The October weather has been outstanding with a perfect blend of heat and moisture. When I was in the field I thought I died and went to mushroom heaven, I  brought home a bushel. People thought I was crazy rolling on the ground as the excitement filled me with adrenaline. I couldn’t get enough taking all that I could. It reminded me of the times my Dad would take us out to the forest as if we were on a scavenger hunt, so exciting I felt like a kid at an all-you-can-eat ice cream parlour. By the way, I only picked the ones I was familiar with and no one had to seek medical attention.

Speaking of medical attention the world seems to be heading toward a very troubling situation, specifically with Government imposed mandates. Soon those that are not vaccinated working in hospitals, flying planes and working for public institutions will either be suspended or fired. The dilemma we will be facing is going to be troubling. Staff in hospitals will be expected to take on more responsibilities with more patients to attend to. This could be catastrophic as the burnout rate could bring the system as we know it towards greater wait times or a halt altogether.

Meanwhile, as world governments try to spend their way through a Pandemic, by increasing the money supply and inducing inflation, the attention turns to the USD as the benchmark of global trade. In my opinion, as governments keep printing money and head toward the edge of financial unsustainability the questions remain what will those in power do to procure the income needed to support the grotesque spending. A most effective way is to raise Individual taxes but the increase in prices also increases the tax base on all transactions which becomes a subliminal increase in taxation that no one can escape.

The Biden Administration is in disarray, completely failing on so many fronts including a botched Afghanistan withdrawal, a border crisis in which illegal immigrants are arriving in droves and are not vaccinated.  Yet mandates are required for American as well as Canadian workers. Further, cargo ships cannot unload their goods at ports as shipping lanes are clogged while transportation logistics are in a state of confusion.  An explosion of wills is about to come to a head and the result could be catastrophic not only to individuals but the economy as a whole. Wait until the truckers join the resistance and the economy comes to a complete standstill. Load up your cantina or go pick mushrooms while you can.

Already America is faced with the highest gas prices in history and inflation presented by annual CPI data showed an increase of 5.4% in September. The target is to sustain a (2%) target which has clearly been overshot. With pending turmoil expected, the Central Banks will be hesitant to raise rates anytime soon until the consistency is maintained. The world is also embroiled in a global energy crisis, as European nations are at the mercy of Russian Natural Gas suppliers. The ECB is oblivious with respect to inflation and claims it’s only temporary. Meanwhile, businesses are going bankrupt due to the skyrocketing costs.

Consequently, the USD Index dropped below the 94.0 level despite the Federal Reserve announcing the start of Tapering at a clip of $15 Billion per month. This news recently had driven the value of the USD higher, on rumour alone. On the other hand, the price of Oil tested the $81/barrel contributing to the rise of the Canadian Dollar above the 0.80 cent level. Canadian MFG came in as expected at (0.5%) and was also supportive. Just remember, every dog has its’ day and our Loonie is presently a reflection of weaker USD and higher oil prices.