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View Full Version : U.K. Inflation Jumps More Than Forecast to Match 4-Year High



Martin@AS Financial
12th September 2017, 14:12
Full report here from Bloomberg:

https://www.bloomberg.com/news/articles/2017-09-12/u-k-inflation-accelerates-more-than-forecast-to-reach-2-9

BlasterBates
12th September 2017, 14:19
BOE dilemma, inflation picking up but Brexit stopping them raising interest rates.

sasguru
12th September 2017, 14:30
Oh dear never mind.:laugh:laugh

WTFH
12th September 2017, 14:34
BOE dilemma, inflation picking up but Brexit stopping them raising interest rates.

Brexit isn't stopping anything. Brexit is giving us (and inflation) freedom to soar on wings like an eagle, unconstrained by the unelected blah blah blah...

The_Equalizer
12th September 2017, 14:41
No comments on the strengthening pound. Very odd. :grin

WTFH
12th September 2017, 14:46
No comments on the strengthening pound. Very odd. :grin

When it was weakening we were told to say nothing because it was really good for tourism and makes our exports so much better value.

Does this mean that the strong pound is good because it makes this country less appealing to visit and makes our exports worse value?

The_Equalizer
12th September 2017, 14:48
When it was weakening we were told to say nothing because it was really good for tourism and makes our exports so much better value.

Does this mean that the strong pound is good because it makes this country less appealing to visit and makes our exports worse value?

There's a middle ground dear boy.

OwlHoot
12th September 2017, 14:49
When it was weakening we were told to say nothing because it was really good for tourism and makes our exports so much better value.


When it was weakening, CUK Remoaners were crowing as one that Brexit was causing the pound to circle the drain.

WTFH
12th September 2017, 14:51
There's a middle ground dear boy.

Middle ground? What do you consider the middle ground to be? $1.50/€1.30? More or less?
And what is middle ground inflation? 2%, 4%?

The_Equalizer
12th September 2017, 15:05
Middle ground? What do you consider the middle ground to be? $1.50/€1.30? More or less?
And what is middle ground inflation? 2%, 4%?

Depends on a whole myriad of things. Do I think the pound continuing to soften from these levels would be a good thing - no. Does a bit of inflation hurt - depends whether wages pick up - but it's the only solution to the vast debts we have. The thing is, I hope the UK does well. I would have hoped the same had we voted Remain.

WTFH
12th September 2017, 15:16
The thing is, I hope the UK does well. I would have hoped the same had we voted Remain.

So do I, I'm just waiting to find out what direction we are going in and if there is any control, both of which seem to be lacking in the UK negotiation team.

northernladyuk
12th September 2017, 15:30
Depends on a whole myriad of things. Do I think the pound continuing to soften from these levels would be a good thing - no. Does a bit of inflation hurt - depends whether wages pick up - but it's the only solution to the vast debts we have. The thing is, I hope the UK does well. I would have hoped the same had we voted Remain.

You hope? Not trashing the economy in the first place would have been more effective than virtue signalling and pointing fingers at the enemies of the people.

xoggoth
12th September 2017, 16:55
Apparently the rise is mainly driven by rise in clothing and shoe prices. Good news for us scruffy old gits!

Paddy
12th September 2017, 17:23
Apparently the rise is mainly driven by rise in clothing and shoe prices. Good news for us scruffy old gits!

So the recent 30% price rise of butter, cheese, coffee, tea and biscuits seems to be irrelevant.

xoggoth
12th September 2017, 18:18
So the recent 30% price rise of butter, cheese, coffee, tea and biscuits seems to be irrelevant.

Says ere (http://www.telegraph.co.uk/business/2017/09/12/inflation-jumps-29pc-clothes-shoes-get-expensive/)


food inflation slowed down, dipping from 2.6pc in July to 2.1pc in August, reducing the intensity of the pressure on the weekly shop.

The_Equalizer
13th September 2017, 08:06
You hope? Not trashing the economy in the first place would have been more effective than virtue signalling and pointing fingers at the enemies of the people.

Trashing. Virtue signalling. Enemies of the people. You've got the wrong person. :grin

original PM
13th September 2017, 09:23
https://images7.memedroid.com/images/UPLOADED840/59b7de3a57b4d.jpeg

WTFH
13th September 2017, 09:46
https://images7.memedroid.com/images/UPLOADED840/59b7de3a57b4d.jpeg

Welcome to our world.

motoukenin
13th September 2017, 10:06
With Brexit looming this is a Scrodingers Cat situation , when the box is opened (Brexit Terms and conditions are known) then pound will go up as the uncertainty stops , I have a lot of money riding on this , of course when they call its name (lets call it Boris) and it no longer responds then that's when the pound slumps back again.

PurpleGorilla
13th September 2017, 12:54
You hope? Not trashing the economy in the first place would have been more effective than virtue signalling and pointing fingers at the enemies of the people.

https://www.theguardian.com/business/2017/sep/13/darling-brexit-banking-crisis?CMP=Share_iOSApp_Other

shaunbhoy
13th September 2017, 12:56
Middle ground? What do you consider the middle ground to be?

A place that the small collection of raisins that you use for a brain will never be able to comprehend.

HTH

:laugh

WTFH
13th September 2017, 13:19
A place that the small collection of raisins that you use for a brain will never be able to comprehend.

HTH

:laugh

Unable to put together a coherent answer as ever, Shaun.


[QUOTE=original PM;2468738]https://images7.memedroid.com/images/UPLOADED840/59b7de3a57b4d.jpeg

original PM
13th September 2017, 13:51
Unable to put together a coherent answer as ever, Shaun.


[QUOTE=original PM;2468738]https://images7.memedroid.com/images/UPLOADED840/59b7de3a57b4d.jpeg

Stop using my memedroid quote

it's probably made up bollox anyway!

:tantrum:

sasguru
13th September 2017, 14:28
With Brexit looming this is a Scrodingers Cat situation , when the box is opened (Brexit Terms and conditions are known) then pound will go up as the uncertainty stops , I have a lot of money riding on this , of course when they call its name (lets call it Boris) and it no longer responds then that's when the pound slumps back again.

The pound rose on the news of inflation as markets priced in a possible interest rate rise.
Problem is that an interest rate rise will reduce consumer spending even more and slow down growth.
And that will cause the pound to fall.

Caught between a rock and a hard place - the classic conundrum of a moribund economy.

WTFH
13th September 2017, 14:55
Stop using my memedroid quote


It was a quote that is perfect in so many of the arguments where facts are ignored in favour of religiously believing, or just burying heads in the sand and laughing.

Possibly your best post/find in a long time.

BlasterBates
13th September 2017, 15:19
The pound rose on the news of inflation as markets priced in a possible interest rate rise.
Problem is that an interest rate rise will reduce consumer spending even more and slow down growth.
And that will cause the pound to fall.

Caught between a rock and a hard place - the classic conundrum of a moribund economy.

Indeed the DUP looks likely to torpedo public pay restraint at a time when inflation is running at between 3 and 4 %. This inflation is directly caused by the Brexit vote. Either inflation takes off or the BOE has to shove up interest rates which when combined with Brexit is going to be economically painful, .....very painful !!

The window for Brexit was around the early 2000's when the UK could have afforded to do it. It's pretty clear that Brexit will collapse and the government will be booted out.

hugebrain
13th September 2017, 18:53
Indeed the DUP looks likely to torpedo public pay restraint at a time when inflation is running at between 3 and 4 %. This inflation is directly caused by the Brexit vote..

Or perhaps the inflation is due to lack of faith in the pound because of the out of control greed of the public sector. So if we cut public sector pay, then we get deflation and the public sector will still be better off. Win win. Also makes for a more equal society.

P.S. The bank of England promised to raise interest rates of we voted for brexit. I think their duplicity might be the underlying problem.

shaunbhoy
13th September 2017, 19:15
Unable to put together a coherent answer as ever, Shaun.




Au Contraire. It hit the nail perfectly on the head regarding your lack of smarts.

A tad unflattering from your point of view admittedly, but factually bang-on.

HTH

:wink

excon
13th September 2017, 19:31
Unable to put together a coherent answer as ever, Shaun.


[QUOTE=original PM;2468738]https://images7.memedroid.com/images/UPLOADED840/59b7de3a57b4d.jpeg


More classics from Mr Sowell:

http://thebullelephant.com/wp-content/uploads/2013/09/Thomas-Sowell-replacing-what-works-with-what-feels-good.jpg

https://i1.wp.com/joedubs.com/wp-content/uploads/2016/08/thomas-sowells-racist-affirmative-action.jpg

https://i.pinimg.com/originals/59/38/5b/59385bdff5698d680fbcdb313c52d8b1.jpg

darmstadt
13th September 2017, 19:56
More classics from Mr Sowell:

http://thebullelephant.com/wp-content/uploads/2013/09/Thomas-Sowell-replacing-what-works-with-what-feels-good.jpg


Nailed Brexit with that one :grin

northernladyuk
13th September 2017, 20:29
It was a quote that is perfect in so many of the arguments where facts are ignored in favour of religiously believing, or just burying heads in the sand and laughing.

Possibly your best post/find in a long time.

http://www.quotehd.com/imagequotes/authors1/winston-churchill-statesman-it-is-a-good-thing-for-an-uneducated-man.jpg

motoukenin
14th September 2017, 10:12
The pound rose on the news of inflation as markets priced in a possible interest rate rise.
Problem is that an interest rate rise will reduce consumer spending even more and slow down growth.
And that will cause the pound to fall.

Caught between a rock and a hard place - the classic conundrum of a moribund economy.

I have set my contract to be between 1st and 30th November 2018 with a 5% continuous increase from Feb 2017, by that time Brexit conditions will be known and pound I believe will rise as spending rises for Christmas period. With conditions of Brexit known either good or bad I believe that businesses knowing where they stand is a better situation than not knowing and pound always rises on business certainty.

With over 60K in this its a huge gamble agreed but you got to put a lot in to get a decent return. Long term I agree with you on inflation and possible national strikes levelling things out but from what I can see inflation is set to drop early 2019 and don't think the national strikes will be effective in Uk, is not a good place for JAMS and they need the cash.

sasguru
14th September 2017, 11:06
I have set my contract to be between 1st and 30th November 2018 with a 5% continuous increase from Feb 2017, by that time Brexit conditions will be known and pound I believe will rise as spending rises for Christmas period. With conditions of Brexit known either good or bad I believe that businesses knowing where they stand is a better situation than not knowing and pound always rises on business certainty.

With over 60K in this its a huge gamble agreed but you got to put a lot in to get a decent return. Long term I agree with you on inflation and possible national strikes levelling things out but from what I can see inflation is set to drop early 2019 and don't think the national strikes will be effective in Uk, is not a good place for JAMS and they need the cash.

You'd be barmy to bet 60K on the future of the pound - in either direction.
It's in the first stages of becoming a banana republic currency and wild swings are to be expected within the context of an accelerated long-term decline.

WTFH
14th September 2017, 11:59
You'd be barmy to bet 60K...

Have you ever seen motoukenin and MF in the same room?
#JustSayin'

motoukenin
14th September 2017, 12:35
You'd be barmy to bet 60K on the future of the pound - in either direction.
It's in the first stages of becoming a banana republic currency and wild swings are to be expected within the context of an accelerated long-term decline.

You could be right in terms of Macro economics, but to quote yet another cat reference its the dead cat bounce that I look at. With many years of fintech experience I have met a few day traders and this is where a lot of the dealers are also putting their money, there has been a 35% increase in funds to this contract since 18 days ago so ever hopeful.

Any advice on where the dollar/euro is going ?

northernladyuk
14th September 2017, 12:38
You could be right in terms of Macro economics, but to quote yet another cat reference its the dead cat bounce that I look at. With many years of fintech experience I have met a few day traders and this is where a lot of the dealers are also putting their money, there has been a 35% increase in funds to this contract since 18 days ago so ever hopeful.

Any advice on where the dollar/euro is going ?

LMGTFY (http://bfy.tw/DvHt)

motoukenin
14th September 2017, 13:21
LMGTFY (http://bfy.tw/DvHt)

Ah but can you Google the accuracy of Google ?

https://www.thestreet.com/story/12929379/1/is-google-responsible-for-delivering-accurate--and-truthful--search-results.html