Bank Of England MPC - Interest Rates CUT to 0.25% + QE increase £60 Billion

Graham_Devon

Filo25 wrote: »

Do you actually believe this, from what I recall Sterling managed to fall of the end of a cliff quite happily on its own before Carney uttered a word on the morning after the Brexit decision.

Yes. I believe it.

Theres articles about it. It happened. Mark Carneys statements saw the pound fall another 3.5% one day and a further 3% the next time he made a statement. These falls did not rebound. The brexit damage rebounded by around 50% the next day. It's fallen another 1.6% today. Add all these falls up, which haven't rebounded after statements and todays action. More damage than the Brexit vote (if you consider it recovered 50% the Monday following the vote).

And I'm not referring to the morning after the Brexit vote and said so in the reply you quoted.

Article here, as an example.... note the date, 7 days after the referendum.
https://www.theguardian.com/business/live/2016/jun/30/markets-ftse-sterling-mark-carney-brexit-speech-business-live

Crashy_Time

mwpt wrote: »

What did they expect? I find it so ironic that almost the entire forum over there was frothing at the mouth at the prospect of brexit, thinking it would give them their HPC. But government has indicated time and again that it'll do virtually anything to keep our house price based economy going, so interest rate cuts and QE were always going to be the result in the DIY brexit recession.

So you think this move today will prevent a HPC?

Crashy_Time

Graham_Devon wrote: »

Just been reminded by the TV that the IMF were also warning of interest rate rises should we vote for Brexit.

We were told to listen to all these experts. So what happened?

They are getting ready to defend the currency IMO, they need to be really low so they can make some token rises without spooking people. When the EZ splits apart they won`t be able to control interest rates any more.

Crashy_Time

Graham_Devon wrote: »

What's your view though - we know your views on other peoples views as you are always letting us know.

What will this actually achieve, apart from more (and likely false) sentiment in the housing market, specifically for those who ar emore likely to be willing to take on larger debts?

One of the issues this morning raised on 5 live was that people are cutting back spending because they have to. Cost of renting increasing, already maxed out on debt etc etc. How does increasing the cost of housing (via this stimulus) help any of that?

It doesn`t, but the more idiots that pile in now the bigger the eventual crash will be :rotfl: Fergus will be partying tonight, he maybe doesn`t even need his sale to go through after this :rotfl:

padington

BOOM - This bull market is here to stay. All those that predicted rising interests rates, you were wrong.

Get your hands on anything other than cash because it's going down the pan. Gold, stocks, houses, art whatever, just don't let cash be your only holding.

... And if you are still jumping around the board paying rent without buying any property yet, you are playing the game oh so badly.

wotsthat

Thrugelmir wrote: »

Will be a few % every month. Apply that across a few million people and the services sector will notice the difference.

You're going to increase your savings rate by a few % because base rates have gone from 0.5% to 0.25%? Sorry but you're making that up.

DividedNation

Graham_Devon wrote: »

Just been reminded by the TV that the IMF were also warning of interest rate rises should we vote for Brexit.

We were told to listen to all these experts. So what happened?

Ah yes what a massive lie that was.

And I am reminded how George Carney had been predicting a rise in interest rates for several years now.

Bank of England's Carney says rates could rise sooner than expected

Bank of England's Carney says rates could rise sooner than expected

padington

This is the way I see it now - The worlds economy is now addicted to low interest rates and QE. There will be no change until there is a major pan global attempt to fight the currency war to the bottom. Robots will do many of our jobs cheaper, costs will go down. Deflation will remain the worry. Individual nation states will devalue and print and QE and keep interests low whenever necessary. New jobs will be created in the tech sectors and advanced cities will thrive. Old industrial areas will rot and vote for any crazy lunatic they can which might offer some hope for change, much of which will be fools gold. This represents the end of the Industrial Age and the beginning of the digital age. The gap between the rich and poor will grow. The citizens wage will become one solution to address this. The only solution ultimately will be a joint global currency agreement, which given the break up of Europe is years and years and years away. Expect more of the same. Taxes on property will increase because property will continue to rise.

There will be dips or pauses in this bull market like there always is but the dynamic is the same as it always was. The banker is printing money endlessly to lend to more and more people and the monopoly board is not getting any bigger.

HAMISH_MCTAVISH

Graham_Devon wrote: »

Yes. I believe it.

LOL.

Ok then....

To be fair though the thought of a certain portion of Brexiteers seething with rage because the outcomes they wanted aren't happening is..... well..... entertaining.

Base rate down to 0.25% and another reduction on the cards shortly - Carney leaning on the banks to pass it on even when they are inclined not to - Another huge glug of £200bn QE - and £100bn in new funding for lending money from the BOE to ensure mortgages keep flowing.

The debased currency likely to lead to material quantities of overseas money flowing in to buy up UK houses at bargain prices (in real currencies anyway) while at the same time causing inflation here in the UK 12 months from now that will no doubt be ignored by the BOE again.

I mean Crikey Graham......

You really can't win can you? :rotfl:

Graham_Devon

HAMISH_MCTAVISH wrote: »

LOL.

Ok then....

To be fair though the thought of a certain portion of Brexiteers seething with rage because the outcomes they wanted aren't happening is..... well..... entertaining.

Base rate down to 0.25% and another reduction on the cards shortly - Carney leaning on the banks to pass it on even when they are inclined not to - Another huge glug of £200bn QE - and £100bn in new funding for lending money from the BOE to ensure mortgages keep flowing.

The debased currency likely to lead to material quantities of overseas money flowing in to buy up UK houses at bargain prices (in real currencies anyway) while at the same time causing inflation here in the UK 12 months from now that will no doubt be ignored by the BOE again.

I mean Crikey Graham......

You really can't win can you? :rotfl:

Firstly, "seething with rage" seems a bit strong old fella!

Secondly, go back to the 22nd June and look at your posts warning of carnage in the economy and warning interest rates would rise, people won;t be able to get mortages etc. You were wrong.

Third..."You can't win"... seems an odd thing to say considering you were having a pop at me just a couple of months ago for being on the loosing side and not listening to the experts....as I was voting for brexit!

Many in discussion time noted your vanishing act on 23rd June. They are concerned about you!