lloyd
Member
- Location
- Herefordshire
Your urea price is little more than £450 t equivalent to over here,bargain.Urea $1000/ tonne here now. Roundup $10500 per shuttle. Up from $4000 a year ago.
Your urea price is little more than £450 t equivalent to over here,bargain.Urea $1000/ tonne here now. Roundup $10500 per shuttle. Up from $4000 a year ago.
Your forgetting the most purtinant point. 99% of governments are only there for a short period. They only give a stuff about the Immediate future and getting re elected long enough to get a pension for life. And ALL LEFT wing parties are y far the worst offenders when it comes to economic management.See, it's not anything like as complicated as it first appears is it? The more you borrow from the future the lower the value of that money when you finally get there.
Map $1300/ tonne now. Urea has tripled in price in just over 12 months. So it's all relevant. Your also forgetting all urea useage has finished for this crop. Who knows what it will be next july.Your urea price is little more than £450 t equivalent to over here,bargain.
Great in theory except as any of us know should interest rates start to rise then the interest on the governments massive debt will rise & serious cuts will have to be made, a couple of percentage points rise on two trillion adds up to a fair old bit! = £20 billion extraSee, it's not anything like as complicated as it first appears is it? The more you borrow from the future the lower the value of that money when you finally get there.
The time to fix loans was spring last year, when the extra rate to do this was 0.3% for long term loans, whereas now it is over 1% extra.The inflation rates we are seeing should be relative short term, they are based on a global lag in production used by covid, things should catch back up eventually……… assuming we didn’t get another significant covid variant or wave now
everyone is in the same boat globally, nothing has REALLY changed other than the numbers
maybe some short term interest rate rises to try cool things and stop inflation getting out of control but they can not rise much without bankrupting most of the word and individuals as economies are based on debt now
in the meantime borrowing cheap money to buy appreciatIng assets pays handsomely, landowner farmers and those sitting on piles of wheat literally get richer daily right now
question is if it’s time to fixed any variable rate borrowing you may have or not ?
agree but expectation is better than certainty re a deal for anyone concerned re variable rate loansThe time to fix loans was spring last year, when the extra rate to do this was 0.3% for long term loans, whereas now it is over 1% extra.
The fixed rate loans will already have priced in the future expectation of rate rises.
Personally I see the current inflationary pressures as more deflationary.
Think back to 2008, inflation was going up, then what happened... they started to increase rates... only by a small percentage... then the economy crashed as consumers and businesses all cut back.
I can't see any reason why it wouldn't be any different this time.
My money would still be pointing towards negative interest rates in the next 10 years.
There is so much money needed to invest in order to decarbonise our economies.
Long term 30 year GILTs were over 1.5% earlier in the week, now they've settled back to 1.3%ish terrority. Still bloody low interest rates all things being equal.
As the saying goes, don't fight the Fed. Or the B of E for that matter. They will do whatever it takes to engineer the economic environment in favour of growth, investment and consumption.
Can banks operate without people having deposited money with them?Personally I see the current inflationary pressures as more deflationary.
Think back to 2008, inflation was going up, then what happened... they started to increase rates... only by a small percentage... then the economy crashed as consumers and businesses all cut back.
I can't see any reason why it wouldn't be any different this time.
My money would still be pointing towards negative interest rates in the next 10 years.
There is so much money needed to invest in order to decarbonise our economies.
Long term 30 year GILTs were over 1.5% earlier in the week, now they've settled back to 1.3%ish terrority. Still bloody low interest rates all things being equal.
As the saying goes, don't fight the Fed. Or the B of E for that matter. They will do whatever it takes to engineer the economic environment in favour of growth, investment and consumption.
Can banks operate without people having deposited money with them?
Right now a week is too long to have money in the bank if rates go negative it will be even less.
And?Great in theory except as any of us know should interest rates start to rise then the interest on the governments massive debt will rise & serious cuts will have to be made, a couple of percentage points rise on two trillion adds up to a fair old bit! = £20 billion extra
The western world has printed trillions of $ collectively called Quantitative Easing. Of course those who are more money savvy will invest their share in property. Hence house prices are going up everywhere where their gov'ts have been running their printing presses hot.
Central banks (those controlling interest rates for each nation) require higher rates now as all this money that has sloshed around to cushion the effects of Covid will have to be bought back, some how, some day. They have few other tools to control inflation.
And the national debt will deflate away!If Bojo is to deliver on what he say's then prices will need to go up, as will inflation, as will incomes.
Along with economic growth, and GDP, supply chain and logistics flowing and whack a few new hospital up.
National debt will need to fall, as will unemployment, and stick it to the French for good measure.
Not much to ask really
Watch out for low flying ...If Bojo is to deliver on what he say's then prices will need to go up, as will inflation, as will incomes.
Along with economic growth, and GDP, supply chain and logistics flowing and whack a few new hospital up.
National debt will need to fall, as will unemployment, and stick it to the French for good measure.
Not much to ask really