25% tariffs on Canadian and Mexican imports.

[Ulti]

And why less tariffs on China than Canada?

https://paulkrugman.substack.com/p/why-has-trump-gone-soft-on-china

[ICUMD]

12 hours ago, Spekulatius said:

Here are stats on the US Canada trade balance:

https://www.scotiabank.com/ca/en/about/economics/economics-publications/post.other-publications.canada-and-us-economics-.canada-and-us-decks.trade-stats--january-31--2025-.html#:~:text=Energy accounted for 30% of,US goods imports from Canada.
 

Total trade is between the two is 600B CAD and trade deficit is ~41B cad so only 7% of the total. Furthermore, if you exclude energy, then the balance of good and services between CA and the US is actually negative for Canada, meaning that Canada imports more than it exports ex energy.

Trump's issue is the trade deficit. Tariffs affect trade, not fentanyl trafficking in Canada's case.

 

Really, Canada has incurred the trade deficit by selling our oil and energy at 30-50% discounted prices to the USA.  Now we are being punished. 

 

That level of discount should never have been offered. 

 

The best response Canada should have had to close the trade deficit would be to sell oil and electricity at market prices. Deficit goes away.

 

Also, Canada should expedite making proper corridors for energy transport across the country so that we aren't forced to sell to the USA exclusively.

 

This will be an expensive lesson for Canada and hopefully change how we do business permanently.

 

[Ulti]

https://kiowacountypress.net/content/colorado-among-states-could-be-hardest-hit-trump-tariffs-canadian-oil
 

[Spekulatius]

6 hours ago, Parsad said:

 

You should write a country song..."I Shot My Neighbor When His Dog Killed My Chicken."

 

Cheers!

About sums it up

[james22]

2 hours ago, Sweet said:

I don’t get the tariffs on Canada. 

 

Seriously?

 

Trump believes that Canada has not held its side of the bargain, and he set terms to prove that we still work together: get the borders under control and crack down on fentanyl dens.

 

These are things that every Canadian wants its government to do, too. These are not crazy demands, even if they came from an unpopular source.

 

 

[Sweet]

14 minutes ago, james22 said:

 

Seriously?

 

Trump believes that Canada has not held its side of the bargain, and he set terms to prove that we still work together: get the borders under control and crack down on fentanyl dens.

 

These are things that every Canadian wants its government to do, too. These are not crazy demands, even if they came from an unpopular source.

 

 

Yes seriously.  Not sure what ‘their side of the bargain’ means… what bargain is being referred to?  What agreements hasn’t Canada broken?  What weren’t they willing to do if he had of just asked them?

[james22]

22 minutes ago, Sweet said:

What agreements hasn’t Canada broken?  

 

Good question.

[Blake Hampton]

And Musk now has access to the treasury. This is unprecedented:

DOGE Gains Access to Payment System Doling Out Trillions to Americans - WSJ

Elon Musk’s Team Now Has Access to Treasury’s Payments System - NYT

[Blake Hampton]

I have a really bad feeling that we're barreling towards some form of financial crisis. The stuff that's currently happening is insane.

[ArminvanBuyout]

12 hours ago, Spooky said:

 

This is just too funny

I remember when WSJ was considered right/conservative haha

[Sweet]

1 hour ago, james22 said:

 

Good question.

Should be easy to answer then.

[John Hjorth]

This topic basically doubled in legth and size over night, my local time 

 

30 minutes ago, Blake Hampton said:

I have a really bad feeling that we're barreling towards some form of financial crisis. The stuff that's currently happening is insane.

 

There will most likely be a lot of volatility, short term, and over the coming days. 

 

We need to take it easy, cool down, and focus on thinking about the situation in a rational way.

 

The political rhetoric already posted in this topic is to me a disgrace to CofB&F.

[Sweet]

38 minutes ago, Blake Hampton said:

I have a really bad feeling that we're barreling towards some form of financial crisis. The stuff that's currently happening is insane.

you are so negative always.  

[Blake Hampton]

11 minutes ago, Sweet said:

you are so negative always.  

I honestly don’t understand how many of you aren’t. I do sometimes feel like I’m going crazy.

[Gregmal]

8 minutes ago, Blake Hampton said:

I honestly don’t understand how many of you aren’t. I do sometimes feel like I’m going crazy.

Well, one it’s a choice, and two, it’s a horrible way to live. 

[Gregmal]

21 minutes ago, John Hjorth said:

We need to take it easy, cool down, and focus on thinking about the situation in a rational way.

Exactly. Everybody has been conditioned to get all dramatic and turn every little thing into a VERY, VERY, BIG DEAL! 
 

I wonder how many people are currently aware of all the global taxes and tariffs that influence everyday things that are currently unnoticed? But now of course, “new” and “Trump” and our heads need to explode.

[cwericb]

25 minutes ago, John Hjorth said:

The political rhetoric already posted in this topic is to me a disgrace to CofB&F.

John, you might feel a little different if you had just been stabbed in the back by your best friend.

[cubsfan]

21 minutes ago, John Hjorth said:

We need to take it easy, cool down, and focus on thinking about the situation in a rational way.

 

 

I think many are trying to... it's not easy.  Arguments presented on both sides. What would be your suggestion to discuss such an important issue?

 

Let me ask you this @John Hjorth - tariffs are used around the world by many countries.

 

Why? and When should they be used?  Should they never be used? 

Is a soveriegn nation immoral if they ever use tariffs?

 

In particular, do you think the Mexican tariffs are immoral or unnecessary?

 

I will purposely leave Canada out of the question to avoid the emotional response.

[73 Reds]

1 hour ago, Blake Hampton said:

I have a really bad feeling that we're barreling towards some form of financial crisis. The stuff that's currently happening is insane.

OK, you're not alone and you may be right.  So having said that, rather than dwell on the issue why not structure your investments and finances so that you are prepared if you are right, yet don't completely stagnate if you are wrong.  There are plenty of fine all-weather investments.

[Xerxes]

Time is being wasted here. I caught up with the new posts. Same stuff. Seriously … 
 

This is like having a thread on a Ukrainian-Russian forum about the invasion in Feb 2022, where one side is so determined to make the point that there are Nazi in Kiev. Therefore a full scale invasion is needed to de-Nazify and restore the empire. The truth is always the first victim. There are average Ivans in Moscow, as they are average Mohammadans in Cairo as they are average Joe’ in the mid-West, just repeating the “Party line”. 
 

Nationalism has taken over common sense. So be it. The back and forward is non value added. 
 

If President Trump had said there should be tariffs on the imports from the Moon, the crowd would be all-in and would making YouTube videos, and writing essays why it makes perfect sense. 
 

Take them at their word:

 

When a sovereign power openly talks about annexation and economic subjugation of another sovereign power, take them at their word. 
 

Where is our wartime prime minister ?
 

 

[Pelagic]

Trump's own Treasury Secretary seems to have miscalculated his appetite for tariffs. From Bessent's early 2024 letter to investors:

 

Quote

The talk of revenge will likely be limited to a small group of political enemies, and the wider policies of the administration will be oriented toward de-regulation, energy independence, reviving U.S. manufacturing and extending the tax cuts. We find it unlikely that across-the-board tariffs, as currently reported by the media, would be enacted at the same time as he moves to fix the immigration crisis. The tariff gun will always be loaded and on the table but rarely discharged. Of course, strategic and national security issues around China will remain.

 

Another differentiated view that we have is that Trump will pursue a weak dollar policy rather than implementing tariffs. Tariffs are inflationary and would strengthen the dollar--hardly a good starting point for a US industrial renaissance. Weakening the dollar early in his second administration would make U.S manufacturing competitive. A weak dollar and plentiful, cheap energy could power a boom. The current Wall Street consensus is for a strong dollar based on the tariffs. We strongly disagree. A strong dollar should emerge by the end of his term if the US reshoring effort is successful.

 

https://assets.realclear.com/files/2024/02/2353_keysquare.pdf

[cubsfan]

^^^ Point well taken. However, this is one economic take and provides no argument as to the security issue, which has been discussed here at nauseam.  That's the point.

 

Peter Navarro, Trump's key advisor has a very different view than Bessant.

Edited 3 hours ago by cubsfan

[Mephistopheles]

In politics it’s good to be honest and recognize your faults, and change your mind when the facts change.

 

Not speaking directly of Canada here, but in general I was always and am a free market guy. 
 

I thought it was idiotic to start trade wars. But, I can see now that Trump does it as a bargaining tool.

 

He wants everyone to think he’s crazier than he actually is. I’m sure the U.S. will get concessions via his antics. I don’t think the tariffs will last. He’s a businessman surrounded by wealthy businessmen who all likely hate the tariffs too.

 

Again, not sure if it makes sense with Canada specifically.

 

But, here I am, I was wrong about Trump’s tariffs.

 

Having said that I still think he is a fascist autocrat. Thank god for checks and balances!

Edited 3 hours ago by Mephistopheles

[cubsfan]

1 minute ago, Mephistopheles said:

In politics it’s good to be honest and recognize your faults, and change your mind when the facts change.

 

Not speaking directly of Canada here, but in general I was always and am a free market guy. 
 

I thought it was idiotic to start trade wars. But, I can see now that Trump does it as a bargaining tool.

 

He wants everyone to think he’s crazier than he actually is. I’m sure the U.S. will get concessions via his antics.

 

Again, not sure if it makes sense with Canada specifically.

 

But, here I am, I was wrong about Trump’s tariffs.

 

Having said that I still think he is a fascist autocrat. Thank god for checks and balances!

 

Bingo on everything but the Facist part! LOL

[Blake Hampton]

18 minutes ago, 73 Reds said:

OK, you're not alone and you may be right.  So having said that, rather than dwell on the issue why not structure your investments and finances so that you are prepared if you are right, yet don't completely stagnate if you are wrong.  There are plenty of fine all-weather investments.

I did.
 

I’m completely invested in both inflation resistant assets and cash. The question I can’t seem to answer though is exactly how much of that should be cash.