Eggs At The Ready!

[Flash]

From the blog

http://www.thisismoney.co.uk/news/article....18&in_page_id=2

However, Ray Boulger of mortgage advisor John Charcol,is more confident of a cut. He said: 'The Bank's view of the likely strength of the UK economy over the next few months is significantly more bullish than that of most outside economists and it appears the MPC will wait for further evidence of a slowdown before sanctioning a rate cut. However, we firmly believe this is a question of when, not if.'

keep hoping Ray....I suppose you have to admire him, putting his credibility on the line like that.

[BuyingBear]

So the economy is so crap it means he expects an imminent rate cut; yet simultaneously the economy is so strong with a tight labour market and wage growth that will underpin a healthy housing market... which is it? The latter would lead to higher rates, not lower.

How can an economy be on its ar$e in need of a rate cut yet is magically able to support mortgages at x6 earnings? Maybe the retail economy is on its back precisely because so much spending is misallocated into housing and servicing existing debts.

Edited March 10, 2006 by BuyingBear

[cupidstunt]

Boulger's prediction for 2006

"The independent mortgage brokers issued the most upbeat prediction for house prices in 2006, with expert Ray Boulger claiming there will be a bright light at the end of 2005's relatively slow tunnel. He said interest rates could be cut by up to 0.75% next year, helping to fuel house price growth"

Not so much cupid stunt more.........

Edited March 10, 2006 by cupidstunt

[non-FTBer]

Boulger's prediction for 2006

"The independent mortgage brokers issued the most upbeat prediction for house prices in 2006, with expert Ray Boulger claiming there will be a bright light at the end of 2005's relatively slow tunnel. He said interest rates could be cut by up to 0.75% next year, helping to fuel house price growth"

Not so much cupid stunt more.........

Is this guy on acid? I can't see a more plausible explanation for the b0ll0cks he is talking than good old LSD.

[needle]

From the blog

http://www.thisismoney.co.uk/news/article....18&in_page_id=2

However, Ray Boulger of mortgage advisor John Charcol,is more confident of a cut. He said: 'The Bank's view of the likely strength of the UK economy over the next few months is significantly more bullish than that of most outside economists and it appears the MPC will wait for further evidence of a slowdown before sanctioning a rate cut. However, we firmly believe this is a question of when, not if.'

keep hoping Ray....I suppose you have to admire him, putting his credibility on the line like that.

I read this differently.

Boulger implies that a downturn is coming - interest rates are only an indicator.

"wait for further evidence of a slowdown .... we firmly believe this is a question of when, not if.'"

EDIT - This supports rather than diminishes the HPC 'cause'.

Edited March 11, 2006 by needle