Interest rates predicted to rise again tomorrow….
- Thread starter sherlock
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Brian Marwood
Well-known member
Or, how would inflation be running had they not increased interest rates?
Borothruandthru
Well-known member
Let's be honest our bank of England has to follow Americas lead.
If the fed raise interest rates and we don't, the pound could go to less than a dollar !
Imagine fuel price inflation in that scenario.
If the fed raise interest rates and we don't, the pound could go to less than a dollar !
Imagine fuel price inflation in that scenario.
sherlock
Well-known member
As the inflation isn’t driven by consumer spending, probably exactly the same.
Borothruandthru
Well-known member
The real issue is that the Fed seems to be running by right wing hawks.
For example about 2 weeks ago U.S. inflation figures came in unexpectedly low and the markets were buoyant very briefly until the Fed announcement that they had not finished raising rates.
Sadly maybe being used to put political rival Biden under pressure, just as this week we have the Congress refusing to loosen the purse strings.
For example about 2 weeks ago U.S. inflation figures came in unexpectedly low and the markets were buoyant very briefly until the Fed announcement that they had not finished raising rates.
Sadly maybe being used to put political rival Biden under pressure, just as this week we have the Congress refusing to loosen the purse strings.
ForssAwakens
Well-known member
What if the interest rate rises have stopped inflation going even higher?
ForssAwakens
Well-known member
Im not sure that’s true, if inflation is still happening then the high inflation now if just being compounded by a slightly smaller inflation
Many in this country need deflation, particularly on energy and food
Pak_Doo_Ik
Well-known member
Do you think they have?
Nosmo-King
Well-known member
And o
Of course you are an expert on being clueless….. wonder why???
ForssAwakens
Well-known member
They’ll have slowed down to some extent, has some eluded to if banks in Europe and America are raising them, we can’t afford to weaken the pound, particularly as inflation from brexit makes it higher already
Pak_Doo_Ik
Well-known member
The only way interest rates increases have had any impact on inflation is that they have kept the pound steady against which has meant oil prices haven’t increased as much as they may have done.
Increased interest have had no impact on consumer spending because people stopped buying luxury items a long time ago and food inflation is worryingly high.
The only people benifitting from high interest rates are people who could afford savings.
Increased interest have had no impact on consumer spending because people stopped buying luxury items a long time ago and food inflation is worryingly high.
The only people benifitting from high interest rates are people who could afford savings.
BoroMart
Well-known member
Imagine how bad inflation would be if they didn’t raise it!
Blame the government for making such a sh1t show of the economy not BoE for using the key tool they have.
sherlock
Well-known member
What if they haven’t?
ForssAwakens
Well-known member
Food inflation would be higher if they hadn’t increased the pound, or alternatively food inflation may have been smaller, because we decided the price to high to import and we’d have less choice or empty shelves
ForssAwakens
Well-known member
Answering a question with a question.
There’s reason within a few posts of mine what impact increasing them has done
sherlock
Well-known member
Oh look, it’s Gonzo-King with his usual valuable contribution.
Ironops
Well-known member
If we had an adequate supply of housing stock there wouldnt be a boom
Nosmo-King
Well-known member
Ha you talk about valuable? You are one of the top irritants on the board - quite a feat these days
ThatFragranceGuy
Well-known member
It's definitely put the brakes on house price inflation