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🚨 Canada's Restaurant Reckoning Over 4,000 restaurants are projected to close this year, after 7,000 already shut down in 2025. Not because demand disappeared but because costs didn’t stop rising while consumers ran out of room. Food prices. Wages. Rent. Insurance. Margins are gone. 41% are operating at a...

361,185 views • 8 months ago •via X (Twitter)

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This is such an interesting point that Powell made yesterday that people missed. He said that "the tariffs are mostly being paid by the companies that sit between the exporter and the consumer... All of those companies and entities in the middle will tell you that they have every intention of passing that through [to the consumer] in time." What he was describing is the hidden squeeze happening in the supply chain. Importers, wholesalers, and retailers are paying higher costs upfront and hoping they can eventually raise prices enough to shift the burden. The problem is that consumers are already tapped out. Household budgets are under pressure from rising debt, delinquencies, and wages that do not stretch far enough. Trying to pass along tariff costs in this environment would push demand even lower. Businesses know this, which is why many of them are absorbing the costs instead. But when they do that, their margins shrink, and it becomes harder to sustain operations without making cuts elsewhere. When profitability gets pressured, management has few options. They cannot control tariffs, and they cannot force consumers to spend more. What they can control are expenses. That begins with slowing hiring and scaling back growth plans, then cutting hours and overtime. If conditions do not improve, the inevitable step becomes layoffs. We are already seeing the early signs of this play out. Companies in trade-exposed industries like manufacturing, shipping, and retail are quietly trimming staff. These are the first cracks, but history shows that once the cycle begins, it rarely stays contained. If tariffs remain in place and consumers stay weak, the ripple effects spread further into the labor market. This is the real chain reaction in my opinion, Powell was hinting at. Tariffs may look like a policy directed abroad, but the costs end up at home. They filter through supply chains, eat away at margins, and eventually show up in the form of job losses.

StockMarket.News

507,319 views • 1 year ago

‼️More Inflation Incoming.‼️ Even the Bank of England admits it. So here are three things worth understanding. 1. Inflation usually ends at wages. Prices can keep rising for as long as people can keep paying them. If your wages rise at the same pace as prices, your standard of living doesn’t really change. But if prices keep rising while wages lag behind, your purchasing power falls. You don’t notice it all at once. It’s a slow squeeze. Every pay packet buys a little bit less than it did before. Then people start cutting back, demanding higher pay, or simply going without. Ask yourself this… If employers can fill vacancies with people willing to work for lower wages, what does that do to the bargaining power of existing workers? 2. High prices eventually solve high prices. Not because politicians step in. Because consumers do. When enough people refuse to pay the asking price, demand falls. People buy less. They switch to cheaper alternatives. Or they stop buying altogether. Businesses then have two choices: lower prices if they still can, or if they can’t make a profit, close their doors. 3. Not all inflation hurts equally. You can postpone buying a new phone. You can’t postpone paying your mortgage. You can skip a holiday. You can’t stop buying food or paying your electricity bill. Inflation in luxury goods is annoying. Inflation in essentials changes lives. If inflation continues, expect more pressure on household budgets, more businesses struggling, and some jobs disappearing as people cut back on spending. My advice? Don’t wait until you’re forced to make changes. Pay down expensive debt if you can. Build some savings. Review your spending now, not when circumstances do it for you. The people who usually cope best aren’t the ones hoping everything goes back to normal. They’re the ones who prepare before everyone else realises they need. Hope isn’t a financial strategy. Preparation is.

Melissa Ciummei

53,313 views • 28 days ago