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Interest Rates Up-down-hold

2

Comments

  • mbga9pgf
    mbga9pgf Posts: 3,224 Forumite
    I am expecting the 1,2 and 5 year gilt and Swap rates to fall dramatically at around 1 pm on the 22nd of June.

    I dont expect rates to be above 1% in the next 24 months; you cant set interest rates by looking in the rearview mirror. Anyone noticed petrol prices recently?
  • Gorgeous_George
    Gorgeous_George Posts: 7,964 Forumite
    Part of the Furniture Combo Breaker
    The next 'up' move will be 0.25%.

    Down is more likely IMHO. Anything else would be pure incompetence.

    GG
    There are 10 types of people in this world. Those who understand binary and those that don't.
  • Generali
    Generali Posts: 36,411 Forumite
    10,000 Posts Combo Breaker
    More chance of the 'Sweaties' winning the World Cup than of rates going up.

    Which group are they in again?
  • 1 month past the budget 0.5% rise.
    Not Again
  • I think there's a slight possibilty of a 0.25% rise some MPC members are freting about inflation and there was discussion about whether there is enough spare capacity to reign in inflation.Whatever happens it will be intersting to read the minutes when they come out.

    Fingers crossed for a rise
    Debt Is Slavery.
  • Ron2256
    Ron2256 Posts: 180 Forumite
    It's a definite hold.
    Betfair has got IR at 0.50% for backing at 1.02 on a downtrend from 1.04.
    nuff said
    More bearish than bullish at the moment
  • chucky
    chucky Posts: 15,170 Forumite
    10,000 Posts Combo Breaker
    rates may show some movement in the next 2 quarters - they won't be above 2.5%-3% for at least 2-3 years
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Hold but close, the shadow MPC voted 5-4 for a hold, it is just a guide to the way economists are thinking.

    In its latest e-mail poll, the Shadow Monetary Policy Committee (SMPC) voted by five votes to four to leave Bank Rate unchanged at ½% when the Bank of England’s rate setters announce their decision on Thursday 10th June. This narrow margin is the closest that the SMPC has come to advocating a rate rise for a long time. All four of the dissenters voted that Bank Rate should be raised by ½% to 1%.


    http://www.economicsuk.com/blog/
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • carolt
    carolt Posts: 8,531 Forumite
    These articles suggests the MPC are aware of inflationary pressures and plan to keep a close eye and take actionif necessary.

    http://uk.reuters.com/article/idUKTRE65301U20100604

    http://www.ft.com/cms/s/0/fd305cc4-3126-11df-8e6f-00144feabdc0.html

    Chance of rates falling is certainly zero.

    They will be going up - the only question is how soon.

    I expect them to have started going up by the end of the year; this month is unlikely until the budget's sorted.
  • Doctor_Gloom
    Doctor_Gloom Posts: 397 Forumite
    The MPC can only keep interest rates artificially low for so long. At some point in the near future interest rates are going to soar. :eek:
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