Rates to hit 2% next year.

chucky

Thrugelmir wrote: »

Comparing securities issued by HBOS to those issued by Lehmans is somewhat misleading. Lehmans was fraudently packaging up assets, thereby misleading investors. HBOS may have bad debts in its mortgage book but how mich is toxic in terms of being subprime is somewhat different.

Lehmans had "assets" of around £600 billion which is about 1.5 times the size of Lloyds & HBOS combined. So in a different league of banks.

The banks benefited from the foreign currency mortgage bonds. As the fall in £ exchange rate reduced their liabilities in terms of repaying the debt.

By lending I am refering to where the loans etc were advanced. HSBS for example operates in numerous countries around the world.

is this fraudulent in your opinion or have they been convicted or a court ruled against them?

System

IveSeenTheLight wrote: »

looks like the projection of BoE rates quadrupling from last year is increasingly unlikely.

Only two months to go and while nothing is certain, I doubt interest rates will be 2% the end of 2010.

By the end of 2011 at a push maybe

A lesson to be learnt here about propaganda thread titles. Now the OP looks like a bit of a !!!!!!.

Should have added "CBI predicts", just like the article.

Batchy

Graham_Devon wrote: »

So say the CBI...




Bit different to what we have seen lately about rates being extremely low for "years to come".



The trouble with this fantastic recovery, or upward sprial as the BOE put it, is inflation.


http://business.timesonline.co.uk/tol/business/economics/article6845029.ece

the inflation will go up by 2.4% next january but putting interest rates up will have a zero effect, its going to be due to the VAT rise... simple as that, if they want to curb inflation then DO NOT put VAT up by 2.5% to 20%.

These guys must get paid a hell of a lot of money to come up with this research!

chucky

Joeskeppi wrote: »

A lesson to be learnt here about propaganda thread titles. Now the OP looks like a bit of a !!!!!!.

Should have added "CBI predicts", just like the article.

do you mean like this one?
https://forums.moneysavingexpert.com/discussion/2792944

they never seem to learn...

50%-70% price drops hahahahaha

Graham_Devon

Joeskeppi wrote: »

A lesson to be learnt here about propaganda thread titles. Now the OP looks like a bit of a !!!!!!.

Should have added "CBI predicts", just like the article.

Bulls getting increasingly desperate these days.

It's joyous

System

That didn't even make sense. Right now, any "desperation" is evident only in these silly thread titles.

And for the 100th time, I'm not a bull.

chucky

Graham_Devon wrote: »

Bulls getting increasingly desperate these days.

It's joyous

wishing for 70% house price drops is desperate.

actually it's quite sad and pathetic that you persist in trying to convince yourself that it will happen

gagahouse

IveSeenTheLight wrote: »

looks like the projection of BoE rates quadrupling from last year is increasingly unlikely.

Only two months to go and while nothing is certain, I doubt interest rates will be 2% the end of 2010.

By the end of 2011 at a push maybe

Not by end of 2011 either according to short sterling interest rate futures market. Market is currently pricing in 2% BOE rate by 2013. If you look at historical charts all along the maturity curve interest rate rise expectations have been ratcheted down severely over last six months. UK inflation indexed bonds are pricing in deflation for next 3-4 years. Although they are not predictors, they do give you an idea of where current expectations are.


http://www.euronext.com/trader/summarizedmarketderivatives/summarizedmarketderivatives-3643-EN.html?contractType=9&mnemo=L&selectedMepDerivative=7

http://www.zerohedge.com/sites/default/files/images/user5/imageroot/shirakawa/GBP%20TIPS.jpg

BOE has all but abandoned its inflation targeting in order to reflate and counteract the deleveraging of the economy.

Graham_Devon

chucky wrote: »

wishing for 70% house price drops is desperate.

actually it's quite sad and pathetic that you persist in trying to convince yourself that it will happen

If you say so. I've completely changed my outlook, since then, as you well know, but you just carry on ignoring that won't you

I feel no need to search through year old threads to find that a poster posted up an article and it hasn't come through.

That's probably because I'm happy in my position and don't need to go out of my way, searching to find something I can pick someone else up on

And if I was going to do so, I'd try harder than complaining that the CBI wans't in the title, when it was in the very first sentence

Chucky...the master of picking fault in others thoughts, but never willing to give his own. Hence not seeing ANY of you picking fault here, on my recent prediction thread. Probably added it to your fav's though so you can come pick fault later

Knock yerselves out. Maybe you could go find loads of other threads where I have posted an article?

Kenny4315

I'd say a rate of 2% by the end of 2011 isn't really a big deal, it's still a low rate. If 5 or 10 years ago you'd said interest rates would be 2% they'd have thought you were barking mad ..... woof woof !!

On the 47% interest thread I posted that I thought rates would be between 1.5% and 2% in a years time, so it's in line with my general thoughts.

Just checked the original posting date .... it's ages ago ... leave old threads to die a natural death ...

Although it does point out some of these high paid economists and business chiefs talked a right load of cr$p !