The Fed pushes for more inflation Published by Hilliard MacBeth on Apr 30, 2021 The US Federal Reserve stayed the course on Wednesday April 28, 2021 by continuing its policy of fighting deflationary forces, even at the risk of inflating asset bubbles in housing and stocks. Its stated goals are maximum employment and inflation averaging... Read more
The Bank of Canada risks a taper tantrum Published by Hilliard MacBeth on Apr 23, 2021 The Bank of Canada announced this week that it will reduce buying of government bonds during this pandemic recession. The Bank had been buying most of the bonds issued by the government during the pandemic spending spree which created a $350 billion deficit... Read more
Central banks are nervous as CPI soars Published by Hilliard MacBeth on Apr 16, 2021 Rapid inflation reared its ugly head this month, as the Consumer Price Index hit 2.6 percent gain for the last year. The price increase for energy was closer to 15 percent, while food was almost 4 percent. If the CPI keeps rising at this pace, as some... Read more
Banks tell government to do something about the housing bubble Published by Hilliard MacBeth on Apr 09, 2021 Canadian banks want the government to take measures to halt the latest surge in home prices. Several bank CEOs and economists are urging the government of Canada to slow the runaway housing bubble where prices are advancing at a 15 percent annual rate... Read more
Toronto condo investors worry about cash flow Published by Hilliard MacBeth on Apr 01, 2021 The Toronto condo market is the centre of the Canadian real estate investor world. The amateur investor-landlord makes up as much as 50-60 percent of all condo ownership. As rents have been falling steadily for a couple of years, starting even before... Read more