Jump to content
House Price Crash Forum
Si1

Roger Bootle Calls For Currency Manipulation To A Weaker Pound - We Must Not Be Seduced By Apparent Attractiveness Of A Strong Pound

Recommended Posts

http://www.telegraph.co.uk/finance/comment/rogerbootle/7871485/We-must-not-be-seduced-by-apparent-attractiveness-of-a-strong-pound.html

We are asking manufacturers to invest heavily in developing products for export and sales forces on the back of the weak pound and yet we have no strategy for ensuring that the pound remains competitive – and they know it. I am increasingly impatient with the responses of the British policy establishment. I find myself asking what the authorities in Asia would do about a policy issue. In this case I am pretty sure what the answer is.

Share this post


Link to post
Share on other sites

Money for nothing.

What did we end up with - nothing of any merit except a huge ******ing great big bill.

so you never read it then?

Share this post


Link to post
Share on other sites

I look forward to petrol, food, oil etc all going up in pounds. The higher the price the better! We will all thank the Lord for our weak pound.

Share this post


Link to post
Share on other sites

http://uk.finance.yahoo.com/news/sterling-supported-on-fiscal-consolidation-view-reuters_molt-8c7934e3ce44.html?x=0

Sterling supported on fiscal consolidation view
0739 GMT, sterling was little changed on the day at $1.5176. It hovered near $1.5230 hit on Friday, its strongest since early May. Trade was quite in the early London session, as U.S. markets will be closed on Monday for a public holiday.,
9:03, Monday 5 July 2010
LONDON (Reuters) - Sterling hovered near a two-month high against a broadly weak dollar on Monday, supported by the view that the possibility of deeper-than-expected UK spending cuts will help to reduce the country's budget deficit.
The pound was also supported against the dollar after a tepid reading of U.S. employment late last week raised more concerns the country's economic recovery has stalled.
Investors awaited a reading of the UK services sector due at 0828 GMT. Forecasts are for the CIPS/Markit Services PMI to show a reading of 55.00 in June, down slightly from 55.40 in May.
The UK government defended plans on Sunday to ask government departments to consider cuts of as much as 40 percent after opponents warned that it could trigger a second recession and a wave of strikes.
UK Transport Secretary Philip Hammond said departments were unlikely to be asked to make the full extent of cuts they are being asked to consider.
The pound also has been supported by gains in the euro against the dollar, as concerns about the health of the U.S. economy has triggered short covering in the single European currency.
The euro was flat on the day at 82.57 pence, pulling further away from 80.67 pence hit nearly a week ago, its weakest since November 2008.
The dollar struggled after a drop in U.S. non-farm payrolls on Friday suggested the U.S. economic recovery may be faltering, raising speculation that more fiscal stimulus may be needed even as other countries eye consolidation.
Analysts said the view that drastic measures to improve the country's finances would help to support sterling against the dollar in the longer term, although this would also depend on the economic impact of such efforts.
:blink:
"The UK has taken a clear position in the dispute between Europe and the U.S. on the issue of how damaging consolidation measures will be for the first green shoots of the recovery," analysts at Commerzbank (Xetra: 803200 - news) said in a note.
"Long term, the positive effects for sterling are clearly going to dominate. Only in case of weak economic data over the coming quarters fears could take hold that the government really has overdone it."
(Reporting by Naomi Tajitsu, editing by Mike Peacock)

We may well see some short-medium term strength in the pound as other world currencies drop. This will help us import more but on the other hand...............

The reason for sterling strength is the severity of the cuts to be imposed. But surely severe austerity will bring with it much higher unemployment, lower production, falling exports. At the moment it seems that these are all positives for an economy that has been running contrary to logic for so long. The miracle still lives on.

Share this post


Link to post
Share on other sites

I look forward to petrol, food, oil etc all going up in pounds. The higher the price the better! We will all thank the Lord for our weak pound.

Higher raw materials, higher component prices, higher machine tool prices will be an incredible boom for UK manufacturers, all of these are increasingly only available as imports.

Heck if it wasn't for UK manufacturers having to compensate their staff to live in some of the most expensive hovels in the world just think what a right shit state we would be in.

Edited by OnlyMe

Share this post


Link to post
Share on other sites

I look forward to petrol, food, oil etc all going up in pounds. The higher the price the better! We will all thank the Lord for our weak pound.

Come on... we're the fattest nation in Europe and need to cut down our co2 emissions.!?

I'm calling job done.

Share this post


Link to post
Share on other sites

Higher raw materials, higher component prices, higher machine tool prices will be an incredible boom for UK manufacturers, all of these are increasingly only available as imports.

Heck if it wasn't for UK manufacturers having to compensate their staff to live in some of the most expensive hovels in the world just think what a right shit state we would be in.

http://www.lovemoney.com/news/make-good-property-decisions/house-prices/house-prices-are-invincible-5112.aspx?source=1000441

UK property is one of the last global financial bubbles that hasn’t gone pop. Which is amazing, when you consider the low quality of our housing stock. Houses in this country are like the English football team. The quality is abysmal, but they command a small fortune.

How so very true. :angry:

Share this post


Link to post
Share on other sites

Houses in this country are like the English football team. The quality is abysmal, but they command a small fortune.

How so very true. :angry:

If only !!!

England's unrealistic expectations are always exposed as the team crash out of the world cup - the housing market, on the other hand...

But I feel we are approaching the quarter finals in the HPI tournament, we shall see ;)

Share this post


Link to post
Share on other sites

If only !!!

England's unrealistic expectations are always exposed as the team crash out of the world cup - the housing market, on the other hand...

But I feel we are approaching the quarter finals in the HPI tournament, we shall see ;)

Yes it will be ironic if Germans are the winners - they seem to have the much more sensible housing market.

Emmigrate to Germany - you can afford to live and your country wins the world cup

Share this post


Link to post
Share on other sites
<br />I look forward to petrol, food, oil etc all going up in pounds. The higher the price the better! We will all thank the Lord for our weak pound.<br />
<br /><br /><br />

We pay Billions of pounds yearly to landowners "to keep the price of food down"

Then why do we pay for millions of acres of useless HEATHland to be managed (for knobs grouse_shoots)

Share this post


Link to post
Share on other sites

I look forward to petrol, food, oil etc all going up in pounds. The higher the price the better! We will all thank the Lord for our weak pound.

The way this seems to work to me is that we all get taxed more which leads to a stronger pound ( amongst other influencing factors) as a result we should see a reduction in cost of living ( oil and imports get cheaper) but inevitably it doesn't.... I am sure that now we are all "used" to paying over £1 per litre that the petrol monopoly boys will be quite content for it to never back down below that level regardless of how cheap oil gets.... I wonder what the price at the pump was a few years when oil was last at this level and the pound was this strong vs the dollar... I know tax comes inot it, but factoring recent rises out I bet theres no comparisson today which shows the petrol / diesel market just doesn't work.

Share this post


Link to post
Share on other sites

<br /><br /><br />

We pay Billions of pounds yearly to landowners "to keep the price of food down"

Then why do we pay for millions of acres of useless HEATHland to be managed (for knobs grouse_shoots)

The answer is the EU, and their process of subsidies etc also keeps land costs high and therefore effects farm borroings and therefore effects farm profitability etc etc....... I personally yearn for a farming industry without subsides as the EU ones reputedly cost all of us £1,000 per household... but lets not ignore that very many other countries also use them so its not something we can simply ditch in isolation ( even though I'd like to see the back of them)

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 140 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.