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apom

Speculation In The Currency Markets

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http://www.bloomberg.com/news/markets/currencies.html

"A wider gap means more dollars need to be converted to other currencies to pay for imports and may raise concern about the U.S. current account, the broadest measure of trade. The U.S. currency fell for three years through December amid record trade and fiscal deficits combined with the lowest interest rates in four decades. "

"Any losses in the dollar may be limited after Fed Bank of St. Louis President William Poole signaled the central bank will keep raising interest rates. "

So with economies struggling the desire to have the dollar perform in the currency market by of loading it to other currencies can be carried out by protecting the dollar with higher interest rates.

Its all a bit complicated, but with a larger economy and a more stable one we need to keep our interest rates higher then the dollar.

If we don't the run on the pound could force rapid Interest Rate rises.. The like of which we saw in the last global economic downshift.

about 1989 IR's here had to skyrocket as we allowed the pound to be devalued as the german currency hit trouble as the berlin wall fell.

Different cause this time.

but all low IR's can do now is expose the currency.

They will need to go up, not urgent yet and to be honest a rise now before it is clearly needed will cause public unrest amongst the.

"I don't need to save, I only borrow.. IR's are bad if high" fraternity.

A struggling pound is highly inflationary in global terms.

We will follow americas lead.. but we need to keep the lead with higher rates.

I am not talking here about house prices.

I am talking about global economic forces..

Its complicated, but not as complicated as paying back a loan the size I would need now to buy.

Higher IR's come and prices will move to reflect this.

House prices dropping will be a result of wider economic forces and a growth in borrowing cost. As high house prices have put in place a good part of the economic forces that will drive this my symapthy is limited..

I am not speculating, giving time frames saying what is going to happen to what extent and when.

I am saying that if you stop and look at the whole economic force that builds and supports the world you will see evidence of change and prrof of what can be sustained.

If you don't look into this before you are prepared to take a loan the size of a modern mortgage then god be with you.

its a lot of money, it will take years of hard work to pay it back.

Do some research.

Houses, more then anything else you buy, are tied in to a greater set of rules then just supply and demand.

And do not dictate the cost of borrowing.

With inflation under strict management you will find that not only will the cost of borrowing increase, but debt will not be inflated away.

Edited by apom

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http://www.bloomberg.com/news/markets/currencies.html

A wider gap means more dollars need to be converted to other currencies to pay for imports and may raise concern about the U.S. current account, the broadest measure of trade. The U.S. currency fell for three years through December amid record trade and fiscal deficits combined with the lowest interest rates in four decades.

Any losses in the dollar may be limited after Fed Bank of St. Louis President William Poole signaled the central bank will keep raising interest rates.

So with economies struggling the desire to have the dollar perform in the currency market by of loading it to other currencies can be carried out by protecting the dollar with higher interest rates.

Its all a bit complicated, but with a larger economy and a more stable one we need to keep our interest rates higher then the dollar.

If we don't the run on the pound could force rapid Interest Rate rises.. The like of which we saw in the last global economic downshift.

about 1989 IR's here had to skyrocket as we allowed the pound to be devalued as the german currency hit trouble as the berlin wall fell.

Different cause this time.

but all low IR's can do now is expose the currency.

They will need to go up, not urgent yet and to be honest a rise now before it is clearly needed will cause public unrest amongst the.

"I don't need to save, I only borrow.. IR's are bad if high" fraternity.

A struggling pound is highly inflationary in global terms.

We will follow americas lead.. but we need to keep the lead with higher rates.

I am not talking here about house prices.

I am talking about global economic forces..

Its complicated, but not as complicated as paying back a loan the size I would need now to buy.

Higher IR's come and prices will move to reflect this.

House prices dropping will be a result of wider economic forces and a growth in borrowing cost. As high house prices have put in place a good part of the economic forces that will drive this my symapthy is limited..

I am not speculating, giving time frames saying what is going to happen to what extent and when.

I am saying that if you stop and look at the whole economic force that builds and supports the world you will see evidence of change and prrof of what can be sustained.

If you don't look into this before you are prepared to take a loan the size of a modern mortgage then god be with you.

its a lot of money, it will take years of hard work to pay it back.

Do some research.

Houses, more then anything else you buy, are tied in to a greater set of rules then just supply and demand.

And do not dictate the cost of borrowing.

With inflation under strict management you will find that not only will the cost of borrowing increase, but debt will not be inflated away.

Like the new writing style Apom. :)

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  • 301 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%



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