FormerXBC Inc XEBEQ

RE:A recession will kill inflation and high oil prices

[ferret_ca]

I agree with what you say here. either 1 of  high interest rates or very high oil and gas prices can cause a recession on it's own, we have both on in full swing, I suspect we are already in the beginings of a recession , it is not a matter of if but when, the fed knows it, the boc knows it they just won't come out an officially say it in the fear of panicing people, most of the smart money is already out of the market , markets almost always overshoot in each direction, we saw that to the upside on most tech stocks, in esg stocks in 2021 etc, now we will see it to the downside.

I do believe energy (oil and gas in particular) will hold off tanking much (but tank they will eventually imho) in the near term with the russian bans and lack investment by the large oil cos.  even with chinese lockdowns. I'm trimming my energy names (which have great returns btw) and won't be adding top anything for the time being except some short term corp bonds and gics. lots of people will be forced to sell and cash in tfsa's and rrsp's etc to make mtge pmts in the coming months and year, some will walk as housing prices drop with forced sales etc. this imho is pretty much unavoidable, people bailing on etf's and mutual funds will continue for a while exasperating market declines.   hunker down and survive the carnage, many small cos. will not survive and you all know my thoughts on this one. how low can it go ????  no one knows but $0 is a possibility that no one here seems willing to acknowledge, not saying it will for sure but it sure as heck could.

cheers ferret