A week after the tumultuous news of the Bank of Canada raising their nightly rate by ¼% Canadians are still recovering from rate reactions shock. As I have said, if that rate increase caused you consternation, “… you ain’t seen nuthin’ yet…”. While rates will not sky-rocket they will slowly increase back to normal levels (whatever normal means these days).
With the rates moving upward I wonder if it will become “cool” again to make overpayments on mortgages (again)? I found it interesting with rates so low, making “double up” payments or such would get the loan principal down, but it became very passe to do that. You could make so much more investing the money, was the argument. Funny, that argument is always around (no matter what the rates are at).
The new “thing” to talk about is the impending Stock Market correction. Many financial talking-heads are espousing that the markets are far too high, and there will be a correction soon. This is possible, but as I have said, “Economists have predicted 7 out of the last 3 market corrections“, so take it with however much salt you wish.
Game of Thrones starts the first½ of their final season? Winter is here, both in Westeros and financially in the real world.
Interesting that not too many of the talking heads are saying much about the fact that bonds should drop in value with interest rates rising? Doesn’t sound right does it, but my Bond Funds have dropped in value over the past few weeks.
Most disgusting thing I have heard about at work? Someone boiling the silicon buds from their headphones (to clean them) in the communal group electric kettle. I know longer drink tea at work.
Cyclists Take Heed
I know many of my readers and friends are avid cyclists, so please take heed of this video of the importance of stopping for red lights and stop signs!
The sun in shining in Ottawa these days, and things are finally starting to dry out, after a very moist early summer. Here are some other shining examples of financial writing too. ☀️
- Inflation continues its low run with it being only 1.0% in June, according to Stats Canada. Booze, recreation and reading were the big runners for June.
- New Dad Barry from Money We Have brings us 6 Things You Should Know About Deposit Insurance in Canada , important things to remember.
- The Star writes about how Kelly Olynyk (Canadian NBA player) is being very careful with his new found riches.
- FCAC writes about getting a home equity line of credit, but there are other good points in this article about debt levels.
- Folks like me that love the NFL might have new options with DAZN winning the Digital Streaming rights for the NFL Sunday ticket. Hopefully it won’t be as expensive as it has been in previous years.
- Robb from Boomer & Echo asks a good question, How Much Do You Need To Save For Retirement? The answer will surprise you (sorry thought I was Buzzfeed there for a second).
- The Four Pillars of investing by William Bernstein is a book that Michael James does a write up on. He seemed to enjoy the books.
Do you understand all the fees you are paying on your investments? Tom Bradley from Steadyhand gives you some help.
2017 Random Thoughts
- Keep Calm and Pay Off Your Debt and #MoneyTalk (July 14th)
- #Canada150, B of C Rates, and #MoneyTalk (June 30th)
- Donuts, Graduations, Summertime and #MoneyTalk #Canada150 (June 23rd)
- Bank Profits, Loose Money, Used House Salesfolk and #MoneyTalk (May 26th)
- Avocado Toast, Victoria Day, Ransomware and #Moneytalk (May 19th)
- RDSP, DTCs, Mother’s Day and #MoneyTalk (May 12th)
- Thanks Prince Phil, More Old Than Young and #MoneyTalk (May 5th)
- MLM, Balanced Budgets, and #Moneytalk (April 28th)
- Overheated Housing Market, Rent Controls and #MoneyTalk (April 21st)
- Ladies on Panels, Good Friday, Friendly Skies, Loose Money and #MoneyTalk (April 14th)
- Tax Time, Housing Bubbles, Financial Easter and #MoneyTalk (April 7th)
1st Quarter 2017 Random Thoughts
- April Fools, High on Life and #MoneyTalk (March 31st)
- Ho Hum Budget, Brackets Busted and #MoneyTalk (March 24th)
- Naughty Banks, March Madness, Big Snow and #MoneyTalk (March 17th)
- Teller Upselling, Auto-filling Taxes, Spring Forward and #MoneyTalk, (March 10th )
- Lent Begins, Loose Money and #MoneyTalk (March 3rd )
- RRSP Season, Tax Time, and #MoneyTalk (February 24th )
- Farewell Vinyl Café, Snow, Monopoly and #MoneyTalk (February 17th )
- RRSP , Tax , TFSA , RESP, and RDSP Time and #MoneyTalk (February 10th )
- Year of the Fire Rooster, Financial Groundhog Day and #MoneyTalk (February 3rd )
- Alternate Financial Facts, 1984 and #Moneytalk (January 27th)
- Bungled Mortgages, Friday the 13th and #Moneytalk (January 13th)
- Merry New Year, CPP, EI and #MoneyTalk (January 6th)