InlikeFlynn Posted February 25, 2013 Share Posted February 25, 2013 Just had a shock at my local supermarket - sunflower oil is now £1.59 a litre. Food prices for my weekly shop seem to have kicked on up again this month after a period of relative stability. The price of diesel has risen 4p per liter to 141.7p a litre this month alone. Undoubtedly these are the first effects of the ongoing decline in sterling and there will be more to come. Anything that trades on the global market (bulk foodstuffs, oil etc.) will be hit hard. The rise is diesel is 2.9% in one month with more to come. The inflation figure for february won't be due until the middle of next March, and will be flattered by the data "falling out" of the calculation (prices rose substantially between january and february last year and this effect will fall from the calculation). Inflation over the spring may well push the BoE in unexpected and uncomfortable directions. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted February 25, 2013 Share Posted February 25, 2013 Inflation over the spring may well push the BoE in unexpected and uncomfortable directions. Twice the amount of QE they had pencilled in? It does seem though that the slow motion trainwreck we have bene analysing on this site for eons is gathering momentum. Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted February 25, 2013 Share Posted February 25, 2013 My mate used to run his motor on vegetable oil until they made that more expensive than the pump diesel. Quote Link to comment Share on other sites More sharing options...
inflating Posted February 25, 2013 Share Posted February 25, 2013 Can there now be a wage spiral? Arguments pro and con, please. Quote Link to comment Share on other sites More sharing options...
rollover Posted February 25, 2013 Share Posted February 25, 2013 On the other hand analysts from Goldman Sachs calling an end to the metal’s 12-year bull run as data showed Gold slumped to a seven-month low last week as investors cut holdings. Gold is the world's oldest inflation hedge. Quote Link to comment Share on other sites More sharing options...
@contradevian Posted February 25, 2013 Share Posted February 25, 2013 (edited) Personally wouldn't touch sunflower oil with a barge pole however nice surprise in Lidl today. 250g of excellent Grahams Dairies unsalted butter down to 88p from £1.20. Special offer of course. You need to buy on the offers and ignore the rest I'm afraid. Now Sierra Nevada Pale Ale has risen from £1.89 in Sains/Tesco to £2.09. I only buy a few bottles in, for when my mate comes round as it is all he drinks. Its imported and so has risen a lot in price. Lidl had cheap diced steak or something over the weekend. Some woman at the till bragging she had grabbed all that was left. Could have slapped her. Sometimes Lidl ration customers. Edited February 25, 2013 by Secure Tenant Quote Link to comment Share on other sites More sharing options...
blackgoose Posted February 25, 2013 Share Posted February 25, 2013 (edited) Recent increases will be due to the sharp drop in the pound in the last couple of months. The cost measured in dollars has been more stable. Edited February 25, 2013 by blackgoose Quote Link to comment Share on other sites More sharing options...
Errol Posted February 25, 2013 Share Posted February 25, 2013 On the other hand analysts from Goldman Sachs calling an end to the metal’s 12-year bull run as data showed Gold slumped to a seven-month low last week as investors cut holdings. Gold is the world's oldest inflation hedge. Goldman long gold, then? Quote Link to comment Share on other sites More sharing options...
pyracantha Posted February 25, 2013 Share Posted February 25, 2013 My mate used to run his motor on vegetable oil until they made that more expensive than the pump diesel. It's occurred to me there might be a deliberate policy of ensuring it's always more expensive than diesel to stop people doing this. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted February 25, 2013 Share Posted February 25, 2013 Can there now be a wage spiral? Arguments pro and con, please. Wage inflation is bad, Mystic Merv said so. This was the only inflation he was really concerned about as the proles had to eat 5h1t and like it. Inflation everywhere else was perfectly acceptable. Quote Link to comment Share on other sites More sharing options...
Take Me Back To London! Posted February 25, 2013 Share Posted February 25, 2013 (edited) On the other hand analysts from Goldman Sachs calling an end to the metal’s 12-year bull run as data showed Gold slumped to a seven-month low last week as investors cut holdings. Gold is the world's oldest inflation hedge. Just a month ago Goldman Sachs's analyists were advising investors to go long in gold and gold went in the opposite direction. Once again the conrtarian indictaor is flashing. http://www.bloomberg.com/news/2013-01-21/goldman-forecasts-gold-rally-amid-debt-ceiling-confrontation.html Goldman Forecasts Gold Rally Amid Debt-Ceiling ConfrontationBy Glenys Sim - Jan 21, 2013 3:51 PM GMT+0100 Gold may climb over the next three months as U.S. lawmakers attempt to tackle the country’s debt ceiling and the world’s largest economy slows, Goldman Sachs Group Inc. said, advising investors to place bets on advances. “We see current prices as a good entry point to re- establish fresh longs,” analysts Damien Courvalin and Alec Phillips wrote in a Jan. 18 report. The bank reiterated a three- month target of $1,825 an ounce, as well as a forecast for prices to weaken in the second half as the U.S. economy rebounds. Edited February 25, 2013 by Take Me Back To London! Quote Link to comment Share on other sites More sharing options...
long time lurking Posted February 25, 2013 Share Posted February 25, 2013 My mate used to run his motor on vegetable oil until they made that more expensive than the pump diesel. I still do, cost co £21.50 20 lt last time I bought it from them but tesco had a 2 for 1 on there 3liter bottles just after Xmas so I stocked up on that Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted February 25, 2013 Share Posted February 25, 2013 i nearly took a photo of the empty shelf of own brand washing up liquid sat next to a full shelf of fairy...that's repeated all round the store! Quote Link to comment Share on other sites More sharing options...
easy2012 Posted February 25, 2013 Share Posted February 25, 2013 Can there now be a wage spiral? Arguments pro and con, please. You need to be more specific with your question. For the average worker who are competing with global / EU labour supplies - no. Those who live off state/EU subsidies, indexed link pension, those who run the central bank - yes. Quote Link to comment Share on other sites More sharing options...
long time lurking Posted February 25, 2013 Share Posted February 25, 2013 It's occurred to me there might be a deliberate policy of ensuring it's always more expensive than diesel to stop people doing this. It did increase in price dramatically when it become legal to run a car on it Quote Link to comment Share on other sites More sharing options...
billybong Posted February 25, 2013 Share Posted February 25, 2013 (edited) http:// www.telegraph.co.uk/finance/financialcrisis/9886000/The-Bank-of-England-cant-just-go-on-doing-down-the-pound.html The policy was reaffirmed in the minutes published this week of the Monetary Policy Committee, with the Bank’s Governor, Sir Mervyn King, acting as its cheerleader. Having only recently said that central bank money printing, or quantitative easing, was not the silver bullet he had hoped for, it now appears he wants much more, in part because it helps keep the pound low and therefore may assist in reaching the Holy Grail of a more balanced British economy. It's not working and it's never worked before but hey why not give it another go. Edited February 25, 2013 by billybong Quote Link to comment Share on other sites More sharing options...
billybong Posted February 25, 2013 Share Posted February 25, 2013 (edited) Just a month ago Goldman Sachs's analyists were advising investors to go long in gold and gold went in the opposite direction. Once again the conrtarian indictaor is flashing. Interestingly the long advice seems to have been published very soon after the chart cut down through the 200 ma. Edited February 25, 2013 by billybong Quote Link to comment Share on other sites More sharing options...
zugzwang Posted February 25, 2013 Share Posted February 25, 2013 It's not working and it's never worked before but hey why not give it another go. Mervo's entire career is filled with things that didn't work out the way he'd hoped for... Anyway, he's lying again. The primary function of QE is to depress gilt yields not the value of the pound. Quote Link to comment Share on other sites More sharing options...
fluffy666 Posted February 25, 2013 Share Posted February 25, 2013 ...Sometimes Lidl ration customers. What, after they've finished rationing out the horse? Quote Link to comment Share on other sites More sharing options...
fluffy666 Posted February 25, 2013 Share Posted February 25, 2013 It did increase in price dramatically when it become legal to run a car on it Veg oil is a significant source of nutrition across a lot of the 3rd world.. bidding up the price to cover a few percent of 1st world oil use seems a bit mean, to put it mildly. Quote Link to comment Share on other sites More sharing options...
wonderpup Posted February 25, 2013 Share Posted February 25, 2013 Can there now be a wage spiral? Arguments pro and con, please. Recently 1700 people applied for 3 full time and four part time positions at a Costa Coffee shop- I don't think that many people are going to be demanding wage rises in the near future- except those with genuinely rare skills or talents. Quote Link to comment Share on other sites More sharing options...
Timak Posted February 25, 2013 Share Posted February 25, 2013 I'm long Weetabix and Ribena. 50% return on my investments from earlier this year. This isn't even a joke post. I bought loads on special offer earlier this year. Only space limits me buying more. Quote Link to comment Share on other sites More sharing options...
InlikeFlynn Posted February 25, 2013 Author Share Posted February 25, 2013 (edited) Despite the pound taking a kicking and higher inflation expectations... UK 10-year gilt yields are down slightly http://www.bloomberg...uote/GUKG10:IND presume this is because the market is factoring in more QE..... what wierd times we live in! Edited February 25, 2013 by InlikeFlynn Quote Link to comment Share on other sites More sharing options...
winkie Posted February 25, 2013 Share Posted February 25, 2013 Despite the pound taking a kicking and higher inflation expectations... UK 10-year gilt yields are down slightly http://www.bloomberg...uote/GUKG10:IND presume this is because the market is factoring in more QE..... what wierd times we live in! Remember this? http://www.telegraph.co.uk/finance/budget/9724935/Autumn-Statement-2012-Blow-for-George-Osborne-as-investors-reject-100-year-gilts.html Quote Link to comment Share on other sites More sharing options...
doomed Posted February 25, 2013 Share Posted February 25, 2013 Despite the pound taking a kicking and higher inflation expectations... UK 10-year gilt yields are down slightly http://www.bloomberg...uote/GUKG10:IND presume this is because the market is factoring in more QE..... what wierd times we live in! Why is the intrest the government has to pay lower than it has ever been when the financial position we are in has never been worse? Quote Link to comment Share on other sites More sharing options...
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