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Time To Calm Down

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

if you keep p*ssing on bonfires you are going to burn your w*llie...didn't your mummy tell you to keep it to yourself?

ellen

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Thes Google ad posts aren't at all annoying, are they?

i wouldn't know, I just see a blank post. They joys of adblock.

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

I think some basic economic lessons would do you some good, it works like this Country A has higher interest rates than Country B, money from Country B starts to flow into Country A , Country B starts to flounder because of a lack of investment, so rises rates, did they not teach you that at school?

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Imup doesn't realise that +0.25% is nothing, so they may as well raise, seeing as houses are so affordable, several +0.25 raises are already perfectly accomodated in people's spending plans.

Edited by megaflop

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i wouldn't know, I just see a blank post. They joys of adblock.

The blank post is quite enough to make my pi55 boil when combined with all the other blank space on the site due to Ads + adblock.

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Bit disconcerting with the long blank sausage on the right hand side and the vacant message on the 2nd post.

Something spooky happening. ;)

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

I have to agree with the above & im a Bear :blink: Cable is holding up despite a coming 0.75% difference between US rates & UK RATES.

Until Cable starts to tank then the BOE seemingly can get away month after month by just saying interest rates MIGHT rise in the future :(

Edited by LBoots

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Lets have the cool and calm FT put some perspective on things:

http://news.ft.com/cms/s/e01c7388-fb9d-11d...20abe49a01.html

US inflation rise puts pressure on rates

By Krishna Guha and Christopher Swann in Washington and Jennifer Hughes in New York

Published: June 14 2006 13:33 | Last updated: June 14 2006 18:34

US inflation rose faster than expected for the third successive month in May
, raising the prospect that interest rates will continue to rise beyond June.
The core consumer price index – which excludes volatile food and energy prices – rose 0.3 per cent in May, taking the annual rate to 2.4 per cent.
The unexpectedly large rise in core inflation was driven by a rapid increase in the imputed cost of homeownership, which rose 0.6 per cent in May.
This was due to a combination of a pick-up in market rents - as high prices and a
cooling off of house price inflation encourage more Americans to rent rather than buy homes
- and technical adjustments.

Looks like a HPC will keep the rents up. The dilemma for BTLers is whether they want high rents and a devaluing assett. Can't have your cake and eat it I suppose.

I have to agree with the above & im a Bear :blink: Cable is holding up despite a coming 0.75% difference between US rates & UK RATES.

Until Cable starts to tank then the BOE seemingly can get away month after month by just saying interest rates MIGHT rise in the future :(

The Forex has consistently held to the view that Sterling is underpinned by a boyant housing market, high employment and strong GDP. Now all three have gone pearshaped the only thing keeping the pound from tanking is Gordon's assurance that he can work miracles.

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

cheers, more fuel for your bonfire :D

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

At the moment it's easy to presume that interest rates will probably rise over the next few months. Does anyone else think there's reason to believe that things may turn around? I hope not.

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[Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

Don't be so sure. Don't bank on a 70's style reflation, there's a something a brewin' in the BoE at the moment..... ;)

Here are some images of straw in the meantime.

straw.jpg

post-2548-1150319143.jpg

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Don't be so sure. Don't bank on a 70's style reflation, there's a something a brewin' in the BoE at the moment..... ;)

Here are some images of straw in the meantime.

straw.jpg

Things will be different this time.

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I know this is the Hysterical Pundits Club, but the hysteria of the last couple of weeks needs to be put in context. You are all getting excited over a potential rise in IRs but it is highly unlikely there will be one.

Unfortunately, all this crashing on the commodities markets will depress inflation as raw materials will be cheaper. Oil is dropping too.

The pound gets ever stronger (oh may I remind you at this point that this was impossible just a couple of months ago), this helps to keep import costs down.

The stockmarket correction also tends to depress inflation over the longer term too.

Immigration remains high helping to control wage growth etc etc

So, when you consider the full picture, it really does look like there is no need to raise IRs. This is what I think Mervyn King was saying when he says he need to be 'enlightened' and 'question all of the current received wisdom'. Whilst the rest of the world has every reason to panic, here in the UK the thing to do is not panic, and maintain the steady as she goes course.

Sorry to have to piss on you bonfire again guys, but you won't see a rate rise.

At least our birds have nipples.

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I read in The Independent today that Gordon Brown has given the thumbs up for interest Rate rise.

Sorry - But its going to happen.

Very few people doubt that there'll be an IR rise. There have been several over the last few years, and several cuts. What's contentious is how big they have to get to affect people. There are bears on this site throwing their furry hats in the air at the prospect of a 0.25% rise.

LOL!

2,3,4% yes, you'll see the pain. A quarter, a half a percent is nothing.

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http://news.independent.co.uk/business/new...ticle994111.ece

The Chancellor of the Exchequer said the authorities would be "resolute" in fighting inflationary pressures that were emerging across the world.

You now need +2% to match the 1986 -> 1989 raise of +87% (8->15) (measured from the trough of 2003).

However, this boom has gone higher in price, has gone country wide, and has been sustained for longer giving maximum opportunity to draw more people in.

4% won't happen, it would be carnage.

Also: "Michael Harrison's Outlook: If you want to know which direction UK interest rates are heading, look overseas:"

http://news.independent.co.uk/business/com...ticle994094.ece

Having studied the entrails, the market concluded that UK rates are not about to change, even though Gordon Brown gave his implicit backing to an increase as a sign that he is serious about keeping the lid on public sector pay rises at 2 per cent.
Edited by megaflop

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Very few people doubt that there'll be an IR rise. There have been several over the last few years, and several cuts. What's contentious is how big they have to get to affect people. There are bears on this site throwing their furry hats in the air at the prospect of a 0.25% rise.

LOL!

2,3,4% yes, you'll see the pain. A quarter, a half a percent is nothing.

Hi,

This is true. It can be a big deal when you start talking serious amounts of money, if we consider industrial finance, the money markets or exchange markets. There is a lot of excess, speculative cash sloshing around the globe at the moment, it can be switched at the flick of a pinkie. Are we headed toward an era similar to the roaring twenties again, without central bank intervention? That's a big question troubling finance ministers around the world at the moment.

Come on England! Come on England! England to beat Brazil in the final, Crouch to score a hatrick.

Edited by boom_and_bust

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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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