Rates are cut 25 basis points not a whole lot but it’s a start. Reasons were slower gdp growth than anticipated and inflation falling towards target levels. With oil prices down, inflation is gonna be down further this month. Also the last gdp growth number came in below expectations as well for the us. I wonder is the rate cutting cycle finally starting?
https://www.bankofcanada.ca/2024/06/fad-press-release-2024-06-05/
Posted by penelope5674
41 Comments
I don’t think Australia does it until mid next year
I think even ECB might declare a rate cut tomorrow. https://www.cnbc.com/amp/2024/06/05/european-central-bank-set-to-cut-rates-for-the-first-time-since-2019.html
US will probably follow our regarded policies given recent economic data and oil prices taking a dump.
Fuck Canada
The fed might cut in July if GDP goes under 1% although inflation and jobs numbers this Friday might propel them to do a shock rate cut next week if shit looks dire
Not sure Canada is the best country to follow in terms of financial let alone anything else at the moment.
Canada is barely a real country why would anyone follow. Literally americas bitchmade hat
UK is in not state this year to cut, probably hold out till January next year.
Be crazy tomorrow if ECB cuts too.
We already rallying hard.
Lmao not a single country on earth following Canada’s lead on anything related to finance. Their money is literally named after cartoons
Yes. I made a thread about this yesterday. US rate cut next. 5 days?
where the heck is this country called Canada ? Does the rest of the world even know it exists ? lol
It’s happening….
Fed should consider raising rates again
Not in America
America has strong GDP growth and sticky inflation.
America’s peers, Canada and UK, have incredibly stagnant GDPs, little growth, and falling inflation. They also dont have the American mortgage issue as they dont have 30 year fixed morgages.
The scenarios are not similar at all.
Election is coming – it’s like clockwork that rates will “drop”
Bears go back to your hole
Nope, rates go up
Finally, the top has been reached…
Hopefully not. CAD economy in recession.
I think canada is the last place you wanna take advice from right now.
Canada is a bit unique. Nearly the whole mortgage market is rolling over between now and 2026 from rates that were 2% to those that are 5%+. We’re facing headwinds that make 2008 look like a walk in the park.
Other countries cutting rates doesn’t mean the Fed will follow. Keep in mind when the Fed cuts rates, historically it’s been bad for equities.
So if the entire world reverts to cheap rates and cheap money … what happens? Everything just gets really expensive?
McJesus going to drive oil prices down with his plunger and high levels of productivity. The Oilers are Americas team.
A cut is a cut is a cut
Let’s face it, nobody follows Canada 😄
Oh good I was just thinking how prices weren’t high enough in Canada
The biggest thing to consider is that “I have puts”. Thank me later
Imagine spending any time thinking about Canada lol.
It was dumb as fuck from the gov. Property price will keep climbing while they do mass migration without building fuck all. Bunch of hosers
Canada’s growth has been more flat last few quarters than the US’s. Government here needs a good news story to sell.
No
>and inflation falling towards target levels.
They arent at target levels.
They excluded all the necessities from their inflation equation. They excluded (food, housing, electricity, fuel, utilities, etc) and all of those key factors are still 3x – 5x higher than just 3 years ago. So yeah, inflation is not down.
You say 25 basis points isn’t a whole lot but that is exactly what the fed has meant the last two years with rate cuts. It will and never was going to be more than 25 per cut.
I realistically only see us getting down a whole percentage point by the end of next year if things keep going smoothly. What we had prior to covid and during covid were not sustainable rates and left the fed with no weapons against inflation
America rate cuts would make no sense for the time being.
Canada doesn’t influence nobody. We cut 25bp now and maybe raise 50bp next decision time.
IMO, market pops another 50-75bps if ECB cuts. The US is almost always the first to kickoff such things and with canada cutting and ECB cut, we would start to appear last to the party in regards to attempting to ease into a recession. Fed needs to be proactive and not reactive. If 1-3 cuts would do little to help the economy, that is exactly what we need at this point, not a full blown mega cut. Falling oil prices and other counties moving forward, the stars are aligning for a cut and I believe the market knows this. Look at todays gains. Headed for ATHs.
Lol Canada? Nobody cares what they do.
How can they cut rates? They’re fucked
They need to 😂 that whole country’s economy is propped up on real estate