Interest rates to start rising? Clearly someone agrees with me:

[gei]

I've found that most of the big-ticket items I buy have come down in price CONSIDERABLY over the last few years. It's amazing how cheap laptops are now for example.

I just bought a new printer for $20, canon digicam for $100, cars are cheaper, also clothing seems to be quite a bit cheaper.

Not to mention I pay less for my cell phone, haven't paid any long distance charges in a while (thanks VOIP), cable bills are cheaper thanks to some calls into rogers, etc etc

 

[urbantor]

I've found that most of the big-ticket items I buy have come down in price CONSIDERABLY over the last few years. It's amazing how cheap laptops are now for example.

I just bought a new printer for $20, canon digicam for $100, cars are cheaper, also clothing seems to be quite a bit cheaper.

Not to mention I pay less for my cell phone, haven't paid any long distance charges in a while (thanks VOIP), cable bills are cheaper thanks to some calls into rogers, etc etc

Ahhh, youth! So wasted on the young.

Here's what's gone up, big time:

*education
*health care costs
*drug costs
*utilities
*gas/fuel
*property taxes
*insurance
*condo fees

And of course it appears that food prices are rising to the moon everywhere around the world and will hit canada shortly. I'm glad to learn that your new laptop can be had a bargain- has the electricity that powers it, the broadband internet that services it, the paper that feeds your printer, the inkjet that colors it or the battery that fuels it dropped in price as well?

Show me one person in Canada whose identical cost of living has dropped year over year. That person simply does not exist.

 

[Chuck]

Ahhh, youth! So wasted on the young.

Here's what's gone up, big time:

*education
*health care costs
*drug costs
*utilities
*gas/fuel
*property taxes
*insurance
*condo fees

And of course it appears that food prices are rising to the moon everywhere around the world and will hit canada shortly. I'm glad to learn that your new laptop can be had a bargain- has the electricity that powers it, the broadband internet that services it, the paper that feeds your printer, the inkjet that colors it or the battery that fuels it dropped in price as well?

Show me one person in Canada whose identical cost of living has dropped year over year. That person simply does not exist.

My cost of living has dropped due to changes I've made in my lifestyle. I'm living more energy efficiently now than a year ago, I drive less, I shop at different stores, and downgraded my cell phone and internet plans.

However, this downward trend can only continue for so long - it will soon get to the point where you simply have to turn on the lights, get yourself from point A to B, or use even a bare minimum internet connection. The idea is that by making enough smart decisions as a consumer, a fixed 2% increase will only mean a $10 increase per year for some, compared to a $50 increase for others.

 

[gei]

Ahhh, youth! So wasted on the young.

Here's what's gone up, big time:

*education
*health care costs
*drug costs
*utilities
*gas/fuel
*property taxes
*insurance
*condo fees

And of course it appears that food prices are rising to the moon everywhere around the world and will hit canada shortly. I'm glad to learn that your new laptop can be had a bargain- has the electricity that powers it, the broadband internet that services it, the paper that feeds your printer, the inkjet that colors it or the battery that fuels it dropped in price as well?

Show me one person in Canada whose identical cost of living has dropped year over year. That person simply does not exist.

When I factor in my COL increase on my paycheque, my COL is probably the same or lower compared to last year. Let's not forget that salaries are also rising. In fact almost everyone I know has gotten a significant raise or has moved on to better jobs.

Overall urbantor, we're all living our happy lives while you continue to preach your doom and gloom. I don't mind however... I find it amusing.

 

[urbandreamer]

Bottom confirmed let's start raising interest rates!

http://www.thestar.com/Business/article/442240

Mortgage rates set to rise

CARLOS OSORIO/TORONTO STAR FILE PHOTO
House prices in Canada continued to rise, despite a slowdown in the U.S.

Big banks move to boost rates by as much as 85 basis points

Jun 12, 2008 02:05 PM
THE CANADIAN PRESS

Bank of Montreal (TSX: BMO) is hiking its residential mortgage rates by up to 85 basis points, joining Royal Bank (TSX: RY), TD Canada Trust (TSX: TD) and CIBC (TSX: CM) in increasing the cost of borrowing to buy a home.

The increases follow the Bank of Canada's surprising decision to leave its benchmark overnight rate unchanged at three per cent, rather than lowering it by a quarter-point as most bank economists had expected.

The central bank's overnight rate influences the commercial banks' cost of raising short-term funds that are then used by them to finance consumer mortgages.

CIBC kicked off the current round of mortgage-rate adjustments on Wednesday, but with relatively small increases compared with announcements that followed. TD Bank raised its rates by as much as 85 basis points (85-100ths of a per cent) and Royal said Thursday it will boost its rates by up to half a point.

As of Bank of Montreal's announcement on Thursday. CIBC had the highest rate among five largest Canadian banks for one-year open mortgages at 9.24 per cent.

On the other hand, CIBC's five-year mortgage rate was 20 basis points lower than the Royal, TD or Bank of Montreal at 6.95 per cent. Scotiabank had yet to announce its adjustments as of early Thursday afternoon.

 

[lowesthangingfruit]

Clearly the risk is on the upside as there's really not much left to cut and if some government controlled agency is telling me we're gonna get less than 2% inflation,....they must be smoking some pretty good sh#t.

I think everyone agrees that there is a new world order now for some very basic necessities going up wayyyy too fast. Remember the government figures LOVES to strip these "volatile" items out to get a "core" rate. The fact of the matter is if energy, food, basic materials keep shooting up and staying high, you can't ignore them for long. Only a matter of time b4 the trickle down effects is seen in other goods. This in the face of economic slowing is a set up for a stagflation environment.

I would love to hear from the "more mature" forum members (I mean that in a good way cuz us younger farts just don't have the experiences you guys/gals do) as tho what had occured on the real estate markets and financial markets when stagflation hit the fan last couple of times around in your lifetimes. Always love to hear what you guys and gals have to say.

 

[buyproperty12]

Re: Interest rates to start rising? Clearly someone agrees with me:

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[ArcticS]

my guess is that interest rates will drop down at least once more before the end of summer.

 

[TrickyRicky]

Urban, that article you posted is an example of what I was talking about in my previous post. Bank of Canada does nothing, result banks raise mortgage rates 85 basis points! Stupid loose lending practices go to super tight. This always happens around economic downturns and has the effect of amplifying the cycle.