Interest Rates Predicted To Rise Very Soon

[Breakthru]

Can someone tell me when raising interest rates reduced inflation??? Raising interest rates Raises inflation!! To reduce inflation stop printing money, reverse QE rapidly. Who suffers? The w#nkers who buy companies like Morrisons etc with doubtful debt. These are the top 1% who have benefited beyond all imagination wealth wise. Bankrupt lots of them and the rest of us will never notice. The idea of trickle down economics is b#llocks! 99% of humans are incredibly greedy and never let anything other than shrapnel trickle down!

 

[oil barron]

Can someone tell me when raising interest rates reduced inflation??? Raising interest rates Raises inflation!! To reduce inflation stop printing money, reverse QE rapidly. Who suffers? The w#nkers who buy companies like Morrisons etc with doubtful debt. These are the top 1% who have benefited beyond all imagination wealth wise. Bankrupt lots of them and the rest of us will never notice. The idea of trickle down economics is b#llocks! 99% of humans are incredibly greedy and never let anything other than shrapnel trickle down!

If you stop QE interest rates automatically go up. They go hand in hand.

 

[DaveGrohl]

Get yourself across to Turkey if you're so keen to try it out, your mate's giving it a go.

 

[cows sh#t me to tears]

Well I'll be doing my bit to drive it down. Not a chance in hell I'm buying fert out of the bag in the forseable future (if ever again) . Stick to gypsum and biodynamic blend which is proving more than competitive now, and MUCH better for my soil. Seriously contemplating a foray into compost making this year too.

 

[D14]

What is peoples view on length of fixing borrowings? We've a couple of long term mortgages not really costing a lot at the moment and I am wondering if fixing them is the safest option even if it means higher payments initially why interest rates stay as they are? I've been offered 3.57% over 10 years and 3.01% over 20 years.

 

[oil barron]

What is peoples view on length of fixing borrowings? We've a couple of long term mortgages not really costing a lot at the moment and I am wondering if fixing them is the safest option even if it means higher payments initially why interest rates stay as they are? I've been offered 3.57% over 10 years and 3.01% over 20 years.

How much over base are you in the variable?

 

[D14]

How much over base are you in the variable?

1%

 

[Fake it ‘til you make it]

I was wondering the exact same thing!

If you stop QE interest rates automatically go up. They go hand in hand.

Why do rates go up if QE is stopped/ reversed? (Genuine question, I don’t know much about monetary economics).

 

[oil barron]

Why do rates go up if QE is stopped/ reversed? (Genuine question, I don’t know much about monetary economics).

QE is a central bank buying government bonds. When you have more buyers the coupon (return on investment) on a bond goes down. If they were not buying the rate payable goes up. The coupon on government bonds has to match closely with base interest rates or investors would borrow and buy government bonds and make tons of money for no risk.

 

[oil barron]

1%

Stick on variable and use any spare cash to pay down the principal to get your loan finished quicker.

 

[SilliamWhale]

What is peoples view on length of fixing borrowings? We've a couple of long term mortgages not really costing a lot at the moment and I am wondering if fixing them is the safest option even if it means higher payments initially why interest rates stay as they are? I've been offered 3.57% over 10 years and 3.01% over 20 years.

I wouldn't change. 1% over base is mega cheap. Its a long way to go to get interest rates up to 2.5%

 

[D14]

I wouldn't change. 1% over base is mega cheap. Its a long way to go to get interest rates up to 2.5%

Is it though? If BOE need to move quickly it could be going up in 2% increments!

 

[Clive]

What is peoples view on length of fixing borrowings? We've a couple of long term mortgages not really costing a lot at the moment and I am wondering if fixing them is the safest option even if it means higher payments initially why interest rates stay as they are? I've been offered 3.57% over 10 years and 3.01% over 20 years.

hedge it if unsure - 50% fixed and 50% variable

 

[DaveGrohl]

Is it though? If BOE need to move quickly it could be going up in 2% increments!

Not going to happen.

 

[Highland Mule]

Is it though? If BOE need to move quickly it could be going up in 2% increments!

They wouldn't. A 2% rise could double or more folks' mortgage payments.

 

[Still Farming]

 

[DaveGrohl]

So 0.15% rise it is. Soon? We'll see. They're singalling in the hope the signal will work so they don't have to actually do anything.

Remember when that Canadian chap couldn't shut tf up? So much more reassuring to have Bailey in charge.

 

[redsloe]

So 0.15% rise it is. Soon? We'll see. They're singalling in the hope the signal will work so they don't have to actually do anything.

Remember when that Canadian chap couldn't shut tf up? So much more reassuring to have Bailey in charge.

Yes, used to annoy me when he said the same thing every month that rates have to rise and then he cut them!

It doesn't matter though, bank margins are doing the work instead.

 

[Steevo]

So 0.15% rise it is. Soon? We'll see. They're singalling in the hope the signal will work so they don't have to actually do anything.

Remember when that Canadian chap couldn't shut tf up? So much more reassuring to have Bailey in charge.

Summed up perfectly! That's exactly how I read it.

"This situation is so serious that we will HAVE to act.......sometime!"

 

[jackrussell101]

Inflation supposedly now falling in the UK.

Spetember figures released this morning.