What does it mean if the "debt bubble" bursts?

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  • jamei305
    jamei305 Posts: 635 Forumite
    First Anniversary Name Dropper First Post
    Moneyweek is like the National Enquirer of financial journalism.
  • DiggerUK wrote: »
    And many forum visitors and members, will still be puzzled as to why a long winded post#2, which gave a fairly decent explanation of why bond prices flim flam around, became the basis for a sticky, despite the fact that it didn't answer the original question.

    The answer to that question is short and sweet. 'Debt bubbles burst when the debts can't be repaid' Those type of debts come about when easy money is available by the bucket load..._

    I agree with all of the points you have made, although I would modify your answer as follows:

    "Debt bubbles burst when the debt bearers realise that the debts can't be repaid."

    Perception is (almost) everything in the financial world. :)
  • A market marvel portrayed by surges in resource costs to levels altogether over the crucial estimation of that benefit. Bubbkes are frequently difficult to distinguish progressively on the grounds that there is difference over the essential estimation of the advantage.
  • johnpope wrote: »
    A market marvel portrayed by surges in resource costs to levels altogether over the crucial estimation of that benefit. Bubbkes are frequently difficult to distinguish progressively on the grounds that there is difference over the essential estimation of the advantage.
    I think that clarifies it . . . ;)
  • johnpope wrote: »
    A market marvel portrayed by surges in resource costs to levels altogether over the crucial estimation of that benefit. Bubbkes are frequently difficult to distinguish progressively on the grounds that there is difference over the essential estimation of the advantage.

    I usually fail to recognise a bubbke. However, as my Klingon to English converter is broken, I don't suppose you could do the translation for me?
  • smjxm09
    smjxm09 Posts: 663 Forumite
    First Post First Anniversary Combo Breaker
    edited 7 March 2018 at 8:09PM
    This sticky has stopped me in my tracks. I have 2 large holdings of over a £100,000 each in 2 different multi asset income funds that produces much of my income after my company pension. The funds are marketed as a lower risk investment as around 60% of the funds are in bonds.

    I also dabble in peer 2 peer lending and have around £18,000 invested but most of my savings are still held in cash. I was thinking of reducing my cash further by either increasing my p2p lending or by buying more multi asset funds.

    Maybe I will stick with cash now!
  • eskbanker
    eskbanker Posts: 30,939 Forumite
    First Anniversary Name Dropper Photogenic First Post
    smjxm09 wrote: »
    I also dabble in pier to pier lending
    Are you lending to P&O and DFDS ferries? ;)
  • le_loup
    le_loup Posts: 4,047 Forumite
    smjxm09 wrote: »
    I also dabble in pier to pier lending
    Great news - I understand that Hastings Pier has gone bust again - perhaps you can help them out.
  • Thank you for sharing your thoughts and ideas about this. I have been looking for this because i've been hearing a lot about it as well.
  • Carrieanne
    Carrieanne Posts: 122 Forumite
    Events quickened in a big way two days ago when the Argentina peso and Turkish lira hit all-time lows versus the US dollar. It's massively odds-on that the Venezuelan bolivar and Iranian rial achieved similar but it's difficult to get accurate numbers as those countries are understandably coy about releasing data. Five years ago 10 bolivars purchased one US dollar. Today circa four million bolivars buys one US dollar, making that currency effectively worthless.

    Agent Orange in the Whitehouse appears intent on imposing sanctions or tariffs on anything that catches his eye. Whomever's pulling his strings seems to be in a hurry to initiate economic chaos on a global scale.

    Turkey's president has urged citizens to exchange their gold for lira. He ought to consider becoming a comedian.
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