Financial Markets Meltdown

[Dean2]

So a great many might find this monthly report for Darren Gee, CEO of Peyto, quite interesting. After seeing Teslas lined up for hours in BC waiting to get a charge, this too brought a smile to my face.

I tried to paste the actual report into this post but as a PDF doc it does not come out well at all. Click on the link and you will get a nice PDF version.


Peyto Exploration & Development Corp.
President's Report by Darren Gee

August 2021 -- What's in a Turnaround?
Click Here for Report



By the way KGB, PPL is up 11% since we bought 2 months ago, not quite the 20% you were hoping for but still not too shabby.

[KGB]

Originally Posted by Dean2

So a great many might find this monthly report for Darren Gee, CEO of Peyto, quite interesting. After seeing Teslas lined up for hours in BC waiting to get a charge, this too brought a smile to my face.

I tried to paste the actual report into this post but as a PDF doc it does not come out well at all. Click on the link and you will get a nice PDF version.


Peyto Exploration & Development Corp.
President's Report by Darren Gee

August 2021 -- What's in a Turnaround?
Click Here for Report



By the way KGB, PPL is up 11% since we bought 2 months ago, not quite the 20% you were hoping for but still not too shabby.

I am not complaining, lol!
Wouldn’t mind another 10 points by the end of the year…

[Dean2]

Well. looks like the lying Liberals are being exposed and, their shills and the idiots at the Bank of Canada are wrong again. Inflation is accelerating and it sure isn't temporary. This needs to be a VERY big issue in the election as this is Trudeau's disastrous policies coming home to roost, and inflation is tax on every single Canadian.

Rob Roach, ATB Economics | August 18, 2021
Inflation in Alberta spiked in July


[IMG]file:///C:\Users\Dean\AppData\Local\Temp\msohtmlclip1\01\c lip_image001.png[/IMG]

Please note: The Owl will be going on vacation starting next week and returning on Wednesday, September 8, 2021.

After rising by 2.7% on a year-over-year basis in June, the Consumer Price Index (CPI) in Alberta increased by 3.7% in July. Excluding gasoline, the CPI increased by 2.6%.

Gasoline (+38.4%), natural gas (+30.9%) and electricity (+21.1%) prices saw particularly large increases compared to June 2020.

The cost of food purchased from stores was 2.0% higher while food purchased from restaurants increased by 3.2%.

Recreational cannabis prices were 22.7% lower than 12 months earlier. The cost of clothing and footwear decreased by -1.7%.

Nationally, the inflation rate went from 3.1% in June to 3.7% in July. with prices higher in every province. Prince Edward Island had the highest rate at 6.1% while Saskatchewan had the lowest at 2.3%.

At 4.0%, the inflation rate was higher in Calgary than in Edmonton where it was 3.2%.

Answer to the previous trivia question: With an officially recognised top speed of 316 mph, the SSC Tuatara is currently the world's fastest production car.

Today’s trivia question: What is the official national currency of Denmark called?

[wildwoods]

Originally Posted by Dean2

Well. looks like the lying Liberals are being exposed and, their shills and the idiots at the Bank of Canada are wrong again. Inflation is accelerating and it sure isn't temporary. This needs to be a VERY big issue in the election as this is Trudeau's disastrous policies coming home to roost, and inflation is tax on every single Canadian.

Rob Roach, ATB Economics | August 18, 2021
Inflation in Alberta spiked in July


[IMG]file:///C:\Users\Dean\AppData\Local\Temp\msohtmlclip1\01\c lip_image001.png[/IMG]

Please note: The Owl will be going on vacation starting next week and returning on Wednesday, September 8, 2021.

After rising by 2.7% on a year-over-year basis in June, the Consumer Price Index (CPI) in Alberta increased by 3.7% in July. Excluding gasoline, the CPI increased by 2.6%.

Gasoline (+38.4%), natural gas (+30.9%) and electricity (+21.1%) prices saw particularly large increases compared to June 2020.

The cost of food purchased from stores was 2.0% higher while food purchased from restaurants increased by 3.2%.

Recreational cannabis prices were 22.7% lower than 12 months earlier. The cost of clothing and footwear decreased by -1.7%.

Nationally, the inflation rate went from 3.1% in June to 3.7% in July. with prices higher in every province. Prince Edward Island had the highest rate at 6.1% while Saskatchewan had the lowest at 2.3%.

At 4.0%, the inflation rate was higher in Calgary than in Edmonton where it was 3.2%.

Answer to the previous trivia question: With an officially recognised top speed of 316 mph, the SSC Tuatara is currently the world's fastest production car.

Today’s trivia question: What is the official national currency of Denmark called?

Now if we actually had media who cared about Canadians, we would hear more about this stuff. Covid, covid, covid, quick scandal, covid, covid, sports, covid, covid, climate change......

[fishtank]

feels like the price of some stocks on stocks been settling down from the beginning of the year , would be interesting to see what happen in oct after the canadian election .

[Twisted Canuck]

Pierre Pollievre has done several vids on this very topic Dean. The odds of the bought and paid for MSM giving it airtime is slim. But whether people hear about it or not, they are certainly feeling it.

https://youtu.be/S3r_XTnBP7c

[Dean2]

For those of you that have been waiting for a market correction to buy back in, pay attention. Depending on what happens in China with their real estate sector and the potential default of a huge Real Estate company China Evengrade Group, the decreasing price of commodities and the Delta variant wave, we could see up to a 20% correction over the next month or so.

For anyone holding risky stocks this would be a good time to collect your profits and hold the money on the side for the buying opportunities in quality stocks. Most of you know I am not a fan of trying to sell before dips and buy back on the highs but I am currently sitting on a higher than normal cadh reserve, waiting for some buying opportunities in top performing dividend paying stocks.

[fishtank]

Originally Posted by Dean2

For those of you that have been waiting for a market correction to buy back in, pay attention. Depending on what happens in China with their real estate sector and the potential default of a huge Real Estate company China Evengrade Group, the decreasing price of commodities and the Delta variant wave, we could see up to a 20% correction over the next month or so.

For anyone holding risky stocks this would be a good time to collect your profits and hold the money on the side for the buying opportunities in quality stocks. Most of you know I am not a fan of trying to sell before dips and buy back on the highs but I am currently sitting on a higher than normal cadh reserve, waiting for some buying opportunities in top performing dividend paying stocks.

there will be no bail out , as ccp wanted the real estate to cool down. Its a after effects of governments policy change of took away the real estate companys credit, thats what lead to their liquidity problems. Before the real estate company use deposit from new buyers to build presold house, but the problem its theres no new money and there still lots of undelivered house that people had paid for about 1 million units or so... its a huge ponzi scheme .

[Dean2]

Originally Posted by fishtank

there will be no bail out , as ccp wanted the real estate to cool down. Its a after effects of governments policy change of took away the real estate companys credit, thats what lead to their liquidity problems. Before the real estate company use deposit from new buyers to build presold house, but the problem its theres no new money and there still lots of undelivered house that people had paid for about 1 million units or so... its a huge ponzi scheme .

You are completely right. The whole Chinese economy and stock market is one MASSIVE ponzi scheme. I had fully expected it to explode at some point, just like crypto will, but I honestly never expected an implosion triggered by their own government. The Chinese economy has become big enough, and there is enough foreign money tied up in it for this to have a large cascade effect throughout the major economies of the free world.

[Drewski Canuck]

I have been to China twice and Hong Kong twice.

In 2015 - 2016, China saw massive stock value loss of 30 % or more. Many companies were essentially purchased by the Government of China which applied money from its balance of trade surplus to prop up its Stock Markets.

Many of those companies were Real Estate Companies.

Last time we visited China, we were on a bullet train doing 280 km / hr from Shanghai to Xian. In 20 minutes I counted on ONE SIDE of the train, over 15 unfinished cities. There were over 100 idled construction "red lion" cranes on 40 - 60 story buildings, with Residential Apartments of 30 + stories, unfinished, with unfinished freeways, roads, and train stations. Most of the Buildings had NO windows installed, and were abandoned.

No work was being done at all in these insta - cities. How many trillions was wasted on that exercise?

I seriously doubt that the collapse of one company today will have a bigger impact than when 1400 + Companies requested Stop Trade Orders from the Shanghai Stock Exchange in 2015 & 2016.

The Chinese Government was forced to "buy the board" to stop a complete collapse of its economy. I expect that they will do so again.

Hopefully, enough European banks and North American banks exited China's Bond Markets before this hit China so the impact will be negligible.

Drewski

[fishtank]

Originally Posted by Drewski Canuck

I have been to China twice and Hong Kong twice.

In 2015 - 2016, China saw massive stock value loss of 30 % or more. Many companies were essentially purchased by the Government of China which applied money from its balance of trade surplus to prop up its Stock Markets.

Many of those companies were Real Estate Companies.

Last time we visited China, we were on a bullet train doing 280 km / hr from Shanghai to Xian. In 20 minutes I counted on ONE SIDE of the train, over 15 unfinished cities. There were over 100 idled construction "red lion" cranes on 40 - 60 story buildings, with Residential Apartments of 30 + stories, unfinished, with unfinished freeways, roads, and train stations. Most of the Buildings had NO windows installed, and were abandoned.

No work was being done at all in these insta - cities. How many trillions was wasted on that exercise?

I seriously doubt that the collapse of one company today will have a bigger impact than when 1400 + Companies requested Stop Trade Orders from the Shanghai Stock Exchange in 2015 & 2016.

The Chinese Government was forced to "buy the board" to stop a complete collapse of its economy. I expect that they will do so again.

Hopefully, enough European banks and North American banks exited China's Bond Markets before this hit China so the impact will be negligible.

Drewski

its all about debt and there was plenty of cheap money especially from overseas export and local goverment in the pass 20 years, now the chicken coming home. Real estate company are piling on debt to finance these construction projects and many just goes bust as mention in these ghost citys , in the end these borrowed cash still went to the upper management/politician pockets. The bank sold these debt as wealth product to unsuspecting investers they are now left holding the bag . majority if not all wealth/investment option in china are tied to real estate. its like a person that put all their 30+ years of rrsp and saving into 1 single stock, the fallout in this case nortel stocks ...

[Big Grey Wolf]

Dean, looks real simple, with price of dope down 22.7%, just buy a bunch and stay stoned. You will not know what is happening to the economy!

[lmtada]

Originally Posted by Big Grey Wolf

Dean, looks real simple, with price of dope down 22.7%, just buy a bunch and stay stoned. You will not know what is happening to the economy!

Funny guy. Was just down in Kimberly, Cranbrook this past week. Many of the men, and women I observed. Seemed many have subscribed to your methodology.

[KGB]

Originally Posted by lmtada

Funny guy. Was just down in Kimberly, Cranbrook this past week. Many of the men, and women I observed. Seemed many have subscribed to your methodology.

I think this is their permanent condition down there, lol! I was there about 4 years ago and it was the same, lol!

[Dean2]

Originally Posted by Big Grey Wolf

Dean, looks real simple, with price of dope down 22.7%, just buy a bunch and stay stoned. You will not know what is happening to the economy!

You know, after watching the election results, staying permanently baked might actually be a really good idea.

[MyAlberta]

Originally Posted by Dean2

Well. looks like the lying Liberals are being exposed and, their shills and the idiots at the Bank of Canada are wrong again. Inflation is accelerating and it sure isn't temporary. This needs to be a VERY big issue in the election as this is Trudeau's disastrous policies coming home to roost, and inflation is tax on every single Canadian.

Rob Roach, ATB Economics | August 18, 2021
Inflation in Alberta spiked in July


[IMG]file:///C:\Users\Dean\AppData\Local\Temp\msohtmlclip1\01\c lip_image001.png[/IMG]

Please note: The Owl will be going on vacation starting next week and returning on Wednesday, September 8, 2021.

After rising by 2.7% on a year-over-year basis in June, the Consumer Price Index (CPI) in Alberta increased by 3.7% in July. Excluding gasoline, the CPI increased by 2.6%.

Gasoline (+38.4%), natural gas (+30.9%) and electricity (+21.1%) prices saw particularly large increases compared to June 2020.

The cost of food purchased from stores was 2.0% higher while food purchased from restaurants increased by 3.2%.

Recreational cannabis prices were 22.7% lower than 12 months earlier. The cost of clothing and footwear decreased by -1.7%.

Nationally, the inflation rate went from 3.1% in June to 3.7% in July. with prices higher in every province. Prince Edward Island had the highest rate at 6.1% while Saskatchewan had the lowest at 2.3%.

At 4.0%, the inflation rate was higher in Calgary than in Edmonton where it was 3.2%.

Answer to the previous trivia question: With an officially recognised top speed of 316 mph, the SSC Tuatara is currently the world's fastest production car.

Today’s trivia question: What is the official national currency of Denmark called?

Anyone not expecting this had their head in the sand. US policies guarantee this result. Add a global pandemic to really know what its like to get caught with your pants down.

Originally Posted by Dean2

For those of you that have been waiting for a market correction to buy back in, pay attention. Depending on what happens in China with their real estate sector and the potential default of a huge Real Estate company China Evengrade Group, the decreasing price of commodities and the Delta variant wave, we could see up to a 20% correction over the next month or so.

For anyone holding risky stocks this would be a good time to collect your profits and hold the money on the side for the buying opportunities in quality stocks. Most of you know I am not a fan of trying to sell before dips and buy back on the highs but I am currently sitting on a higher than normal cadh reserve, waiting for some buying opportunities in top performing dividend paying stocks.

Once again, realestate leads the pack

[Dean2]

Bank shares, some Reits, telecom and utilities came off 10% or slightly more but seem to have stabilized and are clawing their way higher again. RBC is up over a buck this morning alone. Hard to tell whether this was the full correction, will know by the end of Oct. Thus the challenge in timing drops, bottoms and tops. Has been a good time however to pick up some additional quality stocks.

[MooseRiverTrapper]

Canadian energy still grinding higher. WCP MEG BTE ATH KEL NVA.

[bdub]

So much going on right now.

World is entering or already in the early stages of an energy crisis brought on by political stupidity/underinvestment and the so called "climate crisis". OPEC compliance at 116%, nat gas shortages in Europe, Asia, electricity shortages almost everywhere.

Food inflation and increasing hunger for some for the next couple years.

Supply chains still in bad shape, manufacturing is struggling to produce. Shortages of manufactured goods is here.

All cryptocurrency transactions banned in China as of yesterday.

Evergrande and a real estate/debt crisis in China. Contagion to the rest of the Worlds financial system not clear yet.

FED and other CB's talking taper, FED reducing their bond purchasing from a measly 120 billion a month as soon as November. Yields/borrowing costs going up.

Exploding governments debt. Political battles in the US as it reaches its debt ceiling. Politicians trying to push through ever more spending and looking for more tax revenue.

And Covid is still doing its thing coming on two years.

Never a dull moment.

[bdub]

Originally Posted by MooseRiverTrapper

Canadian energy still grinding higher. WCP MEG BTE ATH KEL NVA.

Another divy increase from TOU as well as a $.75 special dividend announced this week.

[Trochu]

Originally Posted by bdub

Another divy increase from TOU as well as a $.75 special dividend announced this week.

Stupid TOU!!

I held that stock for years, pretty steady decrease for three years straight, shouldn't have, but gritted my teeth and sold in 2020, your welcome.

[fishtank]

Originally Posted by Trochu

Stupid TOU!!

I held that stock for years, pretty steady decrease for three years straight, shouldn't have, but gritted my teeth and sold in 2020, your welcome.

I sold all my shares of shopify at $90, paid my 2017 property taxes with the profit ... oh well not as bad as the bitcoin pizza guy .

[bdub]

Originally Posted by Trochu

Stupid TOU!!

I held that stock for years, pretty steady decrease for three years straight, shouldn't have, but gritted my teeth and sold in 2020, your welcome.

Yeah. Thanks lol. Was a long rough patch. TOU and others are still dirt cheap here based on nat gas and oil/liquids prices. Only two Canadian names a guy really needs here in this space imo. TOU and CNQ.

[bdub]

Natural gas gaining almost 11% today, getting close to tripling in the last year or so. Supply crunch happening in Europe, Asia. Some outfits are predicting $100 USD per MMBtu in Asia and Europe if we get a cold winter. Going to throw another wrench into the global economy. I'm expect shortages and high prices for of all kinds of goods and products dependent on nat gas as a feed stock.

[Drewski Canuck]

If Natural Gas goes up and holds, the Orphan Well Fund will have an easy time offloading alot of formerly non economic gas wells. As long as abandonment bonds are part of the sale so the wells do not get back into the Orphan Well Fund, it would ease the supply issues somewhat.


However, Europe should revel in their pain as it was Europe who was so eager to switch to green energy for its electrical grid, even though its the Natural Gas Generating Stations that are relied on for peak demand which seems to be ever increasing.

Drewski

[mac1983]

Originally Posted by bdub

Yeah. Thanks lol. Was a long rough patch. TOU and others are still dirt cheap here based on nat gas and oil/liquids prices. Only two Canadian names a guy really needs here in this space imo. TOU and CNQ.

ARX and CVE fit in to that category as well...

These 4 cover the WCSB, heavy oil/nat gas/liquids

ARX=Arc Resources/7 Generations

CVE=Cenovus/Husky

[thenaturalwoodsman]

Originally Posted by mac1983

ARX and CVE fit in to that category as well...

These 4 cover the WCSB, heavy oil/nat gas/liquids

ARX=Arc Resources/7 Generations

CVE=Cenovus/Husky

This^^^^
I own shares in CNQ and CVE sure glad I bought as much of both companies as I could 18 months ago. Both have obviously performed well CNQ dividend is good, but CVE is most interesting right now with some more upside and has been on the move.....

[MountainTi]

Originally Posted by Drewski Canuck

If Natural Gas goes up and holds, the Orphan Well Fund will have an easy time offloading alot of formerly non economic gas wells. As long as abandonment bonds are part of the sale so the wells do not get back into the Orphan Well Fund, it would ease the supply issues somewhat.


However, Europe should revel in their pain as it was Europe who was so eager to switch to green energy for its electrical grid, even though its the Natural Gas Generating Stations that are relied on for peak demand which seems to be ever increasing.

Drewski

Ember has been taking over a whack of the Trident wells from the AER for well over a year now. Doing well on them. Seen this price increase coming for a good while now. Alberta has seen it's best days from natural gas royalties and we will see it again. Ralph bucks came from high NG prices, maybe we will seen Kenney bucks yet lol

[MooseRiverTrapper]

Bte meg nva

[bdub]

https://www.bloomberg.com/news/artic...en-investments

This is what energy investors are up against. They still hate it despite 75$ oil and 5.60$ gas. Hopefully they choke on their green investments.