LIBOR still dropping...

inspector_monkfish

LIBORs 16th Sep

some big drops today, after King's comments yesterday...

3mth 0.59438 (down 1.625bp)
6mth 0.80 (down 1.875bp)
12mth 1.13375 (down 1.375 bp)

scrounger_2

What is the lowest LIBOR can go? Can it go into minus?

inspector_monkfish

scrounger wrote: »

What is the lowest LIBOR can go? Can it go into minus?

no, that won't happen...... i don't think :eek:

these levels are lowest ever, so its all unchartered water really...

be difficult for them to fall lower than the current base rate
having said that, 1mth LIBOR was 0.5025 today, and could possibly be set lower than the base rate tomorrow...

inspector_monkfish

LIBORs 17th Sep

3mth 0.58563 (down 1pt)
6mth 0.79 (down 1pt)
12mth 1.13 (down 0.4bp)



1mth down to 0.50125 (not quite under base yet !)

inspector_monkfish

LIBORs 18th Sep

3mth 0.58125
6mth 0.78125
12mth 1.12

inspector_monkfish

dont forget to meddle with your teams and captain before the weekend fixtures....

http://fantasyfootball.skysports.com/

inspector_monkfish

LIBORs 21st Sep

3mth 0.57313
6mth 0.77
12mth 1.1125

cyrilsneer

Hi Inspector Monkfish,

Forgive me, I'm afraid I don't really understand how this all works but clearly you do.

I've got a 2 year fixed rate with First Direct at 5.99% coming to an end in January. I don't know whether to leave it to run on the SVR of 3.69% or whether to fix again. They can offer me 4.34% with ver low set up costs for two years.

I've read through a lot of this thread but still don't really understand. Am I right in thinking that the census of opinion is that interest rates are likely to stay low for some time yet and that I may therefore wish to stay on the SVR, resonably safe in the expectation that they are not about to rocket up high any time soon...?

Hope you don't mind me asking - I do realise, of course, that you don't have a crystal ball and that it's for me to make the final judgement. I'd just appreciate a view from you.

Many thanks

Cyril

inspector_monkfish

cyrilsneer wrote: »

Hi Inspector Monkfish,

Forgive me, I'm afraid I don't really understand how this all works but clearly you do.

I've got a 2 year fixed rate with First Direct at 5.99% coming to an end in January. I don't know whether to leave it to run on the SVR of 3.69% or whether to fix again. They can offer me 4.34% with ver low set up costs for two years.

I've read through a lot of this thread but still don't really understand. Am I right in thinking that the census of opinion is that interest rates are likely to stay low for some time yet and that I may therefore wish to stay on the SVR, resonably safe in the expectation that they are not about to rocket up high any time soon...?

Hope you don't mind me asking - I do realise, of course, that you don't have a crystal ball and that it's for me to make the final judgement. I'd just appreciate a view from you.

Many thanks

Cyril

no worries.
well, crystal ball aside, yes it seems pretty certain that the base rate is going to be this low (if not lower!) for alot longer than some people originally thought. The markets seem to go along with this view.

just my opinion, but as and when they do rise, i honestly don't think they are going to 'rocket' up anyway.

i would say you would be perfectly safe, and better off on the SVR for many months to come yet.


Althoug not an exact science, LIBORs are meant to be a rough indictaion of where rates will be in x months (whilst factoring in a number of other things). As you can see, they are getting lower everyday!

cyrilsneer

Thank you Inspector. I'll stay on the SVR then, and watch this space.

Have a nice day.

Cyril