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a rate hike sufficient to impose austerity on the over-indebteded would be a political decision, since interest rates in our system are not determined by the free market but instead through an opaque bureaucracy. what is the incentive for politicians to impose austerity? noone knows the future, but personally i dont see it happening.
 

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fwiw, I'm a lifelong renter and my returns (on capital freed up from not having to pay a downpayment etc) in financial markets are multiples of what i would have made plowing that same capital into home equity. my landlord's cap rate is barely better than a GIC and while there is obviously appreciation and strategies available to the RE investor as AR pointed out, I am very comfortable taking my side of the trade.

My guess is the economics will skew in favour of renting for the foreseeable. the low hanging fruit for politicians on housing affordability is to cap rents, and all of the FOMO money tends to go towards home buying, i.e., on average purchase decisions are more likely to be made emotionally than decisions to rent. This suggests to me a market inefficiency that could be exploited by people willing to make housing decisions for purely financial reasons (not for everyone, obviously).
 

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It was commissioned by Royal Lepage. Why not? It is their business to know these things.

The study was carried out by a professional - economist and housing market analyst Will Dunning of Will Dunning Inc. Which specific parts of his study did you find inaccurate? Or are you implying that he was influenced?

Not sure why anyone would question the findings. Findings are what most Canadians would have expected.

Here are two links to the report findings:


The main issue for me is the study doesn’t seem to analyse opportunity cost of the down payment and other principal payments, but that’s based on a quick scan.

I do think that the study could be influenced by the company commissioning it, yes
 

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Enjoying the new highs... Well, I have lost quite a good amount of money during November. And I guess I'll lose more during December.

But that's just a healthy correction due to news. No crash in sight.
Some March 2020 PTSD seems to be surfacing on social media. if Omicron is a big one I wonder if we get doom in markets or if participants will ‘discount’ the policy response and skip straight to melt up. Interesting times.
 

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By “big one” I really just meant to refer to whether it results in govt imposed lockdowns and the like. That is all I care about from a trading / investment point of view. Whether those measures make sense is a different question.
 

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Nancy Pelosi is loading up with millions in GOOG, DIS, RBLX, MU options

What does she know? Lockdown 2.0? More easy money?

The proverbial sky is falling and she's betting on youtube, cartoons and video games
Public officials running side hustles as prop traders slinging millions in stocks and YOLO calls while making policy that impacts markets -- and noone really caring (although we did have a couple of fed officials quietly resign over the summer) -- is one of my low key crazy stories of 2021.
 

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I am a lifelong leftie but never much liked Trudeau and think "You'll forgive me if i don't think about monetary policy" should have been an immediately fireable offense given how important monetary policy is to the lives of Canadians in so many ways. As an aside, being a leftie I am no free market fundamentalist, but I am still baffled that the price (interest rates) of the most important economic commodity (money) is still set by a few old guys in suits. That is soviet politburo type stuff and no, i am not that much of a leftie that this would make sense to me. Chrystia Freeland referring to Canadians' savings as "preloaded stimulus" to be unlocked by the federal government was equally repugnant to me for other reasons.

Anyway, there is no need to be upset. Just take steps to protect yourself if you can. Indeed, those with nimbleness of mind and spirit may even be able to profit from the dislocations and general chaos of our age, although it probably takes a bit of luck too.
 

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I think he won’t do anything. The majority of equities in the USA are concentrated in small number of wealth individuals, mostly republicans supporters.
Vs inflation affects mild and poor class, who traditionally vote democrats.
current government interested in targeting the inflation more that market sell off.
just my opinion.
The team at Pelosi Capital Management does not support this plan, haha
 

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Im as much a fan of Buffett's letters to shareholders and Poor Charlie's Almanack as anyone but their alpha was their structural advantage in taking leverage using insurance float. Retail plebs like us won’t be getting rich investing in Coca Cola and such
 
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