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Category: Economy & Financial Markets

Canadian GDP numbers disappoint, inflation easing not certain, says Gervais

Mar 3, 2023 Mar 6, 2023 by RealAgriculture News Team

The expectation of Canada's gross domestic product number (GDP) wasn't great — analysts predicted 1.5% GDP growth in Q4; Farm Credit Canada was slightly more optimistic at 1.7%, but both expectations were off. The GDP growth for Q4 ended up being — wait for it — zero. J.P. Gervais, chief economist for Farm Credit Canada... Read More

How does the Russia-Ukraine war end? On China, the West, and the fog of war, with Jacob Shapiro

Feb 24, 2023 Feb 27, 2023 by RealAgriculture Market Team

The problem with war is that there's no way to know, really, what is going to happen. Jacob Shapiro, geopolitical analyst with Cognitive Investments, calls this the "fog of war," and it creates uncertainty, volatility, and quick shifts in direction that are difficult to plan for. In the podcast and video below, RealAg Radio host... Read More

Consumption trends: how tech and experience affects consumer choices

Feb 21, 2023 Feb 21, 2023 by Atley Hamlin

Rising costs and inflation are a hot topic right now, but what are the overall trends being seen in consumer choices in the long term? Heather Thomson is the executive director at the Alberta School of Business Centre for Cities and Communities and she spoke at the Ag Awareness Summit at Saskatoon last week. Thomson... Read More

Real interest rates will likely remain low in the long term, says former Bank of Canada governor

Feb 17, 2023 Feb 21, 2023 by Kelvin Heppner

The former governor of the Bank of Canada says he expects inflation will drop quicker than many are predicting and that real interest rates will remain low in the long term. Stephen Poloz shared his economic outlook during a keynote presentation at the CropConnect Conference in Winnipeg on Wednesday. Many of the economic parameters that... Read More

Will grain markets get a soft landing on the backside of the commodity supercycle?

Jan 16, 2023 Jan 16, 2023 by Kelvin Heppner

Looking back over the past century, economic recessions have more often than not been preceded by a sharp rise in oil prices, as seen in the first half of 2022. Farmers and grain marketers should be looking to the energy market as a leading indicator for where other commodities are headed, according to a market... Read More

Big picture thinking required to manage a new era of high costs, tight labour market

Dec 9, 2022 Dec 12, 2022 by RealAgriculture Market Team

The Bank of Canada raised its overnight rate by 0.50 per cent earlier this week, but signalled this may be the beginning of the end for rate hikes. What does this, a tight labour market, and high commodity prices have in store for 2023? J.P. Gervais, chief economist with Farm Credit Canada, spoke this week... Read More

Don't make China the centrepiece of an export strategy, cautions analyst

Dec 8, 2022 Dec 9, 2022 by RealAgriculture News Team

Where Brazil and Mexico have the potential to emerge as hot markets in the longer term, China is a market that one geopolitical analyst says should be sold to when the opportunity arises, but should not be the centre of a trade strategy. Jacob Shapiro with Cognitive Investments strongly cautions Canada, and the U.S. too,... Read More

The Cow Guy on the market cash crunch, recession, and the almighty jobs number

Nov 22, 2022 Nov 22, 2022 by RealAgriculture Market Team

The current sideways lull in the grain markets has some feeling somewhat uneasy, wondering if the market bumps higher or breaks to the downside. Given the last 18 months, it feels like anything is possible. But why are the markets trading sideways? Plenty of reasons, says Scott Shellady, host of the Cow Guy Close show... Read More

Interest rates and the grain markets — carrying costs, risk, and price outlooks

Oct 27, 2022 Oct 27, 2022 by Kara Oosterhuis

On October 26th, the Bank of Canada announced a 50 basis point interest rate hike — marking the sixth raise of the calendar year. Brennan Turner, grain market analyst and founder of Combyne Ag, says because we're in an environment of high inflation, we're going to see a few more of these increases over the... Read More

Nitrogen markets remain extremely volatile as geopolitical tensions endure

Sep 2, 2022 Sep 2, 2022 by Kara Oosterhuis

There's no doubt that nitrogen prices have seen a steep price increase again as of late. Most of this momentum is being propelled by the current state of the natural gas market. Sam Taylor, farm input analyst with Rabo AgriFinance, says North American natural gas prices are the highest they've been since about 2008. "What... Read More

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