4.2% Anyone ?

System

Denzel09uk wrote: »

You've also got to take into Account energy prices have also fallen by 5% so that will affect inflation next month.

No it won't, inflation is calculated YoY.

Really2

Thrugelmir wrote: »

Wholesale gas prices for December 2012 were recently trading at 14% above December 2011 prices. So any respite is likely to be shortlived.

I can't find that, odd that they announce cuts saying the wholesale cost is falling when the price is increasing? they would usually not change if prices had fallen but are increasing.

All I can find says price cuts are based on falling wholesale pricing?

chewmylegoff

moneyinmypocket wrote: »

cost of living is falling + more money in peoples pockets = lets get this moving again. 3 big cheers yeah baby yeah

no, the cost of living is rising at a slower rate. this does not = more money in people's pockets unless their income is rising at a faster rate.

Thrugelmir

Really2 wrote: »

I can't find that, odd that they announce cuts saying the wholesale cost is falling when the price is increasing? they would usually not change if prices had fallen but are increasing.

All I can find says price cuts are based on falling wholesale pricing?

Current price reductions don't fully reflect spot prices which are well down. Due to the mild weather. Energy companies trade days/months/years ahead to secure adequate supply. So they'll lock in at so much on a fixed contract and buy the remainder nearer the time depending on demand etc.

Really2

Thrugelmir wrote: »

Current price reductions don't fully reflect spot prices which are well down. Due to the mild weather.

So are prices are down then? or up like you said before?

wotsthat

I was going to post this on the good news thread but it seems that this could be bad news. Even if it's good news then it doesn't matter because the news may well get worse. Only on MSE!

CRASH_BANG_WALLOP

wotsthat wrote: »

I was going to post this on the good news thread but it seems that this could be bad news. Even if it's good news then it doesn't matter because the news may well get worse. Only on MSE!

dude, theres nothing good about being twice over a target, the dudes on the street wont see a difference man

[Deleted User]

RenovationMan wrote: »

You can eat Blackberry's though.

Ah what a shame - you forgot about the apples You can always make a blackberry and apple pie :cool:

Graham_Devon

Notice RPI had fallen back less. I.e. the inflation that we, the peasants experience.

Anyone going to be as bold as to suggest next month is could be closer to 3%? CPI that is?

Anyway, apparently this IS good news, as it means we can do more QE. Go figure. Already analysts are suggesting the BOE will do more QE to prevent inflation falling below target. Funny how they are so quick off the mark to prevent falls in inflation!!

grizzly1911

Really2 wrote: »

So are prices are down then? or up like you said before?

Doesn't really matter too much.

We have been routinely shafted for several years. The power companies have made hay while the sun shone not just in profit, but in front loaded cost recovery for all the daft things Government expect them to do.

They are being persuaded by the politicians to apply a brake, helps politicians look good and as though they have some control;)

As a PP said buying fuel forward and topping up at spot prices masks the day to day comparison.