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grey shark

Merv Hints At April Cut .........

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http://www.thisismoney.co.uk/news/article....5#StartComments

Howard Archer, of Global Insight, said: 'We now expect the Bank of England to trim interest rates by a further 25 basis points to 5% in April rather than in May as we had previously forecast. Further out, we expect interest rates to fall to 4.5% by the end of the year and to 4% in the first half of 2009.'

4% by first half 2009 :o FFS , just another guesser having a guess , it's all just so out of control .............................

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2000 cut rates to save tech bubble

new property bubble forms

2009 cut rates to save housing bubble

new commodity bubble forms

2019 cut rates to save commodity bubble

new ????? bubble forms

I m getting bored :lol:

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http://www.thisismoney.co.uk/news/article....5#StartComments

4% by first half 2009 :o FFS , just another guesser having a guess , it's all just so out of control .............................

No, it's kind of predictable. They'll do it to help the banks shore up their balance sheets. That, and they'll take on dodgy banks assets as collateral.

Of course, none of this will filter down to the consumer. Borrowers will only derive little to no benefit from the rate cuts.

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http://www.thisismoney.co.uk/news/article....5#StartComments 4% by first half 2009 :o FFS , just another guesser having a guess , it's all just so out of control .............................

Jeez thats going to help all those folks who have mortages.

Continual cutting of rates will likely delay any possible crash in house prices!

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With Libor staying high what good will cuts do ? better off to leave em as is to try and stop inflation

Helps people on tracker mortgages, they will be laughing!!

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Helps people on tracker mortgages, they will be laughing!!

6.99% (variable) tracks at 1.74% above the base rate until 31 July 2010

something like that

Edited by crash2006

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Jeez thats going to help all those folks who have mortages.

Continual cutting of rates will likely delay any possible crash in house prices!

Except they won't be passing these cuts on to people with mortgages. This is all about helping the banks, not the public.

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Except they won't be passing these cuts on to people with mortgages. This is all about helping the banks, not the public.

Got to pay those bonuses first.

Then get the begging bowl out.

Barclays' executive is paid £21m

BBC News, UK - 1 hour ago

The boss of Barclays' investment banking division, Bob Diamond, took home more than £21m ($42m) in pay and bonuses last year, the firm has said. ..

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Cuts will have no effect. They tried it in the USA - it had no effect. The previous attempts here have had no effect.

I reckon it's only being touted because the only thing they've got left short of money printing. I expect to see paper tiger Alistair Darling on the news next month telling the banks: "pass on cuts".

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Cuts will have no effect. They tried it in the USA - it had no effect. The previous attempts here have had no effect.

I reckon it's only being touted because the only thing they've got left short of money printing. I expect to see paper tiger Alistair Darling on the news next month telling the banks: "pass on cuts".

They would give him the 2 fingers, Mr Darling is seen as weak politician he has no balls, theyve been walking all over him.

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I don't believe in commodity bubbles... A real bubble requires assets that are not used-up once sold.

Exactly Steve, the new buzz word is the commodity bubble and speculators are pushing oil up. Yes in the very short term there is a degree of speculation. However the oil price didnt move from 12USD in 1986 to 110 USD in 2008 on speculation and without supply and demand and money printing exercises. Oil measured against gold has been falt since then. Thats why commodities will go much higher in this enfant bull market. They are real tangible things where the supply cannot be increased meaningfuly, and money is being increased meaningfuly, printing at about 10-20% annually, and the supply of these commodities is not increasing anywhere near that. Add in the demand and all I can see are prices increasing. There is a paper money bubble, not a commodity bubble. Even Bloomberg repeat this constantly. Why does no one see this...? I mean even "professionals" who work in the sector. I forget alot of idiots work in this area.

Edited by VedantaTrader

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Crash I was thinking more along the lines of

2-Year Tracker

For loans of between £50,000 and £999,999 and up to 90% of your home's value

Initial rate, currently Followed by the Standard Variable Mortgage Rate, currently The overall cost for comparison is Product fee (to reserve your deal) Early Repayment Charges

4.79% (variable) Tracks at 0.46% below the base rate until 31 July 2010

7.25% for the remainder of the term 7.4% APR 2.5% of loan amount Yes. Until 31/07/10

| |

5.69% (variable) Tracks at 0.44% above the base rate until 31 July 2010

7.25% for the remainder of the term 7.5% APR £995 Yes. Until 31/07/10

| |

5.84% (variable) Tracks at 0.59% above the base rate until 31 July 2010

7.25% for the remainder of the term 7.6% APR £995 None

| |

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The UK can't cut like the US. Our economy is too dependent on imports. Whatever they do, the housing market is screwed. Even if they did manage to reduce mortgage rates (unlikely) the cost of running a home is increasing faster than wages. The days when banks could lend to idiots and pass the risk onto others are gone for good. Banks will continue to be cautious. This alone will cause a house price correction, as new builds and BTL are now dead in the water.

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Whether they cut rates to 4.5% by the end of the year doesn't really matter imo , these clowns are so far behind the curve it'll be to late , after all it takes almost a year for rate cuts to feed into the system ,

so no effect until mid 2009 ......... TOO LATE :lol:

Edited by grey shark

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Sterling and gilt yields are rallying today. I don't think he'll cut.

The drive behind the global property bubble has been institutional demand for asset backed securities. That demand has vanished. Rate cuts won't help. Banks do not want to lend in the same way.

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Sterling and gilt yields are rallying today. I don't think he'll cut.

The drive behind the global property bubble has been institutional demand for asset backed securities. That demand has vanished. Rate cuts won't help. Banks do not want to lend in the same way.

The banks want the taxpayer to buy the shit that nobody else wants.

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Whether they cut rates to 4.5% by the end of the year doesn't really matter imo , these clowns are so far behind the curve it'll be to late , after all it takes almost a year for rate cuts to feed into the system ,

so no effect until mid 2009 ......... TOO LATE :lol:

The main point rate cuts will not solve this mess, its not a rate cut issue its more of a lending criteria issue which is totally different. No matter how many rate cuts you do, if the person whom took out the mortgage can't afford.

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IMHO there is a commodity bubble, I'd love to go short on oil etc. Made good money shorting wheat the other day, but it's shooting up in value again. Once again I've heard all the bubble arguments "running out of oil", "farmers planting biofuel crops". Look at farmer's weekly, farmer's aren't showing off their new found wealth!

Smells like a bubble...

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IMHO there is a commodity bubble, I'd love to go short on oil etc. Made good money shorting wheat the other day, but it's shooting up in value again. Once again I've heard all the bubble arguments "running out of oil", "farmers planting biofuel crops". Look at farmer's weekly, farmer's aren't showing off their new found wealth!

Smells like a bubble...

Input costs are soaring. Farmers don't operate in a vacuum.

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Good grief.... only yesterday Merv was talking about inflation soaring and the resultant trouble....

There is only one thing for certain at the moment, those in charge have absolutely no idea how to fix the underlying problem.

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  • 293 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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