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Chrippie

"Citizens will soon turn their rage to central bankers"

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I used to work with Albert Edwards and while always bearish, he can be prescient. This is an interesting article. It reads as though it was written by someone on this site. Bear in mind he is the number 1 rated market strategist working in the city today. Clients love him. If this is what he is telling his hedge fund/pension fund/sovereign wealth fund clients then it will gradually become mainstream. I believe the tide is turning, and the demos is becoming aware of what has been done in its name. When it becomes mainstream all bets are off I believe as the anger will be something to behold. 

 

http://www.zerohedge.com/news/2017-06-22/albert-edwards-citizens-will-soon-turn-their-rage-towards-central-bankers

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Yeah I'm sure most on here feel like that. My point is that this is now being openly discussed in the city. The only thing that will turn the situation around is if the people who control the strings realise they have to turn it round or there'll be a revolution. We are pretty close to that point in my view. 

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13 minutes ago, Chrippie said:

Yeah I'm sure most on here feel like that. My point is that this is now being openly discussed in the city. The only thing that will turn the situation around is if the people who control the strings realise they have to turn it round or there'll be a revolution. We are pretty close to that point in my view. 

I think tptb would like to, but the boomer voting collective still has political weight in this game.

Edited by Si1

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11 minutes ago, Si1 said:

I think tptb would like to, but the boomer voting collective still has political weight in this game.

The g.e. show that's changing fast.

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13 minutes ago, TheCountOfNowhere said:

The g.e. show that's changing fast.

Indeed. But how fast

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46 minutes ago, Chrippie said:

Yeah I'm sure most on here feel like that. My point is that this is now being openly discussed in the city. The only thing that will turn the situation around is if the people who control the strings realise they have to turn it round or there'll be a revolution. We are pretty close to that point in my view. 

So far, I've seen Gove, Hague, Corbyn and May openly question the CB orthodoxy. I think May has backtracked on her radical positioning simply to save her political a55 in the short term. Indeed, boomer political influence is waning. But not there yet.

Edited by Si1

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41 minutes ago, Chrippie said:

Yeah I'm sure most on here feel like that. My point is that this is now being openly discussed in the city. The only thing that will turn the situation around is if the people who control the strings realise they have to turn it round or there'll be a revolution. We are pretty close to that point in my view. 

Turn it around? 

Anyone here who think that is possible?

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15 minutes ago, TheCountOfNowhere said:

If the Tories want to win the next g.e. and save the necks, metaphorically speaking, of the establishment they need to act now.

They sure do, but will they?

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I just see a repeat of the 1970s in very rough terms. Cameron and May are Ted Heath and also Harold Wilson in a funny juxtaposition. Corbyn is Callaghan.

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my rage turned inward and sadly onto my family , it made me give up work for years with saved cash in the bank being eroded by the shame that is great britain. 

it`s one thing having rage when you cannot buy , but the rage of seeing your savings become worthless and the house you could have bought go up in price by 100`s of thousands really put me in a bad place. 

especially when seeing people with nothing buying houses they cannot afford in a fair sane world or 3x annual income as it used to be .

 

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15 minutes ago, Trampa501 said:

Turn it around? 

Anyone here who think that is possible?

Sorry poor choice of words - I don't mean turn it around to a newly stable situation just with slightly different dynamics. I mean turn the tide around that is heading towards revolution. 

Since the crisis the political calculus has been that kicking the can down the road through ZIRP/NIRP, QE in order to inflate asset prices has been the best way to preserve the status quo. Brexit, Trump and the GE show this is no longer the case imo. Turning things around means turning this calculus around to one where deferring the pain may not be desirable any longer. Its not worth the candle. If that happens you could see economic orthodoxy and CB actions turn very quickly i think. House price crash becomes desirable because it puts the fear of losing their jobs into proles so they are no longer coming after you with pitchforks. 

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3 hours ago, Chrippie said:

I used to work with Albert Edwards and while always bearish, he can be prescient. This is an interesting article. It reads as though it was written by someone on this site. Bear in mind he is the number 1 rated market strategist working in the city today. Clients love him. If this is what he is telling his hedge fund/pension fund/sovereign wealth fund clients then it will gradually become mainstream. I believe the tide is turning, and the demos is becoming aware of what has been done in its name. When it becomes mainstream all bets are off I believe as the anger will be something to behold. 

 

http://www.zerohedge.com/news/2017-06-22/albert-edwards-citizens-will-soon-turn-their-rage-towards-central-bankers

Albert has been writing this stuff(and been wrong) for years.I'm amazed he's as popular as you say he is.I'm amazed he's kept his job to be honest.Bob Janjuah was another long term iirc.

I pull out a quote I like which alludes to the debate in places like HPC or Shaun Richards blog regarding money velocity which has tanked as they've ramped the printing/ZIRP/QE.Sadly,it's a debate you only see in obscure corners of the web.

'here is no recognition at all by central bankers that it may well be their own easy money and zero interest rate policies that are actually causing the stagnation in growth while at the same time wealth inequality surges to intolerable heights'

 

34 minutes ago, frederico said:

One thing's for sure, it won't end well for ordinary people and the rich will get richer.

Like the French revolution?

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9 hours ago, Si1 said:

I think tptb would like to, but the boomer voting collective still has political weight in this game.

Don't recognise the lumping together of boomers as final salaried I am alright jack cruise junkies, alright you didn't say that Si1 but that's the inference

 Low IO's destroys values we can get from pension pots and we are desperately wanting a crash so our kids have a chance to get housing at a reasonable price if they want to - yea we would prefer a softish crash but ultimately we are more insulated against by age and assets 

in fact you might be surprised who actually does have an instrumental role in turning this around it won't be left wing professionals mortgaged to the hilt for a poxy flat in Balham that will vote for change

its not a generational thing - we are both better than viewing it as  such don't you think ? It's the 1% against the rest irrespective of generation as said on here many times they love it when we fight between class and generation perfect diversion

Edited by Greg Bowman

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7 hours ago, Sancho Panza said:

Albert has been writing this stuff(and been wrong) for years.I'm amazed he's as popular as you say he is.I'm amazed he's kept his job to be honest.Bob Janjuah was another long term iirc.

I pull out a quote I like which alludes to the debate in places like HPC or Shaun Richards blog regarding money velocity which has tanked as they've ramped the printing/ZIRP/QE.Sadly,it's a debate you only see in obscure corners of the web.

'here is no recognition at all by central bankers that it may well be their own easy money and zero interest rate policies that are actually causing the stagnation in growth while at the same time wealth inequality surges to intolerable heights'

 

Like the French revolution?

Amazing or not, he is the number 1 rated global strategist in the city today. He keeps his job because he is hugely successful at generating votes and therefore income for his employer. 

He has been wrong on equities yes for a long time, but he hasnt been writing this aggressively about central bankers and ZIRP/NIRP as part of the problem politically rather than part of the solution (although it has been a part of his thinking for sure). Its been more on the impact on markets i think (though i don't read him all the time so could be wrong on that) But if that idea that political instability is a result of the actions of central banks gains currency in the city it will start to become a thing in the Tory party as well. That makes him a key opinion former. I'm just flagging up that this debate is now happening. 

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30 minutes ago, Mine the wheatfield said:

Joe Public barely understands High Street banks.  Central Bankers will make their heads explode.

So true but probably more basic than that , ask a senior director or manager of many  businesses to convert a percentage to a fraction or explain compound interest 

the answers will make your head explode !!!

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9 hours ago, longgone said:

my rage turned inward and sadly onto my family , it made me give up work for years with saved cash in the bank being eroded by the shame that is great britain. 

it`s one thing having rage when you cannot buy , but the rage of seeing your savings become worthless and the house you could have bought go up in price by 100`s of thousands really put me in a bad place. 

especially when seeing people with nothing buying houses they cannot afford in a fair sane world or 3x annual income as it used to be .

 

I feel your pain. Apparently i've always been one for fairness in everything according to my dad  and since 2004 it has been anything but. I'm not sure whether it has always been like this but pre 90's i cant remeber people of all ages constantly talking about property (not a home) constantly. I said on another thread about how my work colleagues ( i'm talking phd's here) have no hobbies apart from talking/looking and thinking about property. I got home yesterday and programme about buying houses was on the telly so i went out side to fiddle with the car and the  neighbours are talking about bloody houses. It may the social circles i'm in but I have found no one young or old that isn't obbsessed with houses and constantly rattles out the old cliches houses only go up, cabn't go wrong with bricks and mortar, it's a good investment property, you can rent it out etc etc. 

The only positive was was a lady from an electricity company knocked and the door yesterday and was saying how she improved her life by getting rid tv, internet, mobiles etc. She said she has so much time to do stuff and she is learning to play the guitar. Yay someone with a hobby!

 

After being ass raped on savings rates I have now turned to premium bonds. What a mess.

 

 

  

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Here's a little story for why what Albert says matters:

Who is probably his No1 client (but certainly within his top 5)? Capital.

Who does Philip May work for? Capital.

Does Albert have meetings with Philip? I don't know, but does he have meetings with Philip's colleagues? I'm 100% certain of that. 

So here's a little montage: Teresa and Philip sitting down to their G&Ts on a Friday night

Philip: Oh i had a chat with some colleagues today where i work you know Capital, probably the most influential long only fund in the world. 

Teresa: Oh yes?

Philip: They said that they'd met a highly rated city analyst who thinks the reason you did so badly in the GE and are going to go down in history as one of the worst PMs this country has ever seen is to do with CB independence and the policies of QE and ZIRP and their inevitable impact widening the gap in wealth between those that own assets and those that don't and that to turn things around and regain political stability you should take away BoE independence or at the very least sack Mark Carney and find someone who is prepared to reverse QE and raise interest rates. 

Teresa: I can do that? And it might mean I wouldn't be the worst PM in history?

Philip: Oh yes

Teresa: Hmm

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