Wednesday, November 30, 2011
Sunday, November 27, 2011
Friday, November 25, 2011
As I noted in previous posts, our stock market has been leading house prices..
Wednesday, November 23, 2011
Here is the exchange between me and vreaa. Sad that we have such shoddy reporting
Fish10 on 22 November 2011 at 7:45 pm said:
Well done to everyone for pointing out the crass error of the National Post.
This is a great line from the Editor:
“We have confirmed that you are correct and the person used in the story works in condo marketing. If we had known this it would have been disclosed, and that change has been made in the online story.”
This is what passes for information and analysis at this sorry paper.
on 22 November 2011 at 8:01 pm said:
Actually, it’s probably more sinister than that.
The reporter very likely knows that she works in RE (probably got the lead to interview her via contacts in the RE industry). Then intentionally omits the fact in the article.
on 22 November 2011 at 8:11 pm said:
You are probably right. It is inconcievable that they asked every other question except what she actually does for a living.
If the storey was a plant via the RE industry then things are truly messed up, in fact it shows what little respect we have for the integrity of the MSM (particularly some papers) that we even consider it possible.
Monday, November 21, 2011
SAO PAULO, (Reuters) - Brazil's government is working on a new rule to further limit the purchase of farm land by foreigners, arguing that the current legislation has been ``insufficient,'' a Brazilian newspaper said Saturday.
The new rule, which could come as a decree, aims to close loopholes that buyers have been using, such as purchasing land through Brazilian companies, Folha de S. Paulo newspaper said.
It could also impose restrictions on investment funds joined by foreigners and force international banks to sell land received as collateral of a defaulted loan within a year.
Brazil is one of the world's largest producers of food and biofuels, and the expansion of its production is seen as crucial toward addressing growing demand for these products, especially from emerging economies such as China.
Brazil's attorney general last year reinterpreted a land law that now limits purchases of rural land by foreigners, or by Brazilian firms that are controlled by foreigners, to areas no larger than 250-5,000 hectares () depending on the region.
The current rule has been fueling uncertainty among agricultural investors and proving a handicap for expansion, according to analysts.
The new legislation should set clearer mechanisms for foreigners to partner with Brazilian companies, especially for agricultural projects, Folha said.
The land legislation is aimed mainly at stopping the advance of China, which has been buying land in other countries through its sovereign fund, the newspaper said.
Official records show 4.3 million hectares of Brazilian land owned by foreigners, but it could be as much as three times bigger than that, the newspaper added.
Reporting by Inae Riveras; Editing by Paul Simao
Friday, November 18, 2011
1) Today we have consumer inflation running at 2.9%. What would a reasonable interest rate be in such a scenario? 3%? 4%? Not 1%. This is theft from savers.
2) Due partly to his Zero interest rate policy and lax lending, Canadians are the most indebted EVER! He may keep saying he wants people to pay down debt and save, but folks are not stupid. Why save, when you LOSE money every year?
3) He proclaims that he is against bail-outs and TBTF (too big to fail). yet our monolithic banks have a built in bail-out in the form of the potentially-ruinous CMHC, who's liabilities could bring the house down.
A recent report stated that while Canadian government debts were not as bad as many other countries, the high level of consumer debt, RE bubble and liability transfer to the Fed government..meant that we were actually at the same over-all debt level as any one of the PIIGS.
There was another Central banker who was lauded as a great genius and has now been shown to be a complete and utter fool, blowing up bubble after bubble..Alan Greenspan.
Lets hope that Carney ( and us ) do not end up in the same mess.
The fundamental problem is that Central bankers surround themselves with bankers, traders, investment bankers and sepculators. They go to their dinners, they come from that back-ground, they leave office and go back to big paying money-moving jobs. So when times are good, they hear the phrase..'Don't do anything' and when it finally hits the fan, 'help us, do something'. The result is the huge imbalances we have now.
The fact that one unelected official can have so much power over a country's fate is the biggest problem.
Thursday, November 17, 2011
Tuesday, November 15, 2011
'Since this pathetic blog crawled from the primordial ooze (I should clean the Bunker more often), I’ve argued against our infatuation with the physical. For reasons I have pounded into sand, real estate will disappoint mightily in the years ahead, now completely unsupported by economic fundamentals and held aloft by duct tape, HGTV, fleeting aspirations and delusional mothers-in-law. No match for debt, lost jobs or swampy incomes.'
Tuesday, November 8, 2011
“The Victoria market is being impacted by slower growth in employment, reduced interprovincial migration flows and continuing weakness in US tourism,” said the report.'