UK Q4 business investment falls at record annual rate

Graham_Devon

Really2 wrote: »

So does that mean out of recession could/did do a lot to improve sentiment?;)

Well I think it did.

Not mine personally, but in the wider economy, yes.

1984ReturnsForReal_2

Last one out.......

Really2

Graham_Devon wrote: »

Well I think it did.

Not mine personally, but in the wider economy, yes.

I can't see any sentiment change personally. Don't think we will until there is some decent growth, over 0.5% a 1.4 at least.

If anything I think the last 1/4 lowered sentiment a bit as were were forecast to be +.6% if I remember correctly.

chucky

stueyhants wrote: »

It would be a small movement but the physiological impact will be quite high.

At least a revision will prevent the double dip so feared …. it will still be the first dip.

Graham_Devon wrote: »

I dunno.

Personally I think just the words "we are still in recession" would do a lot of damage to sentiment.

it may be a sentiment thing but it does it mean that much

i reckon it will be revised up to 0.2% btw

mystic_trev

Official figures on investment could mean the feeble 0.1% growth in the UK economy at the end of last year could turn out to have been negative when the number is revised tomorrow

http://www.guardian.co.uk/business/2010/feb/25/uk-could-still-be-in-recession

Graham_Devon

chucky wrote: »

it may be a sentiment thing but it does it mean that much

i reckon it will be revised up to 0.2% btw

Just read on mystics link that this data won't be shown until the 3rd revision anyway.

So could well be up tommorow, as this data won't neccesarily count.

abaxas

Graham_Devon wrote: »

Just read on mystics link that this data won't be shown until the 3rd revision anyway.

So could well be up tommorow, as this data won't neccesarily count.

I would assume a downgrade would be the best for the current government, when an upgrade better for the opposition.

Since the next GDP figures are just before the election (assumed May) if that could show an increase, it would certainly be better for Mr Brown.

ruggedtoast

History will record Brown as an unloved Prime Minister who failed to spot any of the warning signs of boom and bust when he was an equally poor Chancellor.

I can't believe any Labour supporters realistically believe they are still going to be in government in June.

blueboy43

Generali wrote: »

As Economists like to say in these circs: "F ck i ng he ll that's just horri8ble.

The Keynsian idea is that the Government can prop things up for a short while until the private sector can do its thing. The monetarist/Austrian view is that nobody can afford to borrow because the Government is sucking up what little cash is available.

All the stuff that I've being saying and hoping I'm wrong looks like I may be right.

Och Arsenal.

The third view is that their is over-capacity in many sectors of the economy both domestically and globally, so why borrow to invest anyway ?

Our business would have no problem borrowing money, but business is bumping along the bottom with no real prospect of significant pick up.

The banks have money to lend courtesy of QE, ok they might want to high a margin and too many guarantees, but you can't force business to borrow.

Kohoutek

Generali wrote: »

The Keynsian idea is that the Government can prop things up for a short while until the private sector can do its thing.

All the stuff that I've being saying and hoping I'm wrong looks like I may be right.

Yeah I have to agree. This guy makes a sound argument for why it won't work.

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a5t.xQdllnbo