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Canada Seeing Deflation

Discussions about the economic and financial ramifications of PEAK OIL

Re: Canada Seeing Deflation

Unread postby threadbear » Tue 16 Jun 2009, 12:08:00

There are fortunes to be made in the agricultural commodities markets, particularly grains, this year. I can't bring myself to worsen the situation buy bidding up the price of grain. Not that my piddling contribution will make that much difference. But I really think we all have to think in terms of rationing our money, if we have any left over after the big financial blitzkreig, in way that does less harm to the planet, and people. There are so many people who will invest in commodities, without a second thought, while adopting a foster child from a foreign country.

I'm out of all markets, including the Canadian TSX, poised to go higher. I can't stomach how the class war is playing out in the stock exchanges.
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Re: Canada Seeing Deflation

Unread postby deMolay » Tue 16 Jun 2009, 12:35:18

The point of my charts are the same as the point of your charts. They show nothing. The other stats I posted show that we are headed to a famine.But glad to see that you are beginning to understand from your quote. Thanks.
If the world is unfortunate enough this year to have a poor harvest the economic consequences, and human consequences, will be dramatic.
"We Are All Travellers, From The Sweet Grass To The Packing House, From Birth To Death, We Wander Between The Two Eternities". An Old Cowboy.
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Re: Canada Seeing Deflation

Unread postby copious.abundance » Tue 16 Jun 2009, 15:42:55

If it's stocks-to-useage ratios you're interested in, here are charts for corn, soybeans and wheat from the CBOT, using USDA data.

The only one which seems exceptionally low is corn - but that's largely because there was a big "corn bubble" in the 70's and 80's. Aside from that bubble, corn stocks-to-useage ratios are pretty much where they were prior to the early 70's.

Image

Image

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And as shown earlier, rice:
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So, contrary to shortonbrain's propaganda, there is no "grain reserve issue." Pretty normal, in fact.
Stuff for doomers to contemplate:
http://peakoil.com/forums/post1190117.html#p1190117
http://peakoil.com/forums/post1193930.html#p1193930
http://peakoil.com/forums/post1206767.html#p1206767
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Re: Canada Seeing Deflation

Unread postby threadbear » Tue 16 Jun 2009, 15:49:23

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Re: Canada Seeing Deflation

Unread postby deMolay » Wed 17 Jun 2009, 11:24:33

Now the USA and Japan are reporting Deflationary trends as well. USA largest drop in 60 years. http://www.theglobeandmail.com/report-o ... le1185285/
"We Are All Travellers, From The Sweet Grass To The Packing House, From Birth To Death, We Wander Between The Two Eternities". An Old Cowboy.
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Re: Canada Seeing Deflation

Unread postby threadbear » Wed 17 Jun 2009, 13:57:19

DeMolay, Consumer price Deflation (past tense) in the US, was brief. You had the confluence of cheap gasoline together with a stronger currency, keeping the price of imports down. This is changing. There is some hope though. Gold is running counter to energy prices, again. Very good sign. If it is allowed to climb and function as a safe haven, it will buffer rising commodities prices.
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Re: Canada Seeing Deflation

Unread postby deMolay » Thu 18 Jun 2009, 09:22:27

More stats indicating ongoing trend towards Deflation. Not sure of your statement about Oil and Gold. I have noticed that both Oil and Gold seem to act in the same manner. By that I mean as a storehouse of wealth. Investor's seem to flee from one to the other back and forth. Maybe I don't understand what you are saying. They both act on the dollar the same way. http://www.nationalpost.com/news/story.html?id=1708482
"We Are All Travellers, From The Sweet Grass To The Packing House, From Birth To Death, We Wander Between The Two Eternities". An Old Cowboy.
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Re: Canada Seeing Deflation

Unread postby deMolay » Fri 19 Jun 2009, 11:12:49

Shaping up to be one of the worst droughts in over 100 years here in Western Canada. http://www.theglobeandmail.com/news/nat ... le1188142/
"We Are All Travellers, From The Sweet Grass To The Packing House, From Birth To Death, We Wander Between The Two Eternities". An Old Cowboy.
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