Juggling Dynamite

Seeing reality and recognizing self-destructive behaviour in others is usually easier than seeing our own.  Canadians have an opportunity for objectivity in observing Australia.  Many similar factors are weighing down the Australian and Canadian economies today as their shared 2001-2011 commodities boom cycle and 2002-2017 secular real estate/credit expansion proceed through an equal and opposite period of mean reversion in both countries.

In this video, Martin North of Digital Finance Analytics goes over the latest news & data points affecting the Australian Housing Market. This is our monthly segment to dig a bit deeper into what is taking place in our backyard. We’ll also examine the Australian economy and what we can expect moving forward. Here is a direct video link.

Also see the Globe’s article yesterday Bubble trouble: in Vancouver’s housing market, pain has set in.

This clip offers a good review of the close linkages between non-exchange traded commodities (driven more by global demand than financial market speculation), the Canadian dollar and the North American economy.

Lakshman Achuthan, COO of the Economic Cycle Research Institute, discusses risks of a global economic slowdown and its impact on commodities demand from Canada. Here is a direct video link.

Also see ECRI’s article Industrial Commodities and the Canadian Loonie and their chart showing that non-exchange-traded commodity price growth tends to lead the USD/CAD exchange rate, suggesting the CAD will remain under pressure for the forseeable future:

“This is because non-speculative industrial commodity price inflation is related to the value of the Canadian dollar, which is perceived to be a “commodity currency.”

Danielle was a guest with Kerry Lutz on The Financial Survival Network, talking about recent developments in the world economy and markets.  You can listen to an audio clip of the segment here.
Listen to “Danielle Park – Tariff Distraction #4341” on Spreaker.