We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Interest Rates could hit 6% very soon!
Comments
-
Great news if you have savings0 -
The world economy faces an inflationary threat not seen since the 1960s, heralding painful interest rate rises, according to investment giant Legal & General.
http://www.thisismoney.co.uk/news/article.html?in_article_id=421326&in_page_id=2The research came as forecasters at Lombard Street Research lashed the Bank of England for failing to raise interest rates aggressively enough, arguing Britain faces 'stagflation' - a period where the cost of living soars and growth flatlines.0 -
What's driving the dollar rate down at the moment? It's at 1.93 now...Errors of opinion may be tolerated where reason is left free to combat it. - Jefferson0
-
Melissa177 wrote: »What's driving the dollar rate down at the moment? It's at 1.93 now...
possibly that the pound is overvalued? the uk economy is built on nothing more that debt? fx traders having a bad day in the office?0 -
Melissa177 wrote: »What's driving the dollar rate down at the moment? It's at 1.93 now...
Cable (dollar - sterling fx rate) is 1.9396 according to Bloomberg. It looks like the carry trade (where investors borrow money in Yen at 0.5% and then use that money to buy higher yielding assets in other countries) is going strong.
Presumably, the turmoil in the US bond market ending (taking a break?) has revived the carry trade and is driving the $ up as people buy up the now higher yielding US treasuries.
The carry trade has been described memorably as like picking up nickles in front of a bulldozer - midly profitably for a while but you'll end up getting flattened!0 -
I've just been sent this, entitled "The day in the life of an FX Trader"6:30: Stumble into work, turn on computer, set to autotrade
7:00: Breakfast meeting with headhunter to discuss which banks are paying more.
8:30: Turn off the autotrade, discover it has lost money while was at breakfast
9:15: Call friend at goldman sachs, see what trades they're doing
9:20: Do exact same thing
9:25: Gym time, boxing with the Yen trader
11:00: Back to the desk. All is well with the market.
11:15: Lunch, with 2 brokers at a steakhouse and 3 bottles of red wine.
2:00: Stumble back into work. Market still fine.
2:03: Market just crashed. I'm screwed.
2:05: Market recovers, I'm okay.
2:10: Headhunter calls - JP Morgan is hiring and want to see me. I leave the office for an interview.
4:00: Reverse whatever trade I did in the morning.
4:55: Quitting time, steak dinner with more red wine. Expense account.
Like I said, not a real job.Errors of opinion may be tolerated where reason is left free to combat it. - Jefferson0 -
I presumed all city jobs were like that. That's what I'd do."Mrs. Pench, you've won the car contest, would you like a triumph spitfire or 3000 in cash?" He smiled.
Mrs. Pench took the money. "What will you do with it all? Not that it's any of my business," he giggled.
"I think I'll become an alcoholic," said Betty.0 -
I think the Kiwi Government at least woke them up a little this week. Maybe the Bank of England should do something similar i.e. shock drop in interest rates to shake off some of the arbitrage money that it is on 'auto trade' from Yen borrowing. The only reason the pound is so high at the moment. (Of course this could wobble a few hedge fund house of cards
). "I hear and I forget. I see and I remember. I do and I understand." — Confucius0 -
ECB raised last week, didn't they?Errors of opinion may be tolerated where reason is left free to combat it. - Jefferson0
-
Yes they did. The NZ Government intervened and bought NZ dollars unexpectedly. I was (ironically) suggesting the shock value of a drop might be interesting."I hear and I forget. I see and I remember. I do and I understand." — Confucius0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352K Banking & Borrowing
- 253.5K Reduce Debt & Boost Income
- 454.2K Spending & Discounts
- 245K Work, Benefits & Business
- 600.6K Mortgages, Homes & Bills
- 177.4K Life & Family
- 258.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards