Interest rate decision - can they do anything but stick ?

[anonymous-user]

[redacted]

[bluevelvet]

rate cuts are coming, but with a fall of 10% in the £ in the last 2 weeks, even they wouldn't be so stupid so soon...just think how much imports have gone up by to add to the inflation woes.

[Olf]

I know that they're supposed to be planing to control inflation months (or is it 2 years) from now but I think they are having to plan more short term than that because things are moving fast. So on the basis that fuel prices are coming down and retail spending is down, we've had the mother of all crap summers and mortgage interest rates are high I think they'll feel relatively confident sitting on a no change.

[fido]

Dunno, about the next rate decision, but it could be 0.5 (or more) off the base rate from now to January. I have a feeling they'll write a big f8cking cheque (read: inflation) to get the uncreditworthy the hook - in which case why not cut rates NOW. Look on the bright side - exports will become cheaper - and city folk may keep some of their jobs. Tough sh8t if you have savings, just look at it as 'wealth re-distribution' to the financial fkw8ts of GB.

Edited by fido on Monday 1st September 22:23

[elster]

coyft said:

Up, down or stay the same. Won't make any difference, there's nothing they can do.

I'll agree with you there.

Think more significant things than changing the interest rates.

[Durruti]

5% up. Let's stop dicking about and get it on. To compensate the general public, a general amnesty to be declared on all and any assault charges relating to attacks on bankers by joe public.

I bagsy Applegarth.

[ACEparts_com]

They should have kept raising and not lost there bottle back in '05 when there remit was SOLELY on inflation, not asset (house) prices. But no, house price inflation dropped to single figures for about 5 seconds and the BOE bottled it and quickly reduced rates back to 5%


Now they're gonna let the pound devalue against every currency going which will increase inflation further but keep headline interest rates down. Bunch of tossers.

[Muncher]

They'll stick then in a few weeks time the Brown will announce a plan for government backed mortgages on an enormous scale.

[LittleBro]

elster said:

coyft said:

Up, down or stay the same. Won't make any difference, there's nothing they can do.

I'll agree with you there.

Think more significant things than changing the interest rates.

I think they should put interest rates up just to stop the erossion of older people's savings through inflation...but they cant. They'd rather erode the debt mountains (including their own!) and claim they cant stop inflation.

[SJobson]

Allowing inflation to rise won't help strengthen the pound's current weakness on the foreign exchanges, yet exports will help to alleviate the current economic malaise. I hope it won't be the case, but I can see rates going up, maybe not this month but possibly next.

[spikeyhead]

Stick. They could cut to help the economy short term, they could hike to strengthen the falling pound, but they'll do neither.

[MitchT]

It doesn't matter one little bit what the interest rate does - It has lost all credibility having long been set according to an inflation figure which bears no relation to reality. The markets have started thinking for themselves - You only have to compare the BoE base rate to the LIBOR to see that.

[s2art]

The only sane thing to do is cut rates sharply. It takes many months to take effect, and the economy is facing a cliff face of recession.

[fido]

anonymous said:

[redacted]

Some people will lose their houses regardless. Debt in exchange for standards of living (relative to the world) ownership of assets which the sovereign wealth funds seem more than keen to snap up (and be grateful for it). I don't know about you, but i'm spending alot more time with people from certain countries in the middle east, south america, etc. whether it be at work or on the train - the same people that ultimately lent the money in the first place, in the grand scheme of things (through oil etc.)

Edited by fido on Monday 1st September 23:39

[shalmaneser]

coyft said:

LittleBro said:

elster said:

coyft said:

Up, down or stay the same. Won't make any difference, there's nothing they can do.

I'll agree with you there.

Think more significant things than changing the interest rates.

I think they should put interest rates up just to stop the erossion of older people's savings through inflation...but they cant. They'd rather erode the debt mountains (including their own!) and claim they cant stop inflation.

Inflation will be the killer, a massive tax on savings. The genie is nearly out of the bottle, catastrophic collapse is just around the corner. Governments will be our saviours by erasing all debt and confiscating all savings. A new economic system will eventually be born out of the malaise.

More of this I say!

Personally I think it's the long predicted death on capitalism

[supersingle]

shalmaneser said:

coyft said:

LittleBro said:

elster said:

coyft said:

Up, down or stay the same. Won't make any difference, there's nothing they can do.

I'll agree with you there.

Think more significant things than changing the interest rates.

I think they should put interest rates up just to stop the erossion of older people's savings through inflation...but they cant. They'd rather erode the debt mountains (including their own!) and claim they cant stop inflation.

Inflation will be the killer, a massive tax on savings. The genie is nearly out of the bottle, catastrophic collapse is just around the corner. Governments will be our saviours by erasing all debt and confiscating all savings. A new economic system will eventually be born out of the malaise.

More of this I say!

Personally I think it's the long predicted death on capitalism

I've heard it called corporate socialism. hth

[whitechief]

I am of the opinion they will stay the same this month.

[oyster]

Down 0.25% given everything else that's been happening.

[Zod]

I think we may be getting into one of those paradoxical periods in which the market would be more likely to uprate Sterling on an interest rate cut and downgrade it on a rate increase.

[Chilli]

elster said:

coyft said:

Up, down or stay the same. Won't make any difference, there's nothing they can do.

I'll agree with you there.

Think more significant things than changing the interest rates.

totally agree. It's irrelevant. In fact, I love the way they all sit around the table laughing and joking....These people, the committee, were specifically set up to control inflation...Nice work gents, good stuff.