Suncor Energy Inc. T.SU

Inflation

[Experienced]

We are told that the current inflation numbers are as high as they were in the 1980s.

I lived through that period as an investor as have a few people here.  That said, I suspect that most of the people reading this Board were either too young back then to know what was going on or not even born.

Here is a great piece that talks about The Fed and what happened back then.  I will leave it to each of you to interpret what those lessons might mean for what is going on today


https://www.federalreservehistory.org/essays/great-inflation

[Chad123]

Good article. Thanks. I am old enough to have lived through this period, just wished I would have paid more attention to the policies and politics back in the late 70's and 80's. But being born in the early 60's means I was enjoying life by partying in those decades. This article shows what I missed. To my point though, it seems like history has once again rhymed. Looks like we are

[Experienced]

Good observation.  That is why I posted the article.

[jx7000]

Those were the days of 12% Canada gov't bonds with 10+/- years maturity and double-digit mortgage rates--how did we ever survive that period. That article was published in 2013; I can't wait to read an update if there ever will be one. I'll post a hot link here.

[Dixiedee]

I remember getting 19.5 % on my Canada savings bonds  and 17% on 5 yr term deposits  you didn't have to take all the risks that you do with 1 to 3% interest  inflation was 12 ton15 % but for most was a lot higher just like today in Canada they say we have 6:7;% inflation right now I tried to find just one thing that I buy that has gone up only 6.7% in the last year I can't

[mrbb]

instead of talking about inflation, why don't we criticize the anti oil, anti pipeline leftist that are driving this energy inflation which drive all other inflation?  We are here because the left curtailed energy development in oil, gas, nuclear and pusing for solar and wind.    

[MigraineCall]

Careful BB, all these short sighted anti oil, climate nuts, ESG investors, and EV pushing folks have caused such a shortage and spike in the price of energy, they are making us a LOT of money!  The best thing for us shareholders is that they continue attempting their stranglehold on production from the oil industry, forcing the prices up even further. As energy becomes scarce and moves up

[Chad123]

Surprise, Surprise, Surprise........

[Experienced]

Yep as I mentioned in a previous post, Governments have over the years changed the way that inflation is calculated.  We are now told that inflation is the highest its been since the early 80s but that is comparing apples to oranges.  If we were to use the methodology that actually used in the early 80s and applied it to what is going on today, the inflation rate would actually be much

[pooltec]

Absolutely inflation numbers are a lie, even more so in Canada with all its social programs compared to the US.  Experienced, may I ask what we should invest in the next few years. Thanks for your posts.

[Experienced]

Thanks for your kind words.. I am going start by giving the standard response from when I was in the business...."You need to develop an investment strategy based on your financial situation, investment objectives and tolerance to risk and then find companies that meet this strategy" (ie no one shoe fits all) That said...lol Over the years, I have found a couple of things that work

[pooltec]

Gees thanks.  I kind of meant the next few years in an interest rate high inflation rising environment.