Sterling is dropping on the expectation of lower interest rates. Exports are rising for the suppliers I deal with, massively so in some cases. One of my UK suppliers has temporarily doubled delivery lead times.
Brexit thread - what happens next
- Thread starter Gilly
- Start date
- Status
Sterling is dropping on the expectation of lower interest rates. Exports are rising for the suppliers I deal with, massively so in some cases. One of my UK suppliers has temporarily doubled delivery lead times.
![[TW]Fox](/data/man-of-honor/2009.png){kind=avatar}
This is part of it, but not all of it. It's dropping on the expectation of impaired economic performance as well (Which is of course the reason for the lower interest rates in the first place).
Informal negotiations have already been taking place. During the NATO meeting discussions dominated the meeting.
Also QE.
Both of the potential leaders have put it at the top of their priority lists. After my visit to the City on Thursday I'm in zero doubt the City's position will be completely unchanged.
Also QE.
Both of the potential leaders have put it at the top of their priority lists. After my visit to the City on Thursday I'm in zero doubt the City's position will be completely unchanged.
Last edited:
I doubt that.
Banks will get tax haven status in the short term. They won't go anywhere.
Soldato
- Joined
- 1 Mar 2010
- Posts
- 6,316
The irony of becoming a tax haven will be worth it in its own right. Though forgive my scepticism in light of recent flip-flops by just about everyone on the political scene. Leadsom in particular swings from a free-market radical one moment to a nutty isolationist the next, with a dodgy CV to boot. Hard to say presently what tendency will win out in the end, and whom we will actually throw at the negotiators in Brussels.
Negotiation tactic would be say something and if it does not work pretend you never said it and get all triumphal and indignant about something else.
"Nigel Farage warns today he would fight for a second referendum on Britain in Europe if the remain campaign won by a narrow margin next month.
The Ukip leader said a small defeat for his leave camp would be “unfinished business” and predicted pressure would grow for a re-run of the 23 June ballot.
Farage told the Mirror: “In a 52-48 referendum this would be unfinished business by a long way."
http://www.mirror.co.uk/news/uk-news/nigel-farage-wants-second-referendum-7985017
..The interest rate is firstly intrinsically linked to the health of the economy and more specifically the return assets within the economy can give.
When the return provided by an economy for real investment falls, monetary policy needs to try and ensure that people don't just hoard cash, damaging the economy, and so the interest rate is cut.
Interest rate changes, currency changes, inflation changes are all symptoms of what is happening with the underlying economy.
I don't think you read my post properly. Exports will increase, but hailing it as a good thing isn't the correct thing. In this case it is a sign of a weak domestic economy, not that the UK suddenly a far more competitive exporting economy.
Last edited:
Jose Manuel Barroso going to work for Goldman, just like all the others.
Gibbo from here said their overseas sales have rocketed. Suspect uk sales will be falling though
Its going to be a nice economic boom in this country, Europe is in decline, Germany tried to take control and failed, the euro has destroyed southern countries, Italian banks about to collapse, French or Italian about to exit the euro.
Haven't followed the thread closely but just watched Panorama with Adrian Chiles - makes me rage, the views and misinformation these voters have is unbelievable. The years of media scaremongering should be held accountable.
Should remove all the British bars, shops and restaurants from the equation on their next, more expensive trip to Spain and see how they get on.
Should remove all the British bars, shops and restaurants from the equation on their next, more expensive trip to Spain and see how they get on.
https://m.facebook.com/groups/530458937099278
Have a look at this Facebook group, happening all over the north. This is why leave won, plain and simple.
Have a look at this Facebook group, happening all over the north. This is why leave won, plain and simple.
I'm not saying low interest rates are bad. Nor am I saying the world economy right now isn't in a poor position (low interest rates, low inflation, precarious economic growth).
However, leaving the EU will in the short term hit the UK economy at a time when the world economy itself is relatively weak. The BoE is looking to lower interest rates, sterling has fallen 14% versus the dollar, government tax income will fall.
Time will tell, but we will be able to measure our economic performance against Germany/France/Italy etc. All educated predictions point to the UK being hit far worse than anyone else in the world as a consequence of Brexit. To make things worse, whilst inflation normally falls when economic growth slows (helping keep real incomes up), there are predictions of a brief spike in inflation over the next 12 months.
If house prices start falling, then credit may be more difficult to get, creating a localised UK credit crisis. The BoE will have already fired everything at its disposal. (See share prices of UK banks).
Last edited:
I think Adrian Chiles has that effect on a lot of people
This is a complete waste of time.
Nobody said the EU was an 'economic juggernaut' at all. Nobody said it shields you from low interest rates.
However, our presence within it has aided our economic recovery and was at least partially responsible for the high levels of growth compared with other large major economies we had been seeing.
The UK performed well within the EU - which isn't the same as saying 'The EU as a whole performed well'.
- Status