Despite inflation slowing, the cost of everything continues to rise. Asa. result, inflation has rattled the political landscape, from South America to Europe.
In a recent short, Alex explains the ridiculously high cost of fast food in Canada. Furthermore, he cites a disturbing study showing over 30% of Canadians are strongly considering forgoing winter tires this season… not a safe choice on the winter roads in Canada.
Frustrated and burnt-out, consumers must remember that the monthly inflation reading or CPI is adjusted annually compared to the previous year’s prior month.
“The 12-month % change is the most commonly reported CPI figure. This calculation is used to compare price indices in a given month to price indices in the same month of the preceding year (e.g. January 2018 compared to January 2017).”
Even a 3% inflation reading is high, given the rate from last year may have been 5 or 6%.
Natural Gas Uses Expand Far Beyond Energy
Many people don’t realize that natural gas is widely used to produce nitrogen-based fertilizers, ammonia, and urea. And the commodity is at the heart of modern agriculture, from fertilizing crops to powering farm machinery.
Aaron explains why natural gas is one of the most essential commodities for investors, and humanity as a whole.
Resource Nationalism Continues to Threaten Miners
Resource nationalism continues to be an ever-present threat for Canadian miners working abroad. First Quantum Minerals was the latest takedown…
After spending billions to bring its Cobre Panama copper mine into production, the government hit the company with massive windfall taxes and royalties. Despite First Quantum agreeing to the demands, the people of Panama rioted and initiated a port blockade, creating uncertainty about the future viability of the mine.
Why Global Investors are Hesitant to Buy Treasuries: HINT (deficit spending and inflation)
The Federal Reserve, despite continuing to run off its balance sheet, must be getting nervous as buyers of 30-year bonds continue to scoff at U.S. debt…
In mid-November, the Treasury’s Auction of 30-year bonds, necessary to finance deficit spending in the U.S., saw the yield jump 0.05 basis points in pre-auction trading.
The 5 basis point move represents the largest jump since 2011, and it highlights the unwillingness of investors to hold long-term U.S. debt without better terms.
Furthermore, primary dealers responsible for buying what investors don’t, saw their participation surge as they accepted 24.7% of the debt on offer – double the year’s average of about 12%…
For a government that runs on deficit spending, demand for its debt is essential. Auctions over the next few months will prove very interesting indeed for the US dollar.
We live in a time fraught with uncertainty and soaring prices. Gold is the latest commodity to surge, rising above $2,040 per ounce on Tuesday morning.
