Canadian Personal Finance Blog

Happy 141st birthday Canada, you don’t look a day over 85! Yes, I am taking today off, to enjoy Family and Fireworks, back to the daily posts tomorrow folks!

Canada at 150?

Given for Canada’s 100th birthday we had Expo67 (the greatest World Exposition ever, I’d like to say), what is Canada going to do for it’s 150th anniversary? Anybody know?

And Now a Large Flag

Happy Birthday Canada

BMO analyst did a survey and even with the Canadian dollar hovering around parity with it’s American cousin, prices of things in Canada are still 18% more expensive than they are in the U.S. . Is this surprising, not to me, price gouging has been going on for Canadians for a good long time, and I don’t expect parity in pricing in the next year if the Canadian Dollar stays at parity. When a CD costs $12.99 in Canada and $9.99 in the US (the same one) you can see that the Canadian market is not that important to the manufacturers. Do I sound bitter? You bet.

Tim Horton’s Savings Plan

Now with companies like Kia and Rogers using the “If you didn’t buy coffee you could buy this” in their advertising (please note I mentioned this first in the Tim Horton’s Savings Plan many years ago), maybe Tim Horton’s should start their own bank, like PC Financial. Offer points for frequent users and then they can introduce the save a nickel with every coffee, which would be their customer lock. Each time a customer buys with their Pre-paid card, 5 cents is deposited in a savings account for them (or their RRSP), Scotiabank already offers something like this as do other financial institutions.

Look for the “Bank of the Big Cajun Man” coming soon!

New Housing Price Increases Still Up

As with last month, this month’s year over year increase was lower at 5.2% and the month over month increase was Zero, which is quite interesting too. Have a look in the attached table for where you live and the new house price increase.

New housing prices increased at their slowest pace in more than two and a half years in April, despite strong markets in Saskatchewan, Newfoundland and Labrador and Nova Scotia.

As suspected the CPI for April is up, says Stats Canada. The rate for March year over year was 1.4% but for April year over year it is 1.7%, which seems to suggest the high price of gas is starting to make it through the system and is being reflected in consumer prices.

Gasoline was the main contributor to both the acceleration and the 12-month increase of the all-items index. Gasoline prices rose 11.6% between April 2007 and April 2008, compared with a 7.9% increase posted a month earlier.

There was no way higher gas prices was not going to start this kind of a cascade, and now the question is what is the Bank of Canada going to do about interest rates?

The interesting number I see is that food, the one commodity that I would have been positive was very affected by high gas prices only was up 1.2%, which seems odd (or maybe it just hasn’t gone through the system yet).

Stay tuned folks looks like a bumpy ride ahead!