basically while American productivity increased around 15% the Canadian was around 3%.

The central bank cant really lower interest rates because inflation is already too high in Alberta and to a lesser degree Sask, and that will only make it worse.

What needs to happen in Alberta is a freeze on new capital projects (they don't have enough workers already so why approve new ones?) so that the Bank of Canada can lower interest rates and not have to worry about inflation.

Another key to helping manufacturing in Canada is increasing energy efficiency, especially in Ontario where the government does not subsidize energy (Quebec sells hydro at 60% of market value). Less money spent on energy = lower costs of production = cheaper goods.

Long story short blue collar jobs are going away in this era of "free trade" and the "global economy" and are being replaced by low wage service sector jobs. Going from $65K a year at the Ford plant to $30 at Tim Hos is a slap in the face.

[bigben]

So when should I make a contribution to my 2007 RRSP? I've been holding the cash and waiting, but how do you know when??

[tony_canuck]

So when should I make a contribution to my 2007 RRSP? I've been holding the cash and waiting, but how do you know when??


you can make a contribution but put it in a money market, gic or short term bond until you decide where to invest.

our manufacturing sector is in big trouble, but if the US goes into a heavy recession combined with our high dollar, watch out below.

[faller]

So when should I make a contribution to my 2007 RRSP?

Never!! Unless you desperately need a tax deferral.

[bigben]

Never!! Unless you desperately need a tax deferral.

Explain, why not take advantage of the tax deferral?

[faller]

Explain, why not take advantage of the tax deferral?

There's absolutely nothing wrong with taking advantage of the tax referral, for the short term. When a tangible investment comes along, ie: income bearing realestate, pull your RRSP out and reinvest. Yes you now pay taxes on that money but the tax advantages from realestate far out way any tax savings from an RRSP.

We've been doing this now for 9 years and our real estate investments are market valued at 1.5 mill., all being paid for by our tenants, AND we virtually pay no taxes. Our RRSP's wouldn't come even close.

My number one reason for thinking RRSP's are a poor long term investment is they are registered with the Government. I just don't trust them, they will and do change the rules to suit their parasitcal needs.

[bigben]

Thanks Faller. Sounds like you are making wise investment choices.

[Freebsd1977]

Not necessarily. Canadian productivity is shit and that is where we drastically need to improve. CBC Newsworld had some stats and basically while American productivity increased around 15% the Canadian was around 3%.

The central bank cant really lower interest rates because inflation is already too high in Alberta and to a lesser degree Sask, and that will only make it worse.

What needs to happen in Alberta is a freeze on new capital projects (they don't have enough workers already so why approve new ones?) so that the Bank of Canada can lower interest rates and not have to worry about inflation.

Another key to helping manufacturing in Canada is increasing energy efficiency, especially in Ontario where the government does not subsidize energy (Quebec sells hydro at 60% of market value). Less money spent on energy = lower costs of production = cheaper goods.

Long story short blue collar jobs are going away in this era of "free trade" and the "global economy" and are being replaced by low wage service sector jobs. Going from $65K a year at the Ford plant to $30 at Tim Hos is a slap in the face.

I stopped reading where you mention CBC. You actually listen to that bloat network? Please Ottawa, save us taxpayers and kill the CBC tax fund handouts.