'Bart' Posted August 16, 2011 Share Posted August 16, 2011 Bang, bang....you're dead! (you're not really dead, it's the internet) http://www.youtube.com/watch?v=GaVNfZWBVhQ Quote Link to comment Share on other sites More sharing options...
Ash4781 Posted August 16, 2011 Share Posted August 16, 2011 (edited) Stuff that's fallen in the CPI over the past year: Cheers. The second hand car falls are interesting because of the overall household balance sheet. QE not working on those asset prices it seems. Edited August 16, 2011 by Ash4781 Quote Link to comment Share on other sites More sharing options...
snowflux Posted August 16, 2011 Share Posted August 16, 2011 (edited) Inflation or deflation coming? I can't decide whether to move my ISAs to BM 5-year 4.65% fixed rate (deflation) or buy some more NS&I index linked certs (inflation). Things certainly seem pretty inflationary at the moment, but this graph worries me: The credit crunch in 2008 saw inflation plummet, only to be revived again by ZIRP and QE. It's starting to feel like 2008 all over again, but we're all ZIRPed out now. Will it be different this time round? Edited August 16, 2011 by snowflux Quote Link to comment Share on other sites More sharing options...
Noginthenog Posted August 16, 2011 Share Posted August 16, 2011 Will it be different this time round? No. Never underestimate the ability of governments to create inflation. Quote Link to comment Share on other sites More sharing options...
ken_ichikawa Posted August 16, 2011 Share Posted August 16, 2011 Inflation or deflation coming? but we're all ZIRPed out now. Will it be different this time round? Yes, unlike the 70s w'll tip into hyper. Tell me I'm wrong, they are resolving debt with more debt. The EU is resolving debt with debt, the USA is resolving debt with more debt. Quote Link to comment Share on other sites More sharing options...
Sour Mash Posted August 17, 2011 Share Posted August 17, 2011 Inflation or deflation coming? Deflation coming to be countered with money printing causing inflation ... until the money printing runs out and deflation re-asserts ... so more money printing and we repeat ... and eventually, after God knows how many cycles of this, deflation doesn't reassert. Then it's hyperinflation. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted August 17, 2011 Share Posted August 17, 2011 Have seen several media reports saying how these inflation figures may lead to an IR hike... D'uh - the BoE saw these numbers before their last meeting and decided it wasn't worth an IR hike (the minutes of that meeting are out today I believe?). Quote Link to comment Share on other sites More sharing options...
VeryMeanReversion Posted August 17, 2011 Share Posted August 17, 2011 It is absolutely nothing to do with VAT either. Zero-rated items (safety footwear for instance) are going through the roof. It's time to worry when safety footwear is going through the roof. However, I suspect interest rates will rise only when knickers are falling. Merv. Quote Link to comment Share on other sites More sharing options...
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