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Charles_Darke

Something In The Air

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It seems to me (and a lot of other people) that we're standing on the edge of a chasm at the moment. Something big is going to happen globally. Cheap money and flight from the stock markets have fueled a worldwide property boom. This has been extended further by China's cheap exports.

But now inflation appears to be on the up. Interest rates look likely to rise. Asset prices in traditional 'safe havens' (property, gold, commodities) have reached fantastic heights. If the value of currency also drops dramatically, the savers are going to be doubly screwed over. Where do we run from here?

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It seems to me (and a lot of other people) that we're standing on the edge of a chasm at the moment. Something big is going to happen globally. Cheap money and flight from the stock markets have fueled a worldwide property boom. This has been extended further by China's cheap exports.

But now inflation appears to be on the up. Interest rates look likely to rise. Asset prices in traditional 'safe havens' (property, gold, commodities) have reached fantastic heights. If the value of currency also drops dramatically, the savers are going to be doubly screwed over. Where do we run from here?

Why are you repeating stuff that has been posted many times before? Preach to the unconverted and you may find it worthwhile - preaching to those who agree with you is a bit of a waste of time.

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Also saw this thread on UK gold sell-off:

http://www.housepricecrash.co.uk/forum/ind...showtopic=30861

Why are you repeating stuff that has been posted many times before? Preach to the unconverted and you may find it worthwhile - preaching to those who agree with you is a bit of a waste of time.

I'm actually asking a question (notice the question mark?). Let me explain for the dummies: what are people doing at the moment to try to protect themselves from the potential volatility ahead? e.g. do they see Sterling as a potentially weak currency and if so what have they swapped out into? ($, €, Gold?) What assets are they now investing into: commodities, gold, property (or are these now all too high and also risky)?

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It seems to me (and a lot of other people) that we're standing on the edge of a chasm at the moment. Something big is going to happen globally. Cheap money and flight from the stock markets have fueled a worldwide property boom. This has been extended further by China's cheap exports.

But now inflation appears to be on the up. Interest rates look likely to rise. Asset prices in traditional 'safe havens' (property, gold, commodities) have reached fantastic heights. If the value of currency also drops dramatically, the savers are going to be doubly screwed over. Where do we run from here?

I posed a question on here a while back as to whether or not we could see an implosion of all investment areas? Gilts/commodities normally replace equities and or property..what if it all dries up? Simplistic I know, but with diminishing investment yields across all areas, and a dollar increasingly propped up by the industrial military complex...

Edited by Converted Lurker

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Also saw this thread on UK gold sell-off:

http://www.housepricecrash.co.uk/forum/ind...showtopic=30861

I'm actually asking a question (notice the question mark?). Let me explain for the dummies: what are people doing at the moment to try to protect themselves from the potential volatility ahead? e.g. do they see Sterling as a potentially weak currency and if so what have they swapped out into? ($, €, Gold?) What assets are they now investing into: commodities, gold, property (or are these now all too high and also risky)?

From a personal viewpoint - keep assets in cash and keep your options open. The £ remains at pretty much the same levels against the euro as it has for the last year or so - IR rises here and in Euroland are probably already factored into the rates. Keeping assets in cash enables getting out quickly and getting into something better equally as quick.

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They're are some historical parallels with the C19th where there was a problem of declining investment returns over a long run period. Lots of Marxist theory sprang up as a result. I don't know whether this was preceeded by booms in asset prices and what the role of housing was here.

No doubt you could get some hints by reading here. Eric Hobsbawm's Age of Empire is worth looking at, but I'm a bit to lazy to do any summary.

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From a personal viewpoint - keep assets in cash and keep your options open. The £ remains at pretty much the same levels against the euro as it has for the last year or so - IR rises here and in Euroland are probably already factored into the rates. Keeping assets in cash enables getting out quickly and getting into something better equally as quick.

it WILL do!!!!!!

the game is global so don't expect currencies to move to sharply against one another.

...all that free money that was printed(even in japan)...is getting called back....those holding "hard" assets with no gearing will win....anyone who purchased on debt if fooked!!

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Land, property, gold, oil... everything else is just bits of paper.

Hard assets are only as good as the property laws that guard them. In a real meltdown nothing will save you.

Don't worry, I don't actually believe anything that dramatic will happen. :lol:

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Hard assets are only as good as the property laws that guard them. In a real meltdown nothing will save you.

Don't worry, I don't actually believe anything that dramatic will happen. :lol:

That's just as well, can you imagine what would happen if everyone got turfed out on the street?

That reminds me, I must apply for a Kalashnikov training course... :unsure:

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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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