Inflation : 40 Year High

[Warhippy]

16 hours ago, nuckin_futz said:

@WarhippyHow do you default on anything when you have a printing press? Unless you're one of those s-hole countries and your debt is denominated in USD. In that case you can still print dough. You'll just wind up devaluing your currency.

 

If $200 bucks in additional expenses will destroy 53% of people and ruin the economy the government will step in with stimulus cheques. You can bank on that. It's always their 'go to' move. Reminds me of that Led Zep lyric from 'Livin Lovin Maid' it goes "when your conscience hits you, knock it back with a pill". When the bills come due govts always print.

 

Covid in China is a wild card. But they will stomp it out by any means. Plus I believe it's Omicron going around there. They will get through it quickly. Same as we did. I think the worst of Omicron in most countries was something like 6 weeks.

 

Iceland isn't a good example. What they did was just plain stupid. A sleepy little country in the middle of nowhere who's main industry was fishing tried for some reason to become a banking power. It ended as it always gonna end by going kaboom.

 

It was Thailand you're thinking of. Only it wasn't 2008 and wasn't connected to Lehman. It was what started the Asian Financial Crisis in 1997. Thailand had their currency pegged to the USD. IE) at a fixed rate that didn't move. One day they removed the peg and let it float freely. It set off a chain of events where many of the Asian 'Tiger' economies saw their currencies get absolutely pummelled. With so much of finance being global (even back then) it set off a global chain of events that had over leveraged people running for their financial lives.

 

It's funny because the total amount of capital that fled was about $100 Billion dollars. Nowadays that is complete chump change. The Fed can create that in no time, and they do.

 

In 2015 there was another example of a clueless central bank creating chaos. The Swiss had their currency the 'franc' pegged to the Euro at a rate of 1.20. The peg was in place for 3 years. When all of a sudden in what was the middle of the night in New York they abandoned the peg without a word of prior warning. Just put out a simple press release that said something like 'effective immediately we are abandoning the peg to the Euro'. What ensued was absolute chaos.

 

The Swiss franc is one of the 5 main currencies in the world. Not exactly the Thai Baht.

 

 

 

Love your responses, I'll try to go line by line here.

 

I am still wildly under qualified to understand this or BS my way through it.  but wouldn't printing money only further exacerbate the inflation issue?  To my knowledge it's been the decades long printing of money since 2008 that has affected the US and in part Canada.  Add in the covid spending and wouldn't more only add one more straw to the poor camel?

 

The article suggested that 53% of all people polled were within $200 of insolvency.  That was 1 year ago.  Everything now is that much higher and we now deal with fuel price shocks and rising rates to boot.  Should the government step in, wouldn't that again; further exacerbate the issue because the likelihood of people getting that money over banks, mortgage lenders and companies like Zillow (whom I loathe for furthering this issue via iSales and digital investment flipping) is minimal.  It just again appears to me that this would only furhter inflate the bubble and exacerbate the issue.

 

China for only 6 weeks might be the best possible scenario.  But what would even 2+ weeks of almost no manufacturing or production let alone shipping from China cause the current supply issues?  6 weeks with the building costs and supply issues existing would be even more pressure on an already over burdened system.  Their variant is Omicron BA.2 which is what is hammering European countries and Africa right now.  All told incredibly transmissible but also having a higher mortality rate than OMicron itself did.  So this could go either way

 

Iceland was interesting, and you're right I DID get that mixed up.  it was their entrance in to the British markets that really hit them hard.  Thanks for the correction on that.  But the failure of their banks in the UK did not help anyone that's for sure.

 

That's again correct.  Again, thanks for the correction.  I remember studying this in university.  One single series of small time share/resort developments went teets up and it toppled everything for months.  Looking at how interconnected everything is now and after 2008 was enough changed?  Didn't the US rescind numerous laws and acts to prevent this under Trump?  Didn't Boris also do the same rescinding of protections in the UK?  What would happen if a similar shock were to hit with all the current existing issues right now in the world?

 

I do not know what the difference in decades are but $100 billion in 1997 but if the calculator I am looking at is right it suggests just over $176 billion in todays dollars.  But that's not entirely accurate because it's not just a dollar value it's the entire failure to follow if I recall.  What would happen if Evergrande in China outright failed or Zillow in the US or another major property holder with todays issues?  I don't want to consider it but I feel it can't be good.

 

I forgot about the Franc issue.  Was not totally up to speed on that but wow.  Seems like case of shooting yourself in the foot doesn't it?

 

My whole basis for these statements revolves around how over taxed everything already is.  From personal debt levels in Canada.  Suggestions of insolvency with minimal increases.  Committing to further acts to further produce or forward these issues. It's not looking good man and while I am the least qualified person to make these claims I do question how badly things could get with even one or two issues popping up and what kind of cascade they could have.

 

Rates HAVE to increase and 3% is a low estimate if what I am reading is accurate.  That increase on top of food, fuel, construction, housing increases and enormous debt levels where even companies are having troubles paying their credit off makes me nervous.

[Bure_Pavel]

16 hours ago, 24K PureCool said:

Oh yeah for sure. I'm looking for a new job now partly because my company is parading around a 2% increase like they are saints while others in the field are giving out 10% increases left and right not to mention the stinginess of giving out laughable equity compensation. Do they really think a 10 stock per year equity priced at well below $100 is gonna make me hesitate from leaving? 

 

My co-workers all laughed how the 'pay bump' will barely cover gas to drive into the office let along the insane increase in cost of living that is making us the second most un-affordable place to live in North America right after Vancouver. 

Yeah inflation is probably closer to 10% than 2% right now and that doesn't include the yearly increase you should get if you are improving at your job. At these levels 15% yearly raise is probably fair if you are getting better at your job.

[Bure_Pavel]

16 hours ago, Alflives said:

As interest rates spike housing prices will collapse.  We could see a 50 - 70 % adjustment in housing prices in markets like here.  1.3 mil will become 500 k.  Prices in some areas could come down even more.  A lot of home owners will be handing their keys to the banks.  The banks will then sell those homes at greatly reduced prices (taking losses) but write of those losses anyway.  The middle class will pay the freight for the next economic collapse.  

I wouldn't hold your breathe for that kind of collapse in the house market especially anywhere near Vancouver. Will probably come down temporarily by 20-30% but too many foreign investors eyeing opportunities to fall 50-70%.

[Warhippy]

1 minute ago, Bure_Pavel said:

Yeah inflation is probably closer to 10% than 2% right now and that doesn't include the yearly increase you should get if you are improving at your job. At these levels 15% yearly raise is probably fair if you are getting better at your job.

This has been my wife's experience over the past 2 years.

 

On 3/22/2022 at 1:18 PM, Warhippy said:

I only ask because my wife is and has been with the same company (Telus) for years after her company was bought by them.  Her average, annual increases are honestly less than 1.6% and she has looked and can start a new position, same work in a different company; corporation with benefits for almost $14k more a year.  There's a lot of stories floating out around just that in which people giving years aren't getting anything back so they risk their job security for more pay and it either works out; or it doesn't and it leaves people jobless without benefits.  So my question about it being across the board, is; is it really that universal?  I know that my wifes annual increases seem to be in keeping with inflation but they're really not.

The great resignation is happening and rightfully so.  people can leave companies they've been at for a decade and make ridiculous amount more with similar benefits because companies need to hire new people and people won't work for pennies anymore.

 

Like, being with Rogers and watching your monthly bills increasing for zero increase in service, but watching new Rogers customers get lower bills, better service, monthly credits for X amount of months AND a new tablet or TV.  But when you call and try to get your bill reduced you get told "I understand" and that's it.

[Warhippy]

Just now, Bure_Pavel said:

I wouldn't hold your breathe for that kind of collapse in the house market especially anywhere near Vancouver. Will probably come down temporarily by 20-30% but too many foreign investors eyeing opportunities to fall 50-70%.

Something the government  will want to put a serious law in place for.  Once things do slow down, or correct a great deal of these places will be purchased by foreign investors like the Zillow gang.

 

We do NOT want to see that happen here if it can be avoided.

[Bure_Pavel]

1 minute ago, Warhippy said:

Something the government  will want to put a serious law in place for.  Once things do slow down, or correct a great deal of these places will be purchased by foreign investors like the Zillow gang.

 

We do NOT want to see that happen here if it can be avoided.

There just seems to be way too many loopholes in the system to really stop it from happening. 

[Warhippy]

13 minutes ago, Bure_Pavel said:

There just seems to be way too many loopholes in the system to really stop it from happening. 

It was kind of designed that way wasn't it?

 

One of the most vicious take downs I've seen in recent memory was a local town council meeting where some blue hair was whining about the Liberals and a younger gal stood up and told her if she didn't like the way things work that she shouldn't have voted for it when she was her age.  That much of the issues people of the older generation are complaining about are issues they created.

 

To be fair, she wasn't exactly wrong.

 

But this is something that would need to be done pro-actively because once a crash or correction happens these homes/units/complexes will go en masse to companies like Zillow and iSales.

 

 

[nuckin_futz]

1 hour ago, Warhippy said:

Love your responses, I'll try to go line by line here.

 

I am still wildly under qualified to understand this or BS my way through it.  but wouldn't printing money only further exacerbate the inflation issue?  To my knowledge it's been the decades long printing of money since 2008 that has affected the US and in part Canada.  Add in the covid spending and wouldn't more only add one more straw to the poor camel?

In theory yes inflating the monetary supply should lead to inflation. However they have been rapidly inflating the monetary supply for 12 years and inflation never picked up. Me and some buddies of mine have been waiting for this inflation event for ten years. It looked like the inflation model was completely broken and then voila here's your inflation and then some. The Covid spending was what pushed this over the edge. Along with the supply chain issues that resulted. Covid created a perfect storm of too much cash in the system chasing too few products.

 

1 hour ago, Warhippy said:

 

The article suggested that 53% of all people polled were within $200 of insolvency.  That was 1 year ago.  Everything now is that much higher and we now deal with fuel price shocks and rising rates to boot.  Should the government step in, wouldn't that again; further exacerbate the issue because the likelihood of people getting that money over banks, mortgage lenders and companies like Zillow (whom I loathe for furthering this issue via iSales and digital investment flipping) is minimal.  It just again appears to me that this would only furhter inflate the bubble and exacerbate the issue.

Should the government step in? That's the moral dilemma. But government has no morals. So of course they will step in. Yes, it will further inflate the bubble. Look back to 1928 to mid 1929 there were people sounding the warning bells. They were regarded as buzz kills and the bubble got pushed until it burst. History often repeats itself. Stay tuned.

 

1 hour ago, Warhippy said:

 

China for only 6 weeks might be the best possible scenario.  But what would even 2+ weeks of almost no manufacturing or production let alone shipping from China cause the current supply issues?  6 weeks with the building costs and supply issues existing would be even more pressure on an already over burdened system.  Their variant is Omicron BA.2 which is what is hammering European countries and Africa right now.  All told incredibly transmissible but also having a higher mortality rate than OMicron itself did.  So this could go either way

I don't see Covid in China getting completely out of control. They are quick to enact shutdowns.

 

1 hour ago, Warhippy said:

 

Iceland was interesting, and you're right I DID get that mixed up.  it was their entrance in to the British markets that really hit them hard.  Thanks for the correction on that.  But the failure of their banks in the UK did not help anyone that's for sure.

 

That's again correct.  Again, thanks for the correction.  I remember studying this in university.  One single series of small time share/resort developments went teets up and it toppled everything for months.  Looking at how interconnected everything is now and after 2008 was enough changed?  Didn't the US rescind numerous laws and acts to prevent this under Trump?  Didn't Boris also do the same rescinding of protections in the UK?  What would happen if a similar shock were to hit with all the current existing issues right now in the world?

Yeah Iceland was a chain reaction. Under Trump numerous regulations were eliminated. That's kind of the Republican mantra. Let business do whatever it wants and business will regulate itself. Well if you let the fox guard the hen house eventually some hens wind up as dinner.

 

2008 was as bad as it was (and it was a calamity) because of the amount of leverage in the system. Bear Sterns was the first to face a liquidity crunch. Some of their holdings were leveraged as high as 33:1. Meaning for every dollar they were investing they were borrowing $33. That it nuts.

 

Nowadays banks are subject to regular stress tests. Where models are run simulating a 'wheels off' type scenario. The banks have to have enough cash reserves to ride out the storm. If not they have to de-leverage and divest of some assets. Not sure about BoJo but wouldn't surprise me.

 

1 hour ago, Warhippy said:

 

I do not know what the difference in decades are but $100 billion in 1997 but if the calculator I am looking at is right it suggests just over $176 billion in todays dollars.  But that's not entirely accurate because it's not just a dollar value it's the entire failure to follow if I recall.  What would happen if Evergrande in China outright failed or Zillow in the US or another major property holder with todays issues?  I don't want to consider it but I feel it can't be good.

 

I forgot about the Franc issue.  Was not totally up to speed on that but wow.  Seems like case of shooting yourself in the foot doesn't it?

I would use the DOW as a multiplier. In 2007 the DOW was roughly 8,000, now it's 35,000. That's an increase of 450%. I'd use that as the equivalent. So that $100B would equal about $450B. That's just how I would extrapolate it. That's not official or anything.

 

China won't let Evergrande completely blow up. They will somehow engineer a soft landing. Or they will just magically change the rules/law to suit whatever is in the interest of the CCP.

 

1 hour ago, Warhippy said:

 

My whole basis for these statements revolves around how over taxed everything already is.  From personal debt levels in Canada.  Suggestions of insolvency with minimal increases.  Committing to further acts to further produce or forward these issues. It's not looking good man and while I am the least qualified person to make these claims I do question how badly things could get with even one or two issues popping up and what kind of cascade they could have.

 

Rates HAVE to increase and 3% is a low estimate if what I am reading is accurate.  That increase on top of food, fuel, construction, housing increases and enormous debt levels where even companies are having troubles paying their credit off makes me nervous.

I am of the opinion that the party will last a good while longer. I think governments can and will keep plowing headlong into debt for at least another ten years. We're currently in a bubble but it will get to a super bubble before popping. Ever see one of those videos of a guy blowing up a hot water bubble? You're sure it's about to pop and then it doubles in size. Or like playing Jenga. When you are first certain it's about to collapse another 20 turns happen and it gets way higher before it eventually falls.

 

I think this economy handle rates of 3% or a bit higher. As long as they don't remain there for too long. If things happen gradually the system can make adjustments. If rates were to go nuts and shoot up to 10% real fast then you need extraordinary measures to put out the fire if it's even possible to put it out.

 

[Warhippy]

28 minutes ago, nuckin_futz said:

In theory yes inflating the monetary supply should lead to inflation. However they have been rapidly inflating the monetary supply for 12 years and inflation never picked up. Me and some buddies of mine have been waiting for this inflation event for ten years. It looked like the inflation model was completely broken and then voila here's your inflation and then some. The Covid spending was what pushed this over the edge. Along with the supply chain issues that resulted. Covid created a perfect storm of too much cash in the system chasing too few products.

I think you and myself and a few others have had discussions about the party ending here and there before.  Continuing to push the party to another venue or a later hour and never ending it.  It has to end some time and usually when parties that long end, the hangover is violent.  I can't see how it sustainable and if there's another reason to print money; how it doesn't finally collapse

 

28 minutes ago, nuckin_futz said:

Should the government step in? That's the moral dilemma. But government has no morals. So of course they will step in. Yes, it will further inflate the bubble. Look back to 1928 to mid 1929 there were people sounding the warning bells. They were regarded as buzz kills and the bubble got pushed until it burst. History often repeats itself. Stay tuned.

The thing is, aren't we seeing the same issues that we saw in the 70's that lead to a lot of the issues with hyper inflation and 20% ish interest rates in the 80's?  Housing.  Energy.  Inflation.  Supply issues.  The issues of the 80's were a decade in the making.  Any level of government intervention will only make things worse.  The intervention in the real estate markets might be part of it.  Conflict in Ukraine another.

 

28 minutes ago, nuckin_futz said:

I don't see Covid in China getting completely out of control. They are quick to enact shutdowns.

They have been quick yes.  But, 2 weeks or 6.  Another break in the chain with a virus this transmissible will still be a serious issue because 2 weeks and 3 cities could turn in to 60 weeks and a dozen cities very quickly.  We're already suffering under the lack of goods and supply.  

 

28 minutes ago, nuckin_futz said:

Yeah Iceland was a chain reaction. Under Trump numerous regulations were eliminated. That's kind of the Republican mantra. Let business do whatever it wants and business will regulate itself. Well if you let the fox guard the hen house eventually some hens wind up as dinner.

The relaxing of those laws or regulations has no doubt caused a lot of issues allowing others to continue the excess that lead to 2008.  The alarm bells were loud and frequent and then those people were finding themselves replaced at their positions.  I wonder why?

 

28 minutes ago, nuckin_futz said:

2008 was as bad as it was (and it was a calamity) because of the amount of leverage in the system. Bear Sterns was the first to face a liquidity crunch. Some of their holdings were leveraged as high as 33:1. Meaning for every dollar they were investing they were borrowing $33. That it nuts.

So that's just banks at a 33:1 ratio?  what about people?  What happens when consumers finally run out?  With $1.70+ owed for every dollar brought in on credit alone; without mortgage, lines of credit or reverse home loans factored in what happens to them when they default en masse?  I know full well banks and business will be protected.  But what about the little guys who were forced or exceeded their abilities to borrow?

 

28 minutes ago, nuckin_futz said:

Nowadays banks are subject to regular stress tests. Where models are run simulating a 'wheels off' type scenario. The banks have to have enough cash reserves to ride out the storm. If not they have to de-leverage and divest of some assets. Not sure about BoJo but wouldn't surprise me.

BOJO and the US eliminated much of those checks and balances.  The regulations that were repealed were pretty important to that if I recall.  Some of the loudest people in the industry/government found their positions replaced quickly for sounding the alarms over it.  To me that sounds a lot like shhhhh let it happen.

 

28 minutes ago, nuckin_futz said:

I would use the DOW as a multiplier. In 2007 the DOW was roughly 8,000, now it's 35,000. That's an increase of 450%. I'd use that as the equivalent. So that $100B would equal about $450B. That's just how I would extrapolate it. That's not official or anything.

$450 billion would be a MASSIVE hit.  See below

28 minutes ago, nuckin_futz said:

China won't let Evergrande completely blow up. They will somehow engineer a soft landing. Or they will just magically change the rules/law to suit whatever is in the interest of the CCP.

China may not let them fail.  But we have another issue here.  While the Evergrande situation will no doubt cost people money, they as you said; will not fail.  We have Zillow and about a dozen other digital property purchase/investment groups.  Zillow alone worth over $12 billion; possibly thousands of homes/assets.  Almost a dozen small yet comparable companies now.  Out of 2008 almost 100 US based companies like the one that just failed in Sask exist as "manager owners" and the Sask one was 500 ish properties.  One hard bump and thousands or tens of thousands of properties will hit the market in the US.  That sask company has 500 ish alone here in canada and some realtors are worried about that volume hitting the market in one shot.

 

We're a different beast than China in good and some...shall we say questionable ways

28 minutes ago, nuckin_futz said:

I am of the opinion that the party will last a good while longer. I think governments can and will keep plowing headlong into debt for at least another ten years. We're currently in a bubble but it will get to a super bubble before popping. Ever see one of those videos of a guy blowing up a hot water bubble? You're sure it's about to pop and then it doubles in size. Or like playing Jenga. When you are first certain it's about to collapse another 20 turns happen and it gets way higher before it eventually falls.

The thing is, as I said above.  Doesn't that party have to end eventually?

Who gets left holding the bag for clean up?

 

28 minutes ago, nuckin_futz said:

I think this economy handle rates of 3% or a bit higher. As long as they don't remain there for too long. If things happen gradually the system can make adjustments. If rates were to go nuts and shoot up to 10% real fast then you need extraordinary measures to put out the fire if it's even possible to put it out.

Again.  for me the fear isn't business or government.  It's for the people.  What happens if they can't consume anymore?

 

I love having these talks.  I am so ignorant of a lot of this because it's well outside of my wheelhouse but learning is fun!

Edited April 1, 2022 by Warhippy

[Kurgom]

On 4/1/2022 at 1:15 PM, nuckin_futz said:

I don't see Covid in China getting completely out of control. They are quick to enact shutdowns.

Omicron is already ravaging Shanghai, it's out of control.

 

This is going to be a really really rough year for China.

[Warhippy]

April 12th will be mighty interesting for the US and the 20th for us.  Can't wait to see the next CPI's 

 

Will be a very very interesting week.

[I.Am.Ironman]

Not sure if it has been discussed here but I have seen that the Russian Ruble is now backed by Gold. I don't quite understand the mechanism but there is a lot of talk on how this could actually lead to USD devaluing. It should be interesting to see.

[nuckin_futz]

2 hours ago, I.Am.Ironman said:

Not sure if it has been discussed here but I have seen that the Russian Ruble is now backed by Gold. I don't quite understand the mechanism but there is a lot of talk on how this could actually lead to USD devaluing. It should be interesting to see.

It's an interesting scheme. Some good info in here .......... https://goodwordnews.com/gold-backed-ruble-could-be-a-game-changer-for-russia-and-the-west-rt-business-news/

[taxi]

On 4/1/2022 at 11:43 AM, Bure_Pavel said:

I wouldn't hold your breathe for that kind of collapse in the house market especially anywhere near Vancouver. Will probably come down temporarily by 20-30% but too many foreign investors eyeing opportunities to fall 50-70%.

The prices of houses in Vancouver will never fall that much again, barring some kind of major natural disaster. Every year the population grows, and every year there are fewer and fewer detached homes, as they get torn down for redevelopment. We will definitely see adjustments in the future, but those are likely to be temporary unless demand for housing in Vancouver suddenly dies off. The combo of immigration, foreign investment, pent up demand from Gen-Xers/millenials, and baby boomers not leaving their homes keeps demand high. Throw in inflation, and you've got a very bad combo. The government could alleviate demand by creating more supply, by loosening up zoning, but that's a pipe dream too. Too many people have an interest in maintaining the artificial scarcity of the current market. 

 

If there was a 50% drop in pricing in Vancouver, you'd see detached home going for $800k and condo going for $300k again. Those would be gone in an instant. No way it's happening. 

[nuckin_futz]

Further proof that interest rates are about to get jacked. The most dovish member of the Fed Lail Brainard is talking hawkish. If she's turning hawkish that must mean the usually hawkish members are itching to ratchet rates upward in a hurry. The next Fed meeting is May 4th.

 

US dollar jumps after Brainard hints at 'stronger action'

• Dollar and yields jump 

The US dollar turned around in a quick move after Fed vice-chair Lael Brainard hinted at a quicker pace of rate hikes.

Here is the full text of the most important part of her speech:

 

Looking forward, at every meeting, we will have the opportunity to calibrate the appropriate pace of firming through the policy rate to reflect what the incoming data tell us about the outlook and the balance of risks. For today, every indicator of longer-term inflation expectations lies within the range of historical values consistent with our 2 percent target. On the other side, I am attentive to signals from the yield curve at different horizons and from other data that might suggest increased downside risks to activity. Currently, inflation is much too high and is subject to upside risks. The Committee is prepared to take stronger action if indicators of inflation and inflation expectations indicate that such action is warranted. We are committed to bringing inflation back down to its 2 percent target, recognizing that stable low  inflation  is vital to maintaining a strong economy and a labor market that works for everyone.

 

The market has pushed up pricing for a 50 bps hike to 81% from 72% on this.

[Warhippy]

18 minutes ago, nuckin_futz said:

Further proof that interest rates are about to get jacked. The most dovish member of the Fed Lail Brainard is talking hawkish. If she's turning hawkish that must mean the usually hawkish members are itching to ratchet rates upward in a hurry. The next Fed meeting is May 4th.

 

US dollar jumps after Brainard hints at 'stronger action'

• Dollar and yields jump 

The US dollar turned around in a quick move after Fed vice-chair Lael Brainard hinted at a quicker pace of rate hikes.

Here is the full text of the most important part of her speech:

 

Looking forward, at every meeting, we will have the opportunity to calibrate the appropriate pace of firming through the policy rate to reflect what the incoming data tell us about the outlook and the balance of risks. For today, every indicator of longer-term inflation expectations lies within the range of historical values consistent with our 2 percent target. On the other side, I am attentive to signals from the yield curve at different horizons and from other data that might suggest increased downside risks to activity. Currently, inflation is much too high and is subject to upside risks. The Committee is prepared to take stronger action if indicators of inflation and inflation expectations indicate that such action is warranted. We are committed to bringing inflation back down to its 2 percent target, recognizing that stable low  inflation  is vital to maintaining a strong economy and a labor market that works for everyone.

 

The market has pushed up pricing for a 50 bps hike to 81% from 72% on this.

My savings might actually earn me something for the first time in forever!

[thedestroyerofworlds]

I think there are going to be a lot of companies who are going to post large profits this quarter.   

 

 

https://www.reuters.com/business/energy/exxon-signals-record-quarterly-profit-oil-gas-prices-2022-04-04/?utm_source=reddit.com

Exxon signals record quarterly profit from oil and gas prices

[Warhippy]

2 hours ago, thedestroyerofworlds said:

I think there are going to be a lot of companies who are going to post large profits this quarter.   

 

 

https://www.reuters.com/business/energy/exxon-signals-record-quarterly-profit-oil-gas-prices-2022-04-04/?utm_source=reddit.com

Exxon signals record quarterly profit from oil and gas prices

Every single major to moderate oil/gas producer will be recording massive bank

[Warhippy]

Two major pieces of paper will be released tomorrow.

 

Any guesses on what they will say??

[Warhippy]

There it is.

 

8.5% increase on the CPI and a 1.2% inflation increase in march alone for the US.  

 

They are suggesting March is the "high water mark" and things will cool down.  But, prices aren't reducing.  Oil is dropping, prices at the pumps aren't.  Food is still increasing.  One sniff at a refinery will see a 20 cent jump overnight.  Housing costs are seeing near 20%-30% month to month increases lately and it's the slow season. 

 

I don't know who they're trying to fool but I aint buying it.  Things will only get worse

 

https://www.cbc.ca/news/business/us-inflation-1.6416732