Moody's downgraded the ratings of Canada's Big Banks

[Stachey]

Has anyone else heard if this is the case?

I just saw a small article in the newspaper that said Moody's downgraded the Big Banks because they have too much exposure to credit card debt and auto loans.

[Heckler]

https://www.google.ca/amp/business.financialpost.com/news/fp-street/moodys-downgrades-credit-ratings-of-canadas-big-six-banks/amp

And thats why we diversify globally.

[RichMoose]

Not surprising given Canadians are some of the most highly leveraged households in the entire world. Household debt is bigger than our entire economy.

I personally don't see how this can end well; it certainly didn't for the U.S., Ireland, Japan...

[Stachey]

I seem to remember a statistic from the US just before the housing bubble burst.  It said that 75% of their economy was based on consumer spending.  (Is that even possible?  I might have a wrong number there.)

I wonder what Canada's percentage is and how much of it is created by the housing bubbles we have all over the place.

[Kaspian]

http://business.financialpost.com/news/economy/canadas-household-debt-is-now-bigger-than-its-gdp-for-the-first-time

:(

Bank spokespeople in the article make it very clear though: it's not overspending that's the issue, it's that people don't make enough.  (Hahahahaha....  HAAHAHAHAHAHAHA!!  BwaHAHAHAHA...  Oh, they tell good lies.  Please borrow more and ask your employer for a raise.)

[Stachey]

http://business.financialpost.com/news/economy/canadas-household-debt-is-now-bigger-than-its-gdp-for-the-first-time

:(

Bank spokespeople in the article make it very clear though: it's not overspending that's the issue, it's that people don't make enough.  (Hahahahaha....  HAAHAHAHAHAHAHA!!  BwaHAHAHAHA...  Oh, they tell good lies.  Please borrow more and ask your employer for a raise.)

LOL! 
Yeah those bank people can spin any story to suit their purposes.
They're almost as good at it as politicians.  ;)