The Big Bailout of the Eurozone (Another crisis coming? - Seriously)

[Bogball XV]

I thought they couldnt cut interest rates because that would cause something else to go up?

It's called running out of ideas, so far they've disregarded virtually everything they used to hold sacred: competition law, deregulation, free market is always right, privitisations, etc, etc.

Seriously, what is this supposed to achieve?  Do they think this will cause the interbank rate to drop?  I'm a bit confused tbh (but then that'll hardly be a surprise).

[muppet]

I thought they couldnt cut interest rates because that would cause something else to go up?

It's called running out of ideas, so far they've disregarded virtually everything they used to hold sacred: competition law, deregulation, free market is always right, privitisations, etc, etc.

Seriously, what is this supposed to achieve?  Do they think this will cause the interbank rate to drop?  I'm a bit confused tbh (but then that'll hardly be a surprise).

It has caused a bit of a bounce but it does smack of total desperation.

If the banks refuse to pass on the cuts, given the taxpayer is insuring them, it would be time to hit the streets IMHO.

[Billys Boots]

Any bets the banks don't pass the cuts on?

Don't they have to?  If you have an ECB + margin mortgage, they must drop the rate immediately, or are all deals effectively over?

[behind the wire]

we are only feeling the real effect of maggie thatchers reign now.

[gerrykeegan]

Any bets the banks don't pass the cuts on?

Don't they have to?  If you have an ECB + margin mortgage, they must drop the rate immediately, or are all deals effectively over?

that would be breach of contract Billy, If you have a tracker you will be fine.

[muppet]

Any bets the banks don't pass the cuts on?

Don't they have to?  If you have an ECB + margin mortgage, they must drop the rate immediately, or are all deals effectively over?

If you have a tracker it should drop immediately however I'd read the small print just in case.

[Bogball XV]

Any bets the banks don't pass the cuts on?

Don't they have to?  If you have an ECB + margin mortgage, they must drop the rate immediately, or are all deals effectively over?

trackers have to drop alright, but I don't know that central bank rates are actually that important to banks anymore, a lot of their borrowing is at the interbank rates and they're way higher than central bank rates anyway, mainly because there is no trust or confidence in the market anymore, basically if i'm going to lend you 20 quid but I'm not sure that you can pay me back I'm going to demand a high premium.
Essentially if the interbank rates don't drop as a result of this, and I don't know that there is any direct link, then the banks won't be in a position to drop their mortgage rates.
I suppose the thinking is that this will decrease interbank rates, which will allow the banks to pass on the cut which may stimulate consumer spending, it's another gamble.

[lynchbhoy]

yea  it is definately illegal down south banks aren't allowed to send out letters to customers offering pre approved loans to  them

I've been getting a letter inviting me to draw down a pre-approved loan up to the value to €15,000, every month (for at least the last year) from MBNA.  My missus also gets one (almost simultaneously each month) from GE Woodchester for a pre-approved loan up to the value of €10,000.  They haven't stopped coming this month.

I get similar from two other Irish financial institutions

In your case billy, they prob know you will need a top up load to pay for all the 'celebrating' the '50 years of hurt'

[orangeman]

What is the interbank rate now ??

[Mentalman]

They were discussing the credit crunch with Nick Lesson of all people on Pat Kenny this morning. His adivce was an immediate drop of interest rates, as close to zero as possible. His reasoning was that they needed to get money flowing between the institutions as fast as possible even at the risk of inflation. To discourage reckless lending he reckoned the bank regulation on lending criteria would need to be monitored extremely closely. So basically it's a desperation measure, nothing else has worked so let's try this as a concerted unified measure. I'd say there will be another few cuts before the market is satisfied.

[Donagh]

ISEQ down almost 6% now and the FTSE by almost 5%. Anyone got another trick they'd like to try?

[the Deel Rover]

ISEQ down almost 6% now and the FTSE by almost 5%. Anyone got another trick they'd like to try?

get on to Laois Lad to give Debbie a ring i'm sure she has a few up sleeve at this stage anything is worth a try

[pintsofguinness]

ISEQ down almost 6% now and the FTSE by almost 5%. Anyone got another trick they'd like to try?

I say write off all debts, mortgages, credit card etc and start again.

[Zapatista]

Anyone got another trick they'd like to try?

Irish people in their millions traipsen back to mass.

[lfdown2]

folks, perhaps slightly of topic but could any of ye explain to me the easiest way to buy shares in a company?
And any useful websites

Cheers