tell me why the pound is sinking like the titanic

[kdubya]

seeing as this is the latest prediction on the always going to fail Euro can somebody tell me why the pound is at a 15 month low against it? who is kidding who, or more to the point which will go first?

 

KW

 

http://www.bloomberg.com/news/2013-02-17/saxo-bank-ceo-says-euro-doomed-as-single-currency-woes-resurface.html

[Boogie]

Maybe because we are printing money so much new money, sorry I forgot its now called quantitative easing. Actually if I knew why and could predict it I would be somewhere sunny! All I know is that if both politicians and the markets acted rationally then the euro would be dead by now. But they don't do they.

[HDAV]

Possibly becuase our debt is huge a growing second only to japan as % of GDP............Money markets dont think the £ is a solid bet..... only good thing is it does help our exports.......

[henry d]

Illegal immigrants and Islamic insurgents selling horse meat kebabs full of drugs to our unsuspecting kids at lunchtimes in order to molest them?

[Footu]

Qe helps exports and will cause inflation. Higher inflation will wipe out a lot of our debt over a generation or so. Think dads first mortgage 4 grand, inflation over one lifetime( forget about current value to earnings) now that debt is next to nothing.

Scary side of that is everything costs more, wages haven't kept up and 1970s strikes unlikely as unions are weaker. If average interest rates are 6% and we have been on .5 for 4 years it has to go to 12 to get back to an average of 6. Remember 15% mortgage rates?

 

Rant over. Head kept down and secretly stashes cans of beer for when all the riots start.

[unapalomablanca]

i think the pound will be ok because we are seen as a safe haven and consequently piles of foreign money is pouring in from failing, teetering economies. This i think is counteracting the madness of printing more banknotes.

[FalconFN]

Illegal immigrants and Islamic insurgents selling horse meat kebabs full of drugs to our unsuspecting kids at lunchtimes in order to molest them?

[rocksaplenty]

We are entering an international currency price war – and we are winning!

 

I manufacture products and for the price that I sell you could buy 10 similar Chinese items. It is not a situation that is sustainable.

 

The question is: whether I would rather have my savings inflated away, or be busy at work?

[gazzthompson]

We need a war on money.

[overandunder2012]

quantitative easing do you need lube for that

[four-wheel-drive]

Simple young Mr Brown spent all of our money sold all of our gold and borrowed loads of money that we cannot pay back the only way is down buy gold and silver your £ will be worth nothing soon.

 

It makes me think of the little Dutch boy putting his finger in to the hole in the dike first one finger then two then a hand then they all drowned.

Edited February 19, 2013 by four-wheel-drive

[Billy.]

Simple young Mr Brown spent all of our money sold all of our gold and borrowed loads of money that we cannot pay back the only way is down buy gold and silver your £ will be worth nothing soon.

 

It makes me think of the little Dutch boy putting his finger in to the hole in the dike first one finger then two then a hand then they all drowned.

 

Why do people think he sold all our gold?! Yes, he sold a fair bit, but certainly not enough to dent the current reserves.

 

There's over 4000 tonnes of gold sat in the BoE - Brown sold 400 tonnes.

 

[Nial]

Why do people think he sold all our gold?! Yes, he sold a fair bit, but certainly not enough to dent the current reserves.

There's over 4000 tonnes of gold sat in the BoE - Brown sold 400 tonnes.

 

This says he sold half of Britains reserves...

 

http://en.wikipedia.org/wiki/Sale_of_UK_gold_reserves,_1999-2002

 

The BoE hold gold for other countries so that 4000 tonnes isn't all ours.

 

Nial.

[Billy.]

Well it wasn't all of it, was it

[aris]

This says he sold half of Britains reserves...

 

http://en.wikipedia....rves,_1999-2002

 

The BoE hold gold for other countries so that 4000 tonnes isn't all ours.

 

Nial.

 

 

Great series of videos too

[Gimlet]

It makes me think of the little Dutch boy putting his finger in to the hole in the dike first one finger then two then a hand then they all drowned.

 

I think I've seen that film..

[four-wheel-drive]

As has been said there is a lot of gold in the bank but how much of it actually belongs to this country I have my doubts it would be much of it even if it belongs to other countries that still dose not mean that they have it all. As with cash banks say that they have say 500 tons of gold knowing that people only ever withdraw a fraction of it so it gets sold and sold again there is only one pot of gold but six people/countries think that it is theres.

[Fisheruk]

It's called quantitative easing - printing money to you and me. Simples.

[matone]

Illegal immigrants and Islamic insurgents selling horse meat kebabs full of drugs to our unsuspecting kids at lunchtimes in order to molest them?

Very good ,concise analysis of our problems.Fancy going for Cameron`s job ?

[tbox]

We need a war on money.

 

My Mrs has already started that one!...

[UKPoacher]

Illegal immigrants and Islamic insurgents selling horse meat kebabs full of drugs to our unsuspecting kids at lunchtimes in order to molest them?

 

You forgot to include bent coppers.

[UKPoacher]

The euro is only holding up because politicians are telling lies and manipulating the markets. All the Greek, Spanish, Italian and Portuguese debts have not been sorted. They just stalled the repayments until the public have forgotten about the situation then they will slip in some huge write offs. It has started already. This is not sustainable though and eventually those countries will realise that they need to come out of the euro to be able to devalue their currencies and make themselves more able to trade.

 

The euro is effectively dead. It is only being kept going by artificial rescussitation.

[chacotawas]

I think I've seen that film..

Yeah, me too. Wasn't it "Apres Moi le Deluge" starring Victoria Phallus?

[henry d]

Illegal immigrants and Islamic insurgents selling horse meat kebabs full of drugs to our unsuspecting kids at lunchtimes in order to molest them?

Very good ,concise analysis of our problems.Fancy going for Cameron`s job ?

 

Nah, prefer to be on the shop floor and getting on with trying to mend the root cause of a few of societies ills.

[rocksaplenty]

Things don’t go backwards they move forwards. If the euro collapses and UKIP get in power we don’t go back to the French selling onions and the British ruling the world again – we move on to a lot of third rate countries, populated with geriatrics and with not much to bargain with. At the moment the Chinese are happy to take our currency in exchange for their tat, purely because they want to keep their workforce busy while maintaining a stable world economy. The UK and Europe have a finite ability to print their way out of this mess, so we had better do it wisely. I’m not sure what relevance the amount of gold or tungsten coated gold that the banks hold has to the future economy; the only thing that we need is growth and that comes from: innovation, inflation, immigration, war, degregulation – I’d prefer innovation + deregulation - but that means hard work and investing in our own children, companies, farms, universities and not chasing easy returns from house price booms and hyped up foreign investment funds.

Edited February 20, 2013 by rocksaplenty