Monday, December 10, 2007
Interest Rates… Someone trying to understand where we are rather than another deluded forecast
Shockwave from credit crisis continues to spread
We now have abundant evidence that the crisis is affecting the real economy. So we need to switch our attention from the travails of the banks and look instead at their customers. Which of them are getting hit?.. US mortgage borrowers are suffering and their UK counterparts will be shortly. But in the eurozone, consumers are less heavily indebted. And credit creation in the eurozone, on the latest October figures, is still showing strong double-digit growth. Hence the fact that the European Central Bank did not cut interest rates last week. It saw no need.
Posted by happyrenterz @ 01:54 PM (666 views)
One thought on “Interest Rates… Someone trying to understand where we are rather than another deluded forecast”
Add a comment
- Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
- Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
- Please adhere to the Guidelines
paul says:
“But in the eurozone, consumers are less heavily indebted.”
But the UK has more collective debt than the rest of the Eurozone put together. They’re tiptoeing around the central issue that the UK is massively indebted. There will be lots of economists desperately trying to keep that one quiet.