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Canada officially enters recession

Discussion in 'Property Market Economics' started by hpresident, 2nd Sep, 2015.

  1. hpresident

    hpresident Well-Known Member

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    Link to article

    With a very similar economic composition to us, heavy reliance on oil, gas and raw material, Canada is now in recession due to plunging commodity prices. I wonder if this is a sign that we will be in economic contraction soon. and subsequently recession. I always viewed Canada's economy as a leading indicator to our economy. Thoughts?

    And if so, how does this affect the property market?
     
  2. jaybean

    jaybean Well-Known Member

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    It's scary how similar they are to us. They've been dropping interest rates and I think it's currently only a tiny bit below ours. As a result their real estate market has gone crazy. So many parallels.
     
  3. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Well there isn't 1 property market, there are thousands. If and when Australia does hit hard times I can only assume the markets that have less overall demand may be affected more than other markets.

    I have come to the realisation a long time ago though that imo, a large segment of society will be screwed anyway come retirement time if they don't invest now. So no matter what is going on in the world, I try to make the best investment choices I can in the places I think have overall good demand and long term will hold its value.

    There is just no other way to create a decent chance of a good retirement for most people. We cant afford to stop investing every time we fear the world, or Australia is heading for challenging times. Just my opinion.
     
  4. Waterboy

    Waterboy Well-Known Member

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    The thing is, USA is their largest trading partner. They should be riding on the US growth but they are not!
     
  5. Leo2413

    Leo2413 Well-Known Member Premium Member

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  6. Aaron Sice

    Aaron Sice Well-Known Member

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    Russia is technically in recession too.

    How does that affect our property market?
     
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  7. Bayview

    Bayview Well-Known Member

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    Should be a ripper - all those "mail order bride" Russian girls coming out here to live with their recently acquired middle-aged/elderly Aussie husbands are gunna have to live somewhere. :p
     
  8. Bullion Baron

    Bullion Baron Well-Known Member

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    More of a (potential) sign of things to come than a direct impact.

    "Canada is Australia's 23rd-largest merchandise trading partner, with two-way trade amounting to around A$3.4 billion in 2013-14 - A$2.1 billion in imports to Australia and approximately A$1.2 billion in exports to Canada."
    http://dfat.gov.au/geo/canada/pages/canada-country-brief.aspx
     
  9. Aaron Sice

    Aaron Sice Well-Known Member

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    it's TWENTY THIRD....? do they get a sports-carnival-style participation medal?
     
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  10. C-mac

    C-mac Well-Known Member

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    Wow, Canada.. China.. US.. Basket-case Spain/Greece.. Japan.. Russia..

    Im a glass half full guy, but ask everyone on this thread, what countries' economies ARE actually doing well right noen

    I can only think of Brazil and maybe the nordics that are at least doing 'ok' right now. I guess Germany and Singapore are hanging in there too? What about India?

    If there arent many or any, and most countries are doing poorly at the same time, when does this become another GFC? Or even worse, the 'D' word?
     
  11. SeafordSunshine

    SeafordSunshine Well-Known Member

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    Finland is not going well, and they were a 'pay in ' EU country and now they aren't.
     
  12. Beelzebub

    Beelzebub Well-Known Member

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    Well isn't the business cycle supposed to be every seven years? 91 recession, Asian financial crises, dot com boom, GFC. I guess we're about due for another global shock.
     
  13. gman65

    gman65 Well-Known Member

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  14. Fargo

    Fargo Well-Known Member

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    India is starting to boom it is the next China
     
  15. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Last edited: 2nd Sep, 2015
  16. larrylarry

    larrylarry Well-Known Member

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    so buy more when economy does down?
     
  17. JDP1

    JDP1 Well-Known Member

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    It'll be close to being the next China, but not quite..
    In anycase, we would be foolish not to ink the free trade deal sooner rather than latter.
    Expect Labor unions and green groups to oppose it as usual.
     
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  18. Waterboy

    Waterboy Well-Known Member

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    Obviously you are not in tune with the reality of the global economy. Brazil? It's in a recessionary course.
     
  19. Leo2413

    Leo2413 Well-Known Member Premium Member

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    Canada, China, USA, Brazil, Japan, Russia..etc etc. recession, no recession, slow in growth or not. I still say people in Australia are going to want to buy and rent my properties in high demand areas and not think about Canada or China's economy when signing the rental/sale contracts. just my opinion.
     
  20. Waterboy

    Waterboy Well-Known Member

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    No question about that.

    This thread is for discussion purposes only for the Bored and the Beautiful.
     
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