The deficit is widening. And imagine all the cheap government bonds that have to roll over at higher rates, plus taking on new debt. Yikes. A rate increase in the US is certainly possible. I don't expect it to, but if the next Fed funds rate move is up then I assume inflation would have to take off again. Hopefully that doesn't happen.
Maybe at the end of 2025. Dropping rates will import inflation and if, if if, the BoC does drop the rate and the US increase theirs, then we will be in serious trouble.
Government spending too high. And in the US no cuts at all and maybe a hike after election
The deficit is widening. And imagine all the cheap government bonds that have to roll over at higher rates, plus taking on new debt. Yikes.
A rate increase in the US is certainly possible. I don't expect it to, but if the next Fed funds rate move is up then I assume inflation would have to take off again. Hopefully that doesn't happen.
@Freedomthirtyfiveblog it's a tricky situation. I don't follow Canada as closely but I can't see a cut in the US happening for a while.
Just wait until they hike after they cut too early, has happened many times
Never...up from there
what is usd/cad pairing going to do?
Maybe at the end of 2025.
Dropping rates will import inflation and if, if if, the BoC does drop the rate and the US increase theirs, then we will be in serious trouble.
You guys don't see it do you? What part of higher for longer do you not understand? The great deleveraging event is coming.
I can guarantee you this we did not bring 400 000 new immigrants to Canada, that Is usually a yearly target 🤣🤣
🤣🤣