BOE Bean: Will Keep Rates Low For As Short A Time As Possible

inspector_monkfish

anything between 0 and 1pct i would say

overnight uUSD currently available interbank at 0.10pct in lorry loads...

Heyman_2

Thrugelmir wrote: »

What rate is defined as low?

Understand your point but I think I might have misquoted him - he actually said he expects rates to stay near zero for 'an extended period of time'. The journos have used his other comments to define this as 2011+.

Thrugelmir

Heyman wrote: »

Understand your point but I think I might have misquoted him - he actually said he expects rates to stay near zero for 'an extended period of time'. The journos have used his other comments to define this as 2011+.

Thanks for the clarification.

kennyboy66_2

Thrugelmir wrote: »

Across the European markets around £320 billion has been raised in rights issues by the end of June. Thats around 10% of market capitalisation.

A lot of companies have also deleveraged rapidly by cutting staff costs and dividends to conserve cash.

Unfortunately the new generation BTL investor doesn't have this flxibility.

I'd imagine that most of that capital raising if from banks and insurance companies (a fair amount of it via taxpayers)

If you mean the new generation that have one property bought in 2005 then no.

However most people I know who have BTL properties have a dozen or more (almost all terraced houses), each with a fair few bought in the 1990's or earlier.
Not difficult to sell 1 or 2 if they need cash.

They also don't have the massive liability to pay their employees pensions.

I'm not a fan of BTL as an investment, however over the last 10 years or 15 years it has far out-performed shares in the UK.

Thrugelmir

kennyboy66 wrote: »

If you mean the new generation that have one property bought in 2005 then no.

However most people I know who have BTL properties have a dozen or more (almost all terraced houses), each with a fair few bought in the 1990's or earlier.
Not difficult to sell 1 or 2 if they need cash.

No not the long standing investor.

The new generation who bought 6, 7, 8, 9, 10, 11 , 12 , 13, 14, 15 plus properties between 2003 and 2008.

Exclude the period 1999-2004 when house prices rose 100%. And property investment isn't so such a good investment.

Lady_Hamilton

These interest rates will probably remain low until after the next general election. Remember to watch WHAT THEY DO not WHAT THEY SAY.... there is no green shoots, the economy is in a very deep recession never seen before in its history, Brown will be trying to keep asset prices inflated, which won't work but will just make it a very very slow and painful recession.
Labour has destroyed our economy and should have put interest rates up in 2005, but instead they were asleep at the wheel getting drunk on their high house prices, flipping houses using our tax money.
Now they are 'putting pressure on the banks' all for show, cause they know it and we know it too, that the banks can't lend anymore money..... there is no money.... wake up and smell the debt coffee......... our nation is nearly bankrupt, our currency is collapsing around us, we are printing money to buy our own debt?!!!!!!!!
Thanks for ruining our economy, as the disenchanted youth run the streets with knives. no prospects of ever owning a house or getting a job........ your greed has caused the nations poverty.

inspector_monkfish

Lady_Hamilton wrote: »

These interest rates will probably remain low until after the next general election. Remember to watch WHAT THEY DO not WHAT THEY SAY.... there is no green shoots, the economy is in a very deep recession never seen before in its history, Brown will be trying to keep asset prices inflated, which won't work but will just make it a very very slow and painful recession.
Labour has destroyed our economy and should have put interest rates up in 2005, but instead they were asleep at the wheel getting drunk on their high house prices, flipping houses using our tax money.
Now they are 'putting pressure on the banks' all for show, cause they know it and we know it too, that the banks can't lend anymore money..... there is no money.... wake up and smell the debt coffee......... our nation is nearly bankrupt, our currency is collapsing around us, we are printing money to buy our own debt?!!!!!!!!
Thanks for ruining our economy, as the disenchanted youth run the streets with knives. no prospects of ever owning a house or getting a job........ your greed has caused the nations poverty.

....and relax, 8, 9 , 10......

Lady_Hamilton

Just had to write it down really quickly as my children were pulling me by the legs away from the laptop!!! Now I can relax ahhhhhhhhhhhh