Dividend 15 Split Corp T.DFN

Damned if they do. Damned if they don't.

[flamingogold]

Today's inflation uptick number puts the BoC in an even more difficult position. A July cut now seems more unlikely. However, fiscal policy works very slowly. It's too soon for last month's cut to have worked itself into the economy. Personally, I believe this latest uptick is just an anomaly. There are definitely signs of weakness especially real estate which is the biggest contributor to the Canadian economy.

As the summer rolls on, we will likely see continued softness and without further cuts we may wake up one day to a surprisingly low print close to 2%. On the surface, that will look like a win since it is the BoC's target. But, on the other hand, it may look like we are slowing too fast, heading for a recession and falling behind the curve.

So, damined if they do cut and cause inflation to spike even higher. Or, damned if they don't cut and face recession worries. Up to now Tiff has been a CB leader. If he doesn't cut in July he will need to wait until September. If May's data is an anaomaly, then he may be facing a recession scenario by September. It I were Tiff, I would cut in july. We are still under 3% inflation. The risk of cutting outweighs the risk of pausing.

[stickbot]

National debt 2016 was 612 Billion, National debt 2024 1.23 Trillion; the true root of all the inflation, money printing 2x national debt by Freeland/Trudeau/BOC. 

[flamingogold]

This is not just a Canadian problem. The pandemic forced nations globally to drop rates to near zero and print money. It was that or face depression. Anyone here ever live through a depression? Not me, and I can bet the few alive today don't have pretty stories to tell. Think the GFC of 2008-9 and multiple that many times over. It's crushing. While I am not happy about resulting inflation

[stickbot]

The pandemic money printing was just the cherry ontop, the debt was well on it way to double running up to Dec 2019, debt was at 765 Billion. The pandemic was mishandled, economist warned everyone, the liberals followed the rest of the G7 and damaged the economy. The banks are the real winners, inflation is debt slavery, the future has been stolen from all generations going forward. 

[flamingogold]

I don't think any other gov't in power at the time would have handled it better. This was a time like no other with people jumping off sidewalks just to pass one another. Who's to say if it wasn't handled the way it was, the global death toll would likely have been higher. Nursing homes deaths, which were ground zero during the pandemic, saw fatalaties decline once vaccines

[mouserman]

DFN heading lower... as the markets pull again. Going to be very volatile with the general direction down.

[Vesta63]

Well said!!