The Canadian dollar traded at its highest level since early November 2007 on Tuesday as nervousness over the failure of American lawmakers to raise the country’s debt limit punished the greenback.

The loonie was up 0.51 of a cent to 106.24 cents US.

The United States has a week to reach a deal to increase its US$14.3 trillion debt limit or face not being able to pay its bills. That has led to fears the world’s largest economy could default on its financial obligations and send shockwaves throughout world markets.

See the full story......

http://www.thestar.com/business/article/1030567--loonie-passes-1-06-u-s-as-american-debt-crisis-drags-on?bn=1

is this indication of double deep recession or what?

Recession can still happen if people start losing jobs, but i dont think it will happen any time soon.

Current economic state, business are reporting better than expected earnings..
Only problem is that the better earnings are not translating to jobs in NA and europe..

What we see today is the long term picture for the West and will start a gradual downward slide..

Bush has effectively crash landed the mighty Eagle..

Quote:

---

Originally posted by ashedfc

Quote:

---

Originally posted by RBO
is this indication of double deep recession or what?

---

This is an indication of massive inflation in the future..
Recession (or not) goes by the saying.......
If You & Your neighbor has a job: than its boom time
If Your neighbor is out of job: than its recession
If You & Your neighbor both are out of job: than its depression..

Jokes aside: As long as interest rates are LOW, recession cannot happen. However, the moment interest rates goes up (it will eventually) than all bets are off (& be prepared, as those on the edge will be hurt the most & that will cause the recession)..

---

Watch 'Maxed Out' - the documentary if you want an insight on America's growing debt issue. This documentary was made a few years ago, perhaps before the recession. However, everything that was shown in it is still applicable for the present day crisis in US. I get goosebumps when I think deeply about the southern neighbour's growing problems day by day. The worst part is, they still don't get it.

Anyhow , here's the link to the documentary:

http://www.youtube.com/watch?v=vR2c_K8rbqQ

Enjoy...