Carney expects economic recovery in 2010

[Canadian]

The Bank of Canada Governor Mark Carney forecasted an economic recovery for Canada in 2010. I personally don't see this happening, and I'm interested in hearing your opinions.

Please let me know what you think?

[trent]

Originally Posted by Canadian

The Bank of Canada Governor Mark Carney forecasted an economic recovery for Canada in 2010. I personally don't see this happening, and I'm interested in hearing your opinions.

Please let me know what you think?

Yeah, sure and I expect Santa Claus to bring me more presents this Spring

[bullish]

The Canadian economic recovery can start even earlier in my opinion, I'm guessing around fall this year. Canada has strong economic fundamentals, and we'll get through this minor recession very soon.

[trent]

Originally Posted by bullish

The Canadian economic recovery can start even earlier in my opinion, I'm guessing around fall this year. Canada has strong economic fundamentals, and we'll get through this minor recession very soon.

Sure, we can start the economic recovery even now, why not? If we wish it strong enough it will simply happen, right?

By the fall Canadian real estate will be down another 10-15% on average, and there will be 100s of thousands jobs lost. Both these factors will crash consumer spending (largely on credit), because consumer without confidence will quickly turn into a saver. When consumers stop spending, they'll also stop borrowing, which will affect Canadian banks very negatively. The falling housing value will also put immense pressure on the banks and it's not clear if the big banks can stay solvent in this environment. All this points to imminent economic recovery, as I'm sure you understand

[sunshine]

Originally Posted by trent

By the fall Canadian real estate will be down another 10-15% on average, and there will be 100s of thousands jobs lost. Both these factors will crash consumer spending (largely on credit), because consumer without confidence will quickly turn into a saver. When consumers stop spending, they'll also stop borrowing, which will affect Canadian banks very negatively. The falling housing value will also put immense pressure on the banks and it's not clear if the big banks can stay solvent in this environment. All this points to imminent economic recovery, as I'm sure you understand

I'm very inclined to agree with you. Sadly I can't say anything optimistic although I always try to look on the bright side of things...

[trent]

Originally Posted by sunshine

I'm very inclined to agree with you. Sadly I can't say anything optimistic although I always try to look on the bright side of things...

There is always a bull market somewhere, it's just not in stocks and real estate anymore .

[Canadian]

Originally Posted by trent

There is always a bull market somewhere, it's just not in stocks and real estate anymore .

Where do you think there is a bull market now?

[trent]

Originally Posted by Canadian

Where do you think there is a bull market now?

Gold and silver.

[bullish]

Gold is the biggest bubble of all, and it will crash very soon. You better get out while you can.

[Canadian]

Originally Posted by bullish

Gold is the biggest bubble of all, and it will crash very soon. You better get out while you can.

I wouldn't say that there is a gold bubble, at least not yet, but with all the bailouts and irresponsible money printing we might have one pretty soon.