Wednesday, Aug 15, 2007
Don't cry hurray yet, David
The Telegraph: Inflation dip eases pressure on Bank to raise interest rates
Inflation my be down but it may come back later this year
Much more important though is the slowing economy, high debt levels, falling real incomes, falling GBP, and falling stocks.
The road to recession (and in my view depression) is looking clear now.
Posted by sold 2 rent 1 @ 07:40 AM (156 views) Add Comment
8 Comments
- If you do not have an admin password leave the password field blank.
- If you would like to request a password allowing you to add comments and blog news articles without needing each one approved manually, send an e-mail to the webmaster.
- Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
- Please note that any viewpoints published here as comments are user's views and not the views of HousePriceCrash.co.uk.
- Please adhere to the Guidelines
1. waitingfor hpc said...
something wrong with adding comments it is accusing me of using bad words when i am not
2. waitingfor hpc said...
try again. talk sport this morning was taking the mike out of the figures for cpi. they were accusing the govt of fiddling the figures without actually saying it.
this has done more damage for the boe, govt and cpi than they realise.
people in my office were taking the mike as well saying they have not seen this drop and they feel cpi should be 7-8% excluding houses.
3. Winnie said...
Yes, I think it will realy backfire. They have taken people for fools and people do not like that....... 1.9....just under the target....too laughable, and way TOO OBVIOUS a fix.
4. harold said...
Yes, the latest cpi is a joke - the government might have blown it this time by manipulating the stats in such a way that is clearly at odds with reality.
5. inbreda said...
True - but it does make me think that they are planning to drop rates at the next BoE meeting and therefore know that they have to manipulate the cpi beforehand.
Makes me worry that they're going to do the wrong thing at next MPC
6. Alan said...
The last MPC vote was 9-0. The US wants rates down badly, to bail out their housing sector and sub-prime.
So, next month could see a rate cut. This might not be best for the long term...however...
7. wage slave said...
I don't know anyone who thinks their personal inflation is running at 1.9%.
Every time the media report 'inflation' to be whatever the CPI happens to be makes this government less and less credible.
This is the governments achilies heel and it's high time the media in general started exploiting it.
8. C'mon Correction said...
There is no way rates will be cut. Sterling will now have a bad couple of months and we'll start importing more inflation - and there is huge amounts under cover in the global economy at present. Expect wage inflation to jump markedly going through into the new year.
The UK economy is in a corner, we can't have anymore money supply at 10%+ inc or house price increases above 1%+ yoy without having a major, major inflation problem. The problem can be masked slightly here at home by Nu labour, but the global issues can't be. For the first time in 10+ years we are starting to have real global issues.
Unless there is a recession and/or HPC - rates will be 6.25% by Feb '08. You can quote me on that!