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Post by glennkoks on Sept 17, 2022 12:11:57 GMT
Inflation numbers surprised to the upside today. Blamed mostly on rising rents. I just listened to an analyst on Bloomberg say that the average mortgage on a new home is up 60% from one year ago. He brought up a point I did not think about. The increased mortgage costs have put new home ownership out of the reach of millions of potential buyers. They are forced to rent driving up prices in a tight market. Which is a perfect example of why inflation is so hard to stop once it gets rolling. At some point, businesses begin to arbitrarily hike prices without much science, we have been doing that. Just name your prices. A combination of a fear of losing economic ground, and a "well just screw it" attitude.
During a normal economy, we wouldn't dream of doing that for fear of upsetting relationships with established customers. See how dangerous inflation is when it gets to this point?? Believe me, we are past that point now.
The problem I encountered earlier this year is my material costs were going up so fast by the time a delivered my product costs already increased again. My biggest client is a big retail outlet that would require a "product review" for all price increases that would take several weeks to get approved. By the time they approved my new price I already had increased it again. So I lost months this year waiting on price increase approvals. |
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Post by walnut on Sept 17, 2022 14:12:55 GMT
At some point, businesses begin to arbitrarily hike prices without much science, we have been doing that. Just name your prices. A combination of a fear of losing economic ground, and a "well just screw it" attitude.
During a normal economy, we wouldn't dream of doing that for fear of upsetting relationships with established customers. See how dangerous inflation is when it gets to this point?? Believe me, we are past that point now.
The problem I encountered earlier this year is my material costs were going up so fast by the time a delivered my product costs already increased again. My biggest client is a big retail outlet that would require a "product review" for all price increases that would take several weeks to get approved. By the time they approved my new price I already had increased it again. So I lost months this year waiting on price increase approvals. Don't you still sell everything that you get? |
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Post by glennkoks on Sept 17, 2022 19:55:04 GMT
The problem I encountered earlier this year is my material costs were going up so fast by the time a delivered my product costs already increased again. My biggest client is a big retail outlet that would require a "product review" for all price increases that would take several weeks to get approved. By the time they approved my new price I already had increased it again. So I lost months this year waiting on price increase approvals. Don't you still sell everything that you get? Long story short my material costs were increasing so fast (literally by the day or week) that by the time my prices were approved I already had to go up again. Eventually I simply raised it enough to absorb any increases and still be profitable. |
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Post by walnut on Sept 17, 2022 20:59:12 GMT
I bought some supplies Thursday. It seems like prices might have stabilized for the moment. That was a really nasty supply side shock. Hopefully a once in a lifetime event.
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Post by code on Sept 18, 2022 16:29:07 GMT
I bought some supplies Thursday. It seems like prices might have stabilized for the moment. That was a really nasty supply side shock. Hopefully a once in a lifetime event. Supplies? Are we talking food, water or extra underwear? |
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Post by code on Sept 20, 2022 14:47:52 GMT
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Post by missouriboy on Sept 24, 2022 6:02:46 GMT
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Post by missouriboy on Sept 24, 2022 12:37:44 GMT
A decadal and annual view of the DOW. Plenty of room to the bottom.
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Post by walnut on Sept 24, 2022 13:02:01 GMT
I bought some supplies Thursday. It seems like prices might have stabilized for the moment. That was a really nasty supply side shock. Hopefully a once in a lifetime event. Supplies? Are we talking food, water or extra underwear? Work stuff, like tools, steel banding, grease, hydraulic fluid, etc. |
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Post by walnut on Sept 24, 2022 15:34:39 GMT
Not checking stock quotes for a spell lol. This is the first recession planned and announced by the FED. I guess if there is a working climate master thermostat, then the government is capable of managing anything.
It's really easy if you don't sit and count dollars down on an hourly basis. If you can't tolerate a downturn, you shouldn't own equities in public companies. But you will probably never get that lake house...
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Post by walnut on Sept 24, 2022 15:42:24 GMT
I found a deep deposit of #1 flagstone which is worth millions. That was fast and went without a hitch. It's like hitting a big gusher in the mining business. I can see the side of the bluff down to about 100', very good stone all the way down. And I always heard that there was no good stone left in the area. Got lease on first property, cutting mile long access road now. Next lease should be out of lawyers in 2 or 3 weeks. Creepy uncle Joe can't keep us down for long. |
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Post by missouriboy on Sept 25, 2022 1:27:12 GMT
I found a deep deposit of #1 flagstone which is worth millions. That was fast and went without a hitch. It's like hitting a big gusher in the mining business. I can see the side of the bluff down to about 100', very good stone all the way down. And I always heard that there was no good stone left in the area. Got lease on first property, cutting mile long access road now. Next lease should be out of lawyers in 2 or 3 weeks. Creepy uncle Joe can't keep us down for long. And as long as people like your product, and can pay (or trade) for it, you're set. Congratulations.
As a kid, I was fascinated with our local limestone quarries. They made great swimming holes. They are generally excavations done horizontally from the level of our incised creeks. Nearly vertical cliffs of Burlington Limestone on one-to-three sides and a hole in the middle. Ground water kept circulation up ... and lime is a natural anti-bacterial (I didn't know that then). None of us ever got sick ... and only the show-offs ever broke anything.  Potentially great building sites if properly landscaped. Alas ... the city filled in our old pool and built a warehouse on it. |
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Post by walnut on Sept 25, 2022 2:22:23 GMT
Got lease on first property, cutting mile long access road now. Next lease should be out of lawyers in 2 or 3 weeks. Creepy uncle Joe can't keep us down for long. And as long as people like your product, and can pay (or trade) for it, you're set. Congratulations.
As a kid, I was fascinated with our local limestone quarries. They made great swimming holes. They are generally excavations done horizontally from the level of our incised creeks. Nearly vertical cliffs of Burlington Limestone on one-to-three sides and a hole in the middle. Ground water kept circulation up ... and lime is a natural anti-bacterial (I didn't know that then). None of us ever got sick ... and only the show-offs ever broke anything. Potentially great building sites if properly landscaped. Alas ... the city filled in our old pool and built a warehouse on it. I'm not declaring victory yet, events play out in their own time and in their own way.
Yes, NE Tulsa is at the edge of the same Ozark plateau. I'm wondering what they are going to do with a couple of very large limestone quarry holes I drive by frequently. They are building a new Costco next to one of them. They generally converted them to giant landfills, but Costco is not going to go along with that. |
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Post by missouriboy on Sept 26, 2022 2:33:36 GMT
And as long as people like your product, and can pay (or trade) for it, you're set. Congratulations.
As a kid, I was fascinated with our local limestone quarries. They made great swimming holes. They are generally excavations done horizontally from the level of our incised creeks. Nearly vertical cliffs of Burlington Limestone on one-to-three sides and a hole in the middle. Ground water kept circulation up ... and lime is a natural anti-bacterial (I didn't know that then). None of us ever got sick ... and only the show-offs ever broke anything. Potentially great building sites if properly landscaped. Alas ... the city filled in our old pool and built a warehouse on it. I'm not declaring victory yet, events play out in their own time and in their own way.
Yes, NE Tulsa is at the edge of the same Ozark plateau. I'm wondering what they are going to do with a couple of very large limestone quarry holes I drive by frequently. They are building a new Costco next to one of them. They generally converted them to giant landfills, but Costco is not going to go along with that. Water Park for Costco Premium members? |
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Post by code on Sept 26, 2022 15:42:19 GMT
New World Disorder: Canada has accomplished a truly remarkable feat by degrading its already low economic diversity at a far faster rate than any other G7 country Canada’s long economic retreat shows no sign of abating
Vaclav Smil Special to National Post Sep 26, 2022
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Potentially great building sites if properly landscaped. Alas ... the city filled in our old pool and built a warehouse on it. 