Thursday, Aug 21, 2008
No wage price spiral here.
The Telegraph: Relief for Bank of England as wage rises slide to five-year low
Wages are increasing at the weakest rate in five years as the economic downturn takes its toll on families' incomes, official figures have shown.
Posted by sold 2 rent 1 @ 10:18 AM (998 views) Add Comment
26 Comments
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1. sold 2 rent 1 said...
So we are looking at a deflationary collpase. Money supply and wages are good indicators.
For those who think that this terminal for gold read this article
Gold and the Money Supply
http://www.safehaven.com/article-11021.htm
2. sold 2 rent 1 said...
Money supply and gold have a bizarre relationship at the secular peaks and troughs of gold
The 1980 peak in gold and low in money supply coincide
The 2001-2 low in gold and high in money supply coincide
So if money supply collapses into 2010-2011 we might just see a corresponding peak in gold.
A very strange relationship indeed
3. titaniccaptain said...
S2R1......when do you see money coming to an end?
4. sold 2 rent 1 said...
titaniccaptain,
Summer/autumn 2011.
Both the Armstrong and Calleman models point a massive low and very destructive period.
Robert Prechter is predicting a 300 year Elliott wave crash.
You need to look at the debt-based banking system as a necessary item in our evolutionary development.
We needed it to get through the industrial revolution when populations were expanding massively across the world.
It has almost reached its sell-by date.
The banking system only serves the bankers now.
It is time for something new.
The end of western style capitalism could be only 2+ years away, where we see the end of massive corporations (energy, pharma etc)
5. matt_the_hat said...
this should help to reduce the casm between rich and poor, can't wait until the work houses reopen,
6. denzil said...
S2R1 said:
"So if money supply collapses into 2010-2011 we might just see a corresponding peak in gold."
How will people pay for gold when the money supply collapses?
When money comes to an end what type of currency will we use to purchase gold?
For those FTB waiting to get on the ladder, should they wait until money collapses or the end
of money? If so, how do they then get onto the property ladder?
I'm genuinely curious as to how this system will work.
BTW. I do not have access to online videos, so can you explain in words please?
7. crash n burn said...
S2R1 I had most definitely been a gold bull for a long time. I topped up even at the peak, but have been proven so badly wrong and it hurts – really hurts, I cut my losses (and they were pretty big) when we broke down through $850. The trend has changed, gold is going down, down, down. It may spike up to $850 if you are lucky, but this is the start of a long term downtrend for sure and I cannot afford to loose anymore. $850 will be MASSIVE resistance. Should it peep above it for a short period, I’d be tempted to short the c*#p out of it.
8. matt_the_hat said...
@ crash n burn
your no better than the BTL investors who said they were in it for the long term. When will people learn that day trading is gambling and you have to pick a stratergy that will equal out the noise (i.e. ups and downs) and produce the results you want. I'm not in anyway advocating gold here.
9. Rentinginthesouth said...
I've bought gold and a fair bit too - for above than it is now. I've seen it go up and go down. I have no idea what it will do and to be honest, I'm not worried about it. I've spread my portfolio, and not in it for a quick buck.
10. still renting said...
@matt_the_hat
Not all trading is gambling. Buying shares to hold long term for dividend income, for example, is not about gambling but about owning a piece of a company to share in the profits. A well constructed hedge trade is not a gamble but a way of mitigating risk.
On the other hand, buying gold because you think it will go up, or because someone with a pretty chart showed you how it would peak in 2011, is gambling. A bit like buying houses to let when the gross yield is 2% less than the cost of capital, because "house prices always go up".
Arguably, S2R1 is long gold to hedge against the collapse of civilisation, rather than to make a profit, so it's not really a gamble. If civilisation ends, but he has his shiny gold, he'll be happy. If civilisation doesn't end, he may also be able to find some positives there, although his gold might not be worth very much. None of this changes the fact that he is a gullible loon, who believes anyone with a mayan calendar, a graph and a 14.3 year cycle of destruction (tm).
11. still renting said...
Sorry, m_t_h, I just re-read your comment and realised you said "day trading". Just ignore my ranting. I'm obviously not having a good day.
12. sold 2 rent 1 said...
denzil,
"How will people pay for gold when the money supply collapses?"
"When money comes to an end what type of currency will we use to purchase gold?"
Gold will become money when fiat money collpases.
But only for a while until we have something new altogether.
2010 is a good time to exchange gold for property.
Having said that, property will continue to fall into 2011, and gold will go onto a mega-mania in 2011 too.
Having a stable environment going into the 2011 destruction period is very important.
13. crash bandicoot said...
S2R1, if money is going to collapse in 2011 would early 2011 be a good time to buy a huge property based on a large loan, on the basis that posession is nine tenths of the law. If money collapses for everyone then who will be coming for your debts? How about huge leveraging to buy other assets. I am being serious about this not just taking the mickey.
14. inbreda said...
Wage rises slowing? I don't beleive it! Oh! Hang on! The figures are "official government figures". That would explain their lack of correlation to reality.
15. jack c said...
@Crash - "posession is nine tenths of the law" its actually "possession is nine parts (or points) of the law" sorry to be pedantic but this one drives me nuts.
16. Utterlee said...
"Wage rises slowing? I don't beleive it! Oh! Hang on! The figures are "official government figures"."
To be honest I don't know anyone who's getting an inflation level payrise this year, many people aren't getting anything extra at all.
Apart from the Tube workers of course...
17. sold 2 rent 1 said...
crash bandicoot,
"S2R1, if money is going to collapse in 2011 would early 2011 be a good time to buy a huge property based on a large loan, on the basis that posession is nine tenths of the law. If money collapses for everyone then who will be coming for your debts? How about huge leveraging to buy other assets. I am being serious about this not just taking the mickey."
Interesting idea but that doesn't sound like you will be making much spiritual progress with that action.
Calleman's model in its most simplistic form says materialism gives way to spiritualism
18. James said...
James' model says 'shyeah, right!'
James' model is based upon a firm view of all the quasi-religious pseudo-scientific bs that has been spouted over the years by those with 'special insight', just like s2r1. Also based upon the fact that no more than a week ago, s2r1 was saying money expansion was inexorable, and that we were headed for hyperinflation because banks created money 'out of thin air'. And now? Now he says it's a 'deflationary collapse' we're in for.
He's a fraud, spamming the board with baseless predictions of cataclysm. The one constant is that he says BUY GOLD.
19. crash bandicoot said...
jack c, sorry, I'm usually a pedant myself. I'll add that one to my collection.
S2R1, I am under the impression that it is fundamental humuan nature to look after yourself first, then to worry about others afterwards. This behaviour has been shown in experiments with pretend prisons and volunteer warders and inmates. It is also what happened in Soviet style communism. Long live the party officials shop brother!
What you are suggesting must require that it is more beneficial for the individual to work for a common good than for themselves. Further than this it calls upon them to realise this for themselves, and to continue beliving this. I can see that this requires something approaching spiritualism to work, and as you also suggest it probably needs to come from a low base after some serious destruction. I struggle to see this happening myself but maybe I'm in denial...........
20. nopensionnohouse said...
Guys, I can’t believe how many people have been suckered into s2r1’s BS. I find it laughable and sad at the same time.
He’s mad. Most people (if not all) who invested in Gold on his prophesy have already lost out big time in real money or are showing significant paper losses. Just read crash n burn at 12:22.
S2r1. I appreciate you putting your money where your mouth is but how does it feel to have so many here loose out BECAUSE YOU WERE WRONG???
Oh, right. You are in it for the long term. Got you.
Blimey! Take a step back everyone before you loose more money!!!!
21. nopensionnohouse said...
No wait, if you want to make money from trading in gold & oil I have a better way of doing it:
If s2r1 says it’s going down then buy. And vice versa.
If he says it’s going to go through the roof then short.
Tada! Easy money.
22. nopensionnohouse said...
And this is not a personal attack on s2r1. I’m still patiently awaiting the dawn of free energy by the end of this year as predicted by the messiah himself on this very forum.
With bated breath as well I can tell you.
4 months to go and counting…
23. p. doff said...
22. nopensionnohouse said...
And this is not a personal attack on s2r1. I’m still patiently awaiting the dawn of free energy by the end of this year.
Hint of bitterness there nopension. You didn't fall for it did you?
Yeah, I was patiently waiting for gold to ''go to the moon'' by June 5th as per the messiah's prediction, and when it didn't, he conveniently brushed it off by saying he had got his spikes mixed up and really meant oil. Had there been a sudden increase in the price of condoms at that time, he would have retrospectively made that his prediction instead.
As far as the free energy prediction goes, when that doesn't happen either he will probably claim he had mixed it up with the return of free plastic bags at Tesco.
Some of the postings are good for a laugh and brighten up your day, but act on financial advice given by an unqualified anonymous blogger on the internet AT YOUR PERIL.
24. shipbuilder said...
17. sold 2 rent 1 said...
"crash bandicoot,
"S2R1, if money is going to collapse in 2011 would early 2011 be a good time to buy a huge property based on a large loan, on the basis that posession is nine tenths of the law. If money collapses for everyone then who will be coming for your debts? How about huge leveraging to buy other assets. I am being serious about this not just taking the mickey."
Interesting idea but that doesn't sound like you will be making much spiritual progress with that action.
Calleman's model in its most simplistic form says materialism gives way to spiritualism"
Yet only five posts back you were saying that property would be the thing in 2012.
Note, not 'a home' but 'property'.
Making much spiritual progress? I'll say it again - buying gold and blogging on HPC.co.uk are not the actions of a man who believes that catastrophe is coming up, when 'many may not survive' (your words).
You clearly don't believe what you say. Why should we?
25. James said...
It's so refreshing that it's not just me any more.
26. nopensionnohouse said...
I was saying exactly the same thing months before you started posting here! Check out the archives.
In the beginning I was the lone voice. Now that many have started loosing real money perhaps more will start speaking up.
Keep it up!