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Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

didn't realise it had dropped so much donagh. 100 sterling would cost me 136 yo yo to buy which would be 107 in old money hasn't been that good in years.

Just sold the house so im looking to move the profit back up, so its a good time for me

Back to columbia donagh on a fact finding mission?

Farc off Bensars!  No call for that now.

Quote from: Bensars on January 10, 2008, 06:20:17 PM
Back to columbia donagh on a fact finding mission?

Not this time Bensars. Think I have enough souvenirs from La Modelo:

(http://www.donagh.f2s.com/Images/Image01.jpg)

I wonder if this was one of the seven rules that Gordon Brown was waiting on?

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

Quote from: Star Spangler on January 10, 2008, 08:07:49 PM

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

Spot on

Quote from: Tony hawks on January 10, 2008, 11:09:09 PM

Quote from: Star Spangler on January 10, 2008, 08:07:49 PM

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

Spot on

What is this northern Ireland you speak off?


I am fecked, Bush has the dollar clean wrecked and for all four of us to come home would cost ten grand by the time you figure in flights and spending money. It is time the Brits dropped lizzeys ugly mug from their money and fully embraced the European Union. As for the tiger, tough times ahead but I doubt it will ever be as bad in the south as it once was.

Donagh, hope you are taking in Argentina and Bolivia, as not only are they fantastic value for money, but the most incredible countries for scenery, and beautiful people.
Push the boat out and go to Rapu Nui (Easter Island). Mind blowing place Donagh, and I know you will love it.
Your money will go a long way there, and stay in Chile as short as time as possible as it is expensive.
Eat as much steak as you can in Argentina as it is the best I have ever eaten, and not to forget their Malbec wine as it is simply divine..................

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

Where is the free state you speak off ? Surely a debt from 60 + years ago would of expired by now

This works out good for me. Steady as she goes I say.

Quote from: stew on January 11, 2008, 02:55:55 AM

Quote from: Tony hawks on January 10, 2008, 11:09:09 PM

Quote from: Star Spangler on January 10, 2008, 08:07:49 PM

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

Spot on

What is this northern Ireland you speak off?


I am fecked, Bush has the dollar clean wrecked and for all four of us to come home would cost ten grand by the time you figure in flights and spending money. It is time the Brits dropped lizzeys ugly mug from their money and fully embraced the European Union. As for the tiger, tough times ahead but I doubt it will ever be as bad in the south as it once was.

They don't have to drop lizzys face from the coinage to join the euro

Quote from: Star Spangler on January 10, 2008, 08:07:49 PM

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

It's hardly all good news for people north of the border!  Fair enough it will help exports, but what about ordinary folk for whom the price of travelling abroad or even down south will be shocking expensive, not to mention probable inflation at home due to the increased price of imports.

Quote from: Rav67 on January 11, 2008, 03:52:49 PM

It's hardly all good news for people north of the border!  Fair enough it will help exports, but what about ordinary folk for whom the price of travelling abroad or even down south will be shocking expensive, not to mention probable inflation at home due to the increased price of imports.

Agreed - a recent ski trip to Chamonix cost me a lot more than I'd bargained for!

Exactly Rav. I'm estimating at the moment that between these bills and the holiday I'm going to have to stump up an extra two grand on what I would have been paying three or four months ago. Never mind the work I'm already committed to in the south over the next few months and NFL/Championship matches.

on the plus side a good time for us boyo's in the south to buy a car up North

Quote from: Rois on January 11, 2008, 03:56:17 PM

Quote from: Rav67 on January 11, 2008, 03:52:49 PM

It's hardly all good news for people north of the border!  Fair enough it will help exports, but what about ordinary folk for whom the price of travelling abroad or even down south will be shocking expensive, not to mention probable inflation at home due to the increased price of imports.

Agreed - a recent ski trip to Chamonix cost me a lot more than I'd bargained for!

FFS!  A few fellas missing their skiing trip is hardly going to have a huge impact on NI's economy!!  People losing jobs because their employers are no longer competitive is a different matter entirely!

Quote from: Star Spangler on January 11, 2008, 05:22:39 PM

Quote from: Rois on January 11, 2008, 03:56:17 PM

Quote from: Rav67 on January 11, 2008, 03:52:49 PM

It's hardly all good news for people north of the border!  Fair enough it will help exports, but what about ordinary folk for whom the price of travelling abroad or even down south will be shocking expensive, not to mention probable inflation at home due to the increased price of imports.

Agreed - a recent ski trip to Chamonix cost me a lot more than I'd bargained for!

FFS!  A few fellas missing their skiing trip is hardly going to have a huge impact on NI's economy!!  People losing jobs because their employers are no longer competitive is a different matter entirely!

Sure we could just get the reduntant factory workers jobs with Thomas Cook to help with the new backlog of ski holiday bookings!  :D

Its good for boyos who head south every day for work.  Its like getting a few extra % in your pay packet.  I'd love to see €1 = £1.  Any of you economic wizards care to predict if this recent increase is just a blip or can we expect more equalisation between the two currencies?

Quote from: amallon on January 11, 2008, 06:52:29 PM
Its good for boyos who head south every day for work.  Its like getting a few extra % in your pay packet.  I'd love to see €1 = £1.  Any of you economic wizards care to predict if this recent increase is just a blip or can we expect more equalisation between the two currencies?

I'm not sure what you mean by equalisation. Currency equalisation is only when the same amount of money can buy the same thing in the relative economies.  If €1 = £1 that would be far from equal currencies.  In that scenario, the euro would be almost twice as strong as sterling - certainly not equal.

Quote from: Rav67 on January 11, 2008, 03:52:49 PM

Quote from: Star Spangler on January 10, 2008, 08:07:49 PM

Quote from: Donagh on January 10, 2008, 05:08:29 PM
Not that it's been mentioned on any of the news services yet but the great British pound has fallen to 75p to the Euro recently. Normally I would glory in HRM taking a kicking in any sphere except that I'm in the process of booking flights around Central and South America for this summers sojourn with her good self and the carriers I'm using, Air France and Iberia, are pricing their fares in Euro. Have also a number of very substantial Free State invoices to settle soon. So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

It's all about interest rates at the minute.  The Bank of England's decision to leave interest rates where they are has been the main factor in pushing down the value of English money.  It's not likely to come back significantly against the Euro in the short-term.  The strengthening euro is just another nail in the coffin of the Celtic Tiger and will hit our exports signficantly.  Obviously it's good news for the UK economy, and particularly good for Northern ireland.

It's hardly all good news for people north of the border!  Fair enough it will help exports, but what about ordinary folk for whom the price of travelling abroad or even down south will be shocking expensive, not to mention probable inflation at home due to the increased price of imports.

But the Brits will take a kicking too, so its worth it. ::)

Quote from: Donagh on January 10, 2008, 05:08:29 PM
So should I hold out as long as I can and wait on the Euro dipping again, or has sterling finally given up the ghost?

Sterling is (still) seriously overvalued in respect of the Euro, and has a long way to fall yet until it reaches anything like an exchange equilibrium in the money markets*. So, you could be waiting a long time Donagh, I'd say.

* Respective interest rate fluctuations notwithstanding.

Settle those bills ASAP, Donagh. The only direction the euro is heading at the moment is up. I've still got a loan outstanding in the UK and the recent rise of the euro has shaved several percentage points off the repayments, which is great news. As for the economic impact, it's swings and roundabouts. Those who export to the UK are in big trouble but people who consume imports from the UK are going to save a mint which will push down inflation. The rise of the euro is certainly not the end of the Celtic Tiger - it went long before this.

Living in fermanagh i have long been use to making good saving on Diesel by heading 10 miles to either Blacklion or Swad or Ballyconnell (although they are a good 4 or 5 cent a litre dearer than in other parts of the South) 
What will happen to the border diesel stations who get most of their trade from the north if the Euro continues to rise?? 

Quote from: FermGael on January 12, 2008, 05:44:14 PM
Living in fermanagh i have long been use to making good saving on Diesel by heading 10 miles to either Blacklion or Swad or Ballyconnell (although they are a good 4 or 5 cent a litre dearer than in other parts of the South) 
What will happen to the border diesel stations who get most of their trade from the north if the Euro continues to rise?? 

I remember back in the 70's all the petrol stations in the southern border towns were closed because petrol was so much cheaper in the North, now the cars are going in the opposite direction. If sterling continues to weaken you might see new petrol stations opening on the Nortern side again, every dog has his day I suppose.

I wouldn't worry too much about the owners of filling stations in Muff, Omeath etc. A substantial part of the price of fuel is based on the price of oil, this will obviously adjust to come down in Euros and go up in Sterling. 

Quote from: armaghniac on January 12, 2008, 06:20:20 PM
I wouldn't worry too much about the owners of filling stations in Muff, Omeath etc. A substantial part of the price of fuel is based on the price of oil, this will obviously adjust to come down in Euros and go up in Sterling. 

Sterling would want to weaken against the dollar for this to happen.

QuoteSterling would want to weaken against the dollar for this to happen.

Whether or not sterling actually weakens against the dollar, fuel will become cheaper in the south relative to the North if  exchange rates change to reduce the value of sterling against the Euro. As there is also a duty element, and other costs this will not fully cancel out the effect of the exchange rate changes to the customer, but will reduce their effect.

Those stations up in Muff/Dundalk etc are a joke - they charge about 10c a litre more than stations further south, I heard one of the owners trying to justify it by saying that they provide pump attendants and thus people are generally happy to pay that bit extra per litre!!  What she failed to state was that she supplies attendants because it helps throughput for the station.
Also, oil is priced in $, which as we know has been rocketing through the floor - the petrol companies tend to ignore the fact that the price of oil in € has doubled since 2001, whereas the price of oil in $ has quadrupled.

Thanks for the feedback lads. Am not much of a gambler, so I'll be settling up as soon as.

Several months later the €uro is 84.42p

i can see the day were it will be close to 1 euro to 1 pound in the not too distant future.

it is 86p on markets now, after the €uro and London markets have closed.

Any one now what the current market predictions are in the short term?? Will the euro continue to strengthen?

This is IR£=GBP1.095 which is about where is was in the great crisis of 1992. Except Ireland cannot devalue this time!
The traffic in Newry will be fierce.

1.27 EUR = 1.09082 GBP

Today the €uro is £0.87755, or £1 - €1.13954.
Had we still a Punt it would be 11.5p over Sterling.
I predict some traffic in Newry in the next week or two.

Have you not seen it recently? Ridiculous.  Theres hardly much point in changing sterling into yo yos anymore bloody joke.

What's the chances of the brits joining the euro any time soon now that the ass has fell out of their wonderful soverign currency?

Quote from: comethekingdom on December 10, 2008, 10:36:59 PM
What's the chances of the brits joining the euro any time soon now that the ass has fell out of their wonderful soverign currency?

It ain't finished yet!

sure isn't it great for us cross border workers!
every week's a pay rise!

I'm sure things will get worse before they get better, as i seems sterling is onto a major hiding in the sort term with the uk economy the way it is.
But it'll balance out again within 12-18 months.

I work at the south but im home at the weekend quite a bit, i think its great. Things were always cheaper in the north now even more so. For example i bought a pair of jeans in topman dublin yesterday, the price on the label of the jeans €55 or £35, £35 at todays rates is €39.70, how can shops like this justify jeans in the south being over €15 dearer, and the irish government want people to be patriotic, if thats the saving on one pair of jeans what are people with young familys not going to save?

Ive only recently moved to Dublin and it really annoys me how everything is so much more expensive than the north, from groceries to electronics to healtcare to clothes. Sorry for that rant, had to get it off my chest!

1000 sterling today would cost me €1185  or 933 in old punts has it ever been that bad ? 

I read in the Times today that to change money in London Pancreas Station yesterday, you got € 1.03 to the £.

Quote from: orangeman on December 11, 2008, 10:38:18 AM
I read in the Times today that to change money in London Pancreas Station yesterday, you got € 1.03 to the £.

off topic i know but that train station is more like a huge shopping cente tis a fine building

Pound in another record euro low 
 


See live pound v. euro rate
The British pound has continued its sharp decline against the eurozone currency reaching a new record low of 1.1314 euros on Thursday.

It is the lowest level since the euro was launched in 1999.

Sterling was pushed lower after figures from the Confederation of British Industry confirmed a sharp downward trend in manufacturing.

Meanwhile, the pound gained one cent against the US dollar, edging at $1.4924 in mid-afternoon trading.

The UK currency is expected to remain under broad selling pressure amid a grim outlook for the British economy.

Interest rates have been cut both in the UK and in the eurozone, but they remain higher in the 15-member euro currency area.

The Bank of England has made two sharp cuts in rates, bringing them down to 2%, and many analysts expect more in the pipeline.

Lower interest rates make it less attractive for foreigners to hold pounds.

A weaker pound is better for the UK exporters but is bad news for British holidaymakers who plan to go abroad during the Christmas season, and also makes imported goods more expensive.

Some currency dealers are expecting that the pound will approach parity with the euro by the end of the year

The pound has touched an all-time low against the euro - meaning that the eurozone currency is now worth just under 88 pence.

Euro notes and coins were physically introduced in 2002, although the currencies of the initial 11 member countries were first joined in 1999 when their value was fixed in euro terms.

There are now 15 eurozone countries, with a total of 320 million inhabitants.

But why is the currency so strong now and what does it mean?



--------------------------------------------------------------------------------

Why is the pound struggling?

Investors have been losing faith in the UK economy which now seems to be moving rapidly towards recession.

The trouble in the credit markets seems to have hit the UK harder than other countries, especially as the financial sector accounts for a bigger part of the UK economy.

And with consumers having borrowed heavily in the good times, and the government now facing a huge budget deficit, currency traders were in no doubt that the UK economy was in trouble and the time to start selling sterling had arrived.

Another reason is that the Bank of England has cut interest rates in the UK from 5% to 2% in the space of just three months.

Rate cuts generally encourage investors to switch to other currencies which have a higher rate of return.

Why is the euro doing so well?

Given the weakness of the pound, there has been a flow of money into the euro.

The euro is an increasingly attractive currency for investors compared with its rivals - not only the pound, but also the US dollar.

And the European economy, while showing undeniable signs of being gripped by slowdown, is less burdened by debt than the United States or the UK.

The lower size of government deficits, the lower expectations for inflation, and the higher interest rates paid by the European Central Bank have also made holding the euro more attractive.

What will the impact be people taking holidays in Europe?

Well, your pound will not buy as many euros, making things more expensive for you.

And this week, some outlets were only offering 110 euros for every £100 you wanted to exchange.

However as regular travellers between the UK and the continent will attest, the euro has been edging higher for some time.

But the price of a baguette at the boulangerie, an espresso on a Milan pavement cafe or a beer in a Spanish bar may come as a shock for anyone who has not been to Europe for a while.

While a euro is worth about 88p now, it was worth 71p at its physical launch in 2002 (and 57p on foreign currency markets during its all-time low in 2000).

But how about the broader economy? What will the impact be?

Overall, a strong euro is good for the UK economy.

It makes imports from the eurozone more expensive, while UK exports become cheaper to those paying for them in euros.

This is clearly a boost to the UK manufacturing sector in these difficult times.

The eurozone accounts for about 60% of UK exports.

However, if the pound was to fall too sharply, it could lead to imported inflation, as the price of goods from abroad would rise.

Can we expect parity between the euro and the pound soon?

Some currency analysts are speculating that by the end of this year or early next year, we may be headed for parity, where one pound buys just one euro.

However, with the downturn set to grip continental Europe, others expect the euro will weaken.

One key factor is whether the Bank of England continues to cut interest rates more quickly than the European Central Bank.

Does the strength of the euro bolster the case for the UK to join the currency?

This argument is shrouded in politics and patriotism, as well as economics.

One drawback is that the European Central Bank's interest rate applies equally across all 15 eurozone countries, whether their economic growth levels are sluggish or breakneck.

But the euro has many things in its favour, especially when it is at such highs, by helping to keep inflation under control.

And while the dollar is gaining strength right now, even the former head of the US Federal Reserve, Alan Greenspan, has said that it is conceivable that it will one day "replace the dollar as reserve currency or will be traded as an equally important reserve currency".

There is also a strong argument that joining the euro would help lure more foreign investment.

And while many eurozone residents also expressed opposition to the euro when it was introduced, it is proving popular with citizens as well as business, especially those involved in cross-border trade

€1 = £0.8927 anois
IR£1 = £1.1335

(http://www.ecb.int/stats/exchange/eurofxref/shared/img/GBP.png)

Looks like the Yanks have hit the panic button by cutting interest rates to 0% and the big investors pulling out and putting it into the Euro for better returns with the result that the dollar will fall and Euro climbing. Good for those planning trips to the US but bad news for the exiles and US companies based in here as the cost base expands and the south becomes even less competitive. I'd also think that this will add to the deflationary pressures as the price of oil drops even futher and so the Brits will keep interest rates low to and let sterling go further against the Euro. It's hard to see what the southern government can do since the setting of monetary policy is no longer within their gift.

Quote from: Donagh on December 17, 2008, 09:15:21 AM
Looks like the Yanks have hit the panic button by cutting interest rates to 0% and the big investors pulling out and putting it into the Euro for better returns with the result that the dollar will fall and Euro climbing. Good for those planning trips to the US but bad news for the exiles and US companies based in here as the cost base expands and the south becomes even less competitive. I'd also think that this will add to the deflationary pressures as the price of oil drops even futher and so the Brits will keep interest rates low to and let sterling go further against the Euro. It's hard to see what the southern government can do since the setting of monetary policy is no longer within their gift.

It's just bad news all round - it's a bit like getting on a new roller coaster for thr first time - there's so many unexpected twists and turns and you just don't know where you're going to end up.

92p at the minute !  :-[ :(

Bad news for anyone working for a company with a high percentage of it sales going into the UK. Good news for southerners heading north to shop.

Quote from: orangeman on December 17, 2008, 10:41:58 AM
92p at the minute !  :-[ :(

glorious stuff. The higher the better.
Only downside is the cheap crossborder petrol must be no more now.

Quote from: bailestil on December 17, 2008, 10:58:59 AM
glorious stuff. The higher the better.
Only downside is the cheap crossborder petrol must be no more now.

Not so glorious if it puts you out of a job.

We need stability and there for a currency to lose 20% of its value on a few months is not good news.

Ok, the weak pound might help in the short ter, in the longer term it can't be good news.

There has to be a balance that allows both sides to derive a benefit.

There's only so much shopping the southerners can do in the North and only so much benefit this can do to the Newry economy.


But what about the poor retailers in the border counties and beyond ?? They're f--ed !

QuoteOnly downside is the cheap crossborder petrol must be no more now.

the petrol will even up to some extent as it is partly based on the oil price in dollars.

Changes of this magnitude will wreck a lot of people's jobs. For example the motor trade in the south is in tatters as you can now import a used car from the UK for much less. Consequently you cannot sell a used car in the 26 counties, and so car dealers don't want trade ins, which doesn't help what is left of the new car market either.

The only good long term outcome of this would be if the UK joined the Euro.

Quote from: armaghniac on December 17, 2008, 11:11:26 AM

QuoteOnly downside is the cheap crossborder petrol must be no more now.

the petrol will even up to some extent as it is partly based on the oil price in dollars.

Changes of this magnitude will wreck a lot of people's jobs. For example the motor trade in the south is in tatters as you can now import a used car from the UK for much less. Consequently you cannot sell a used car in the 26 counties, and so car dealers don't want trade ins, which doesn't help what is left of the new car market either.

The only good long term outcome of this would be if the UK joined the Euro.

What are the chances of that happening in all honesty ??

Zilch, in the short term.

Quote from: delboy on December 17, 2008, 11:59:40 AM
Zilch, in the short term.

That's what I thought - the Brits rejected it along time ago and I think it can only be brought in by way of a Referendum and I'd say a referendum is the last thing on Brown's mind at the minute.

Quote from: orangeman on December 17, 2008, 11:09:11 AM
We need stability and there for a currency to lose 20% of its value on a few months is not good news.

Ok, the weak pound might help in the short ter, in the longer term it can't be good news.

There has to be a balance that allows both sides to derive a benefit.

There's only so much shopping the southerners can do in the North and only so much benefit this can do to the Newry economy.


But what about the poor retailers in the border counties and beyond ?? They're f--ed !

Is the national debt of the UK in sterling? If it is then this devaluation would be a 20 % drop in the national debt surely??

Quote from: delboy on December 17, 2008, 12:03:16 PM

Quote from: orangeman on December 17, 2008, 11:09:11 AM
We need stability and there for a currency to lose 20% of its value on a few months is not good news.

Ok, the weak pound might help in the short ter, in the longer term it can't be good news.

There has to be a balance that allows both sides to derive a benefit.

There's only so much shopping the southerners can do in the North and only so much benefit this can do to the Newry economy.


But what about the poor retailers in the border counties and beyond ?? They're f--ed !

Is the national debt of the UK in sterling? If it is then this devaluation would be a 20 % drop in the national debt surely??

Depend where they borrowed from doesn't it ?

Bank considered bigger rate cut 

The Bank has trimmed rates from 5% to 2% in just three months
The Bank of England's rate-setting body voted 9-0 to cut rates to 2% this month and considered a bigger move, minutes from its meeting have shown.

The Monetary Policy Committee (MPC) agreed that a cut in the Bank rate from 3% to 2% was the minimum needed.

However, it avoided a deeper cut on concerns it could hit the pound and undermine confidence in the economy.

Analysts said the minutes indicated that UK interest rates would fall further in the months ahead.

The pound fell to another record low against the euro, with one pound worth 1.0984 euros, following the release of the minutes as expectations grew of further hefty rate cuts.

The weak state of the UK economy was also emphasised by the release of new unemployment data, which showed the highest jobless total for more than a decade.

Balancing act

The minutes showed that the MPC considered that a cut in the Bank rate to below 2% might be justified given the problems facing the economy.

  The Monetary Policy Committee could soon be following the US Fed in cutting interest rates very close to zero

Jonathan Loynes, Capital Economics

However, the committee noted that financial markets were expecting a one percentage point cut, and "there was a risk that going further could cause an excessive fall in the exchange rate".

"There was also a risk that an unexpectedly large cut could undermine confidence in the economy more widely."

The MPC welcomed the temporary VAT cut that was introduced by Chancellor Alistair Darling in pre-Budget report.

"The timing of discretionary spending changes announced in the pre-Budget report and the cut in VAT were likely to be helpful in offsetting the downside risks to output growth in 2009," it said.

The committee also noted the importance of getting bank lending levels to recover.

However, it agreed that cutting the Bank rate was "not the right policy instrument to tackle supply constraints in the credit market".

"Further measures to underpin lending growth would be needed, building on the government's package announced in October to recapitalise and guarantee funding to the banks," the minutes said.

Inflation slowing

Nearly all analysts are now expecting further sharp cuts in UK interest rates in the new year.

"It's abundantly clear the MPC feels the stance of policy is still out of kilter with economic prospects," said Philip Shaw at Investec.

"We certainly think that another 50 basis point cut is due at the next meeting and our central case for interest rates remains they will dip below 1% in Q2."

Jonathan Loynes, chief European economist at Capital Economics, said: "December's MPC minutes and the latest labour market data support the view that the Monetary Policy Committee could soon be following the US Fed in cutting interest rates very close to zero."

On Tuesday, the latest inflation figures showed that the CPI rate dropped to 4.1% in November.

Although this was still well above the 2% target rate, the Bank of England governor, Mervyn King, said in a letter to the chancellor that inflation was set to fall "materially" below the target rate in the second half of 2009.

rate at present €1 = 0.92689
this would mean that IR£ = £1.176!!

Tyrone people are going to find the All Ireland expensive this year!

Quote from: armaghniac on December 17, 2008, 03:05:55 PM
rate at present €1 = 0.92689
this would mean that IR£ = £1.176!!

Tyrone people are going to find the All Ireland expensive this year!

Parity is just round the corner - they'll be giving £1.50 to the euro in Newry shortly !  ;)

Quote from: armaghniac on December 17, 2008, 11:11:26 AM

QuoteOnly downside is the cheap crossborder petrol must be no more now.

the petrol will even up to some extent as it is partly based on the oil price in dollars.

Changes of this magnitude will wreck a lot of people's jobs. For example the motor trade in the south is in tatters as you can now import a used car from the UK for much less. Consequently you cannot sell a used car in the 26 counties, and so car dealers don't want trade ins, which doesn't help what is left of the new car market either.

The only good long term outcome of this would be if the UK joined the Euro.

Wont happen unless:

a) Britain stops producing oil.

or

b) The US$ fails.

Did anyone see the 6 o'clock news on RTE last night?

http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230 (http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230)

The ASDA store in Enniskillen store is the second highest performing store in the UK and the sixth top performing store in Asda-owner Wal-Mart's global empire.

I was down at home over the weekend and the traffic in the town with southern shoppers was shocking. Most shops are now so busy that many locals won't go near them.

Quote from: FermPundit on December 17, 2008, 06:47:50 PM
Did anyone see the 6 o'clock news on RTE last night?

http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230 (http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230)

The ASDA store in Enniskillen store is the second highest performing store in the UK and the sixth top performing store in Asda-owner Wal-Mart's global empire.

I was down at home over the weekend and the traffic in the town with southern shoppers was shocking. Most shops are now so busy that many locals won't go near them.

Surely this performance must be based on a population ratio - or expected sales?

Id find it hard to believe that that store would have the highest turnover of all the WalMart empire?

Quote from: Puckoon on December 17, 2008, 06:49:52 PM

Quote from: FermPundit on December 17, 2008, 06:47:50 PM
Did anyone see the 6 o'clock news on RTE last night?

http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230 (http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230)

The ASDA store in Enniskillen store is the second highest performing store in the UK and the sixth top performing store in Asda-owner Wal-Mart's global empire.

I was down at home over the weekend and the traffic in the town with southern shoppers was shocking. Most shops are now so busy that many locals won't go near them.

Surely this performance must be based on a population ratio - or expected sales?

Id find it hard to believe that that store would have the highest turnover of all the WalMart empire?

It probably is based on population ratio but nevertheless its an interesting statistic.

It is probably based on % margin, no need to price goods too competitively when the currency is doing your work for you. The net effect of this is that Fermanagh people will not get any bargains.

Currency trading has finished for the day and the Euro is up a massive 3% on Sterling in just one day.  Great pay rise for any workers in the South living in the North, but apart from the retailers south of the border the real losers are those with Holiday homes in the South, many of them with homes in Donegal.

If interest rates were the same now as they were back in Jan 08, mortgage payments from sterling to euro would be approx 32% more expensive - thank God interest rates have come down in euro land to offset this large currency drop.

Quote from: Puckoon on December 17, 2008, 06:49:52 PM

Quote from: FermPundit on December 17, 2008, 06:47:50 PM
Did anyone see the 6 o'clock news on RTE last night?

http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230 (http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230)

The ASDA store in Enniskillen store is the second highest performing store in the UK and the sixth top performing store in Asda-owner Wal-Mart's global empire.

I was down at home over the weekend and the traffic in the town with southern shoppers was shocking. Most shops are now so busy that many locals won't go near them.

Surely this performance must be based on a population ratio - or expected sales?

Id find it hard to believe that that store would have the highest turnover of all the WalMart empire?

The Asda in Strabane is the jewel in their crown. Number one store. last week they were on target to take £2million in the one week and set a new record.

Quote from: Bensars on December 17, 2008, 11:25:45 PM

Quote from: Puckoon on December 17, 2008, 06:49:52 PM

Quote from: FermPundit on December 17, 2008, 06:47:50 PM
Did anyone see the 6 o'clock news on RTE last night?

http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230 (http://www.rte.ie/news/2008/1216/1news_av.html?2463839,null,230)

The ASDA store in Enniskillen store is the second highest performing store in the UK and the sixth top performing store in Asda-owner Wal-Mart's global empire.

I was down at home over the weekend and the traffic in the town with southern shoppers was shocking. Most shops are now so busy that many locals won't go near them.

Surely this performance must be based on a population ratio - or expected sales?

Id find it hard to believe that that store would have the highest turnover of all the WalMart empire?

The Asda in Strabane is the jewel in their crown. Number one store. last week they were on target to take £2million in the one week and set a new record.

My God ! £2m a week £300k a day approx - amazing !

it is not getting any better for Tyrone supporters, Fionntamhnach. I reckon you should throw the Armagh game and hope to draw a  team in the qualifiers that yuou can respectably loose to, so as to cut the expense.

currently €1 = £0.94350, your £ only buys IR£0.835 now.

in economic terms, thus is getting beyond a joke though. Such a rapid change brings all manners of economic dislocations. 

Quote from: armaghniac on December 18, 2008, 11:04:24 AM
it is not getting any better for Tyrone supporters, Fionntamhnach. I reckon you should throw the Armagh game and hope to draw a  team in the qualifiers that yuou can respectably loose to, so as to cut the expense.

currently €1 = £0.94350, your £ only buys IR£0.835 now.

in economic terms, thus is getting beyond a joke though. Such a rapid change brings all manners of economic dislocations. 

It's 95p now and rising - mulitiple fractures more like.

was looking at at car up north in september at the time 10k sterling was going to cost me €12930  today i would get it for €11000 that some difference in 3 months think i'll wait another few months before buying

Quote from: redhandluke on December 17, 2008, 11:14:08 PM
Currency trading has finished for the day and the Euro is up a massive 3% on Sterling in just one day. 

Currency trading is 24x7 it doesn't stop for the day?

Quotewas looking at at car up north in september at the time 10k sterling was going to cost me €12930  today i would get it for €11000 that some difference in 3 months think i'll wait another few months before buying

Exactly. So all trade in values etc of cars in the South have now dropped by €1500. If you were a dealer and took in a car in September and haven't sold it then you are not going to have a good Christmas.

Quote from: heganboy on December 18, 2008, 11:41:07 AM

Quote from: redhandluke on December 17, 2008, 11:14:08 PM
Currency trading has finished for the day and the Euro is up a massive 3% on Sterling in just one day. 

Currency trading is 24x7 it doesn't stop for the day?

More like 24x5 - no currency trading at the weekend - though I take your point.  New currency trading day starts at 2300hrs according to the BBC currency pages.

Now well clear of the 95p mark €1 = £0.95225.
That's up a penny in an hour or so.

It is pity the economy in the South has turned bad, otherwise they could just have bought the 6 counties.

It's well and truly bolloxed now :

Euro jumps close to 98p sterling
Monday, 29 December 2008 17:19
The euro has again been hitting new record high points against sterling, touching 97.99p against the British currency this afternoon. Later in the evening, it fell to just below 97.5p.

Sterling has fallen over the past month on expectations that the Bank of England will cut interest rates after gloomy economic data from Britain. Lower interest rates make a country's currency less attractive to investors.

Sterling has lost around a third of its value against the euro and the dollar over the last year. Two weeks ago the pound crashed through the 90p level against the euro for the first time since the single European currency was launched in 1999.

AdvertisementThe latest sterling drops came as a new report showed that as many as 600,000 people could lose their jobs in Britain next year, making 2009 the worst year for unemployment since 1991.

The Chartered Institute of Personnel and Development (CIPD) said a widely-expected recession would bite hard in Britain next year and could push unemployment close to the three million mark before the economy begins to recover.

Quote from: redhandluke on December 18, 2008, 12:20:03 PM

Quote from: heganboy on December 18, 2008, 11:41:07 AM

Quote from: redhandluke on December 17, 2008, 11:14:08 PM
Currency trading has finished for the day and the Euro is up a massive 3% on Sterling in just one day. 

Currency trading is 24x7 it doesn't stop for the day?

More like 24x5 - no currency trading at the weekend - though I take your point.  New currency trading day starts at 2300hrs according to the BBC currency pages.

not quite- trading is 24x7, unlike stock market, trading does not require a exchange, just a broker, so when the broker is available trading is possible, and all of the big funds have a broker available 24x7

Parity approaching for the euro against GBP?

US dollar rising to 1.44 territory

It's already 1:1 in some shops around Armagh. I must nip up to the border and price diesel against the 97.9 I saw today in Armagh and I'm sure I could get it cheaper.

Quote from: Tony Baloney on December 29, 2008, 09:08:48 PM
It's already 1:1 in some shops around Armagh. I must nip up to the border and price diesel against the 97.9 I saw today in Armagh and I'm sure I could get it cheaper.

They'll soon be giving €1.50 to the £.

Its going to make it wild expensive for Tyrone fans to go to Clones & Dublin next year to defend their AI title. Imagine £60stg for an AI ticket and £5 stg for a pint in O Connell st.! They'd need to get the unionists on board to push for monetary union with the rest of Ireland!

Quote from: hardstation on December 29, 2008, 10:18:32 PM
Scrap the euro and sterling. Yellow man should be the new currency.

Donkey's crackers would be easier and cheaper to produce !  ;)

Quote from: comethekingdom on December 29, 2008, 10:15:44 PM
Its going to make it wild expensive for Tyrone fans to go to Clones & Dublin next year to defend their AI title. Imagine £60stg for an AI ticket and £5 stg for a pint in O Connell st.! They'd need to get the unionists on board to push for monetary union with the rest of Ireland!

Not necessarily, depends on what currency you earn  ;) Any reason to get the unionists on board though, and not just for monetary union.

It's good news for the Med resorts, however, in that there'll be a marked decline in the brigades of butcher's apron festooned goons at the poolsides and on beaches, and I'm not talking about the six-county GAA folk.

QuoteIt's good news for the Med resorts, however, in that there'll be a marked decline in the brigades of butcher's apron festooned goons at the poolsides and on beaches, and I'm not talking about the six-county GAA folk.

Yes, good news for the Med resorts in that the economy of those regions, which is almost 100% dependent on tourism, will completely and utterly collapse.

In fairness, a lot of Spanish could do with the kick up the arse. It couldn't be pleasant dealing with the English louts for 4 months a year, but instead of feeding the problem then complaining about it, maybe they'll improve their product.

Quote from: Fionntamhnach on December 30, 2008, 02:44:52 PM
Heard word from back home that the ASDA supermarket in Enniskillen had to close for three hours a few days ago because of a fight that broke out between shoppers from opposite sides of the border?

Walmart's sixth best performing store worldwide!!!!

Euro weakens on rate cut evidence 

Many analysts have predicted that the euro will reach parity with the pound
The euro has slipped against the pound and the dollar as expectations rise that the European Central Bank will cut interest rates again on 15 January.

Eurozone inflation figures showed a bigger-than-expected drop while the purchasing managers' index showed a contraction in the service sector.

The pound is trading at 1.09530 euros while the dollar is at 0.74765 euros.

The ECB has cut rates from 4.25% to 2.5% since October, as inflation has dropped from its July peak of 4%.

Cutting interest rates can hurt a currency because investors buy other currencies to seek better returns.

The situation with the euro is less clear, however, because UK interest rates are also expected to be cut next week and US rates are effectively zero.

Instead, currency strength is reflecting the perceived relative strength of economies and in recent months the eurozone economy has been seen as less vulnerable to the downturn than those of the UK or US.

beig lazy here and cant be bothered sussin it out for my self.... so heres a question for any of you financial men. Im headin to San Fran in August  am i better to hold out til nearer the time to change my sterling??? Or is the exchange ralte set to continue fallin?

the tides are changing:
http://news.bbc.co.uk/2/hi/business/7813435.stm

1.00 EUR = 0.899844 GBP

Quote from: toiletroller on January 06, 2009, 12:16:08 PM
beig lazy here and cant be bothered sussin it out for my self.... so heres a question for any of you financial men. Im headin to San Fran in August  am i better to hold out til nearer the time to change my sterling??? Or is the exchange ralte set to continue fallin?

There are those that think the dollar will fall in the second half of 2009 but that might be a bit late for you.

The euro's in descent at the minute because an interest rate cut from the ECB is imminent (15th Jan), and it's expected to be hefty because inflation in the Eurozone has plummeted (that's the primary driver of the euro's current woes), but... the Bank of England will be cutting rates tomorrow, and that's likely to be at least a half of one percent (to 1.5%), so the forex oscillations haven't finished quite yet.

Edit: €1.00 = £0.90215

Thar she blows... euro on the ascent again on the back of the very low figures for Britzone inflation.

€1.00 = £0.93115

Up 2.56%

£ 1 = $1.38 - how low can you go ?

Lower it seems !
Pound slides further as banks hit 
 


See banking shares
Pound vs dollar
Sterling's slide has continued, with the pound falling close to $1.37, as concerns about the UK economy and the banking sector intensified.

Sterling fell as low as $1.3715, its weakest level against the dollar since mid-2001.

The pound also weakened against the euro, with the single currency now worth 94 pence.

Banking shares took a further hit on Wednesday, with Barclays sliding more than 20% to a 24-year low.

Shares in Lloyds Banking Group, which now includes HBOS, were 17% lower at 37p.

The declines followed sharp falls in finance-related stocks in the US, amid renewed concern about the health of the global banking system.

Royal Bank of Scotland, however, was up 5% at 10.8 pence

Quote from: orangeman on January 21, 2009, 10:42:37 AM
Lower it seems !
Pound slides further as banks hit 
 


See banking shares
Pound vs dollar
Sterling's slide has continued, with the pound falling close to $1.37, as concerns about the UK economy and the banking sector intensified.

Sterling fell as low as $1.3715, its weakest level against the dollar since mid-2001.

The pound also weakened against the euro, with the single currency now worth 94 pence.

Banking shares took a further hit on Wednesday, with Barclays sliding more than 20% to a 24-year low.

Shares in Lloyds Banking Group, which now includes HBOS, were 17% lower at 37p.

The declines followed sharp falls in finance-related stocks in the US, amid renewed concern about the health of the global banking system.

Royal Bank of Scotland, however, was up 5% at 10.8 pence 

:D :D thats hilarious! to end on a bright note however, RBS shares are up 5 percent to, hmmmm, still fcuk all!!

I just got back from NY on the weekend and my per diem did not go as far as it did a year ago!
The price of a lot of stuff in the states has really gone up in dollar terms, food was noticeably dearer i thought.

Quote from: nifan on January 21, 2009, 11:01:01 AM
I just got back from NY on the weekend and my per diem did not go as far as it did a year ago!
The price of a lot of stuff in the states has really gone up in dollar terms, food was noticeably dearer i thought.

Funny you should say that - I was talking to a friend who has been going Stateside for about 10 years now and he said this year that he found that it was a lot more expensive, even when you account for the drop in the value of the £.

Typical. Going to new york in mid feb. Should i be thinking of buying dollars now? I can't complain really at the minute saying as i work in the south and live in the north.

hard to know what currency will do bailestil.
Dont expect things to be cheap when you get there, though as always in new york the price is heavily influenced by the area you are in.
For a bottle of beer in the meatpacking district it was 8 dollars (plus tip) which is a rip off for instance.

Quote from: nifan on January 21, 2009, 01:43:03 PM
the meatpacking district

Are you talking about the village area?  ;)

No not the village, and if your implying the gay district, thats chelsea - and not their either :P

Quote from: nifan on January 21, 2009, 01:52:46 PM
No not the village, and if your implying the gay district, thats chelsea - and not their either :P

Funny its the same in London.  8)

Quote from: muppet on January 21, 2009, 02:08:03 PM

Quote from: nifan on January 21, 2009, 01:52:46 PM
No not the village, and if your implying the gay district, thats chelsea - and not their either :P

Funny its the same in London.  8)

It's the same all over the world !  :P :-*

Hoors...i just changed £550 sterling and got €570 yo yo's WTF is that all about...Bastards :'(

Quote from: illdecide on January 21, 2009, 02:13:50 PM
Hoors...i just changed £550 sterling and got €570 yo yo's WTF is that all about...b**tards :'(

You were luck enough - Next week you'll probably get a lot less. You did well !

Sterling is dead, says leading global investor


Concerns about the British economy and fears for the stability of the UK's financial system pushed sterling to new record lows against the dollar, euro and yen yesterday.

One of the world's leading investors voiced the markets' concerns. Jim Rogers, of the Singapore-based Rogers Holdings and co-founder of the Quantum fund with George Soros, told Bloomberg Television: "I would urge you to sell any sterling you might have. It's finished. I hate to say it, but I would not put any money in the UK."

Mr Rogers added that the pound will fall below its record low of $1.0520 reached in February 1985. Given near parity with the euro, it raises the intriguing possibility that the pound/dollar/euro exchange rate could yield a "triple parity".

At the same time, the Office for National Statistics released the latest inflation figures, down sharply to 3.1% in December, from 4.1% in November. Investors took this as a sign of the weakness of demand in the UK economy, rather than of its fundamental strength.

Before the official growth figures for the last three months of 2008, to be published on Friday, the Governor of the Bank of England, Mervyn King, warned that the world economy had "fallen off a cliff" and that, for the UK, "total output in the fourth quarter is expected to have fallen sharply. In the first half of this year, the rate of contraction is likely to continue to be marked". Some economists believe that the figure will be -1.5%, one of the sharpest downturns since the Second World War.

Mr King also acknowledged the "risk" that inflation would drop below the target rate of 2% in coming months, and confirmed that the Bank would embrace "unconventional measures" — also known as quantitative easing, or printing money — to stimulate the economy.

Most economists believe that inflation will come close to zero before the end of the summer, and, on the RPI measure, will actually turn negative.

The Bank and the Treasury have so far remained relatively relaxed about the decline in sterling, believing that a boost to exports and manufacturing would help "rebalance" the economy, but that may change as the depreciation shows signs of turning into a rout, because of a lack of confidence in the British authorities to manage the situation.

Worries about the scale of government borrowings, the cost of bailing out the commercial banks and that the slump in sterling will become self-reinforcing helped to push the pound to an eight-year low against the dollar, an all-time low against the yen and back towards parity with the euro.

In trading, the pound crashed as much as 4% to lows of around $1.386, in its biggest one-day slide against the dollar since Britain fell out of the European Exchange Rate Mechanism in 1992.

Neil MacKinnon, director and chief economist at ECU Group, said: "There's a real danger of the decline in sterling becoming a full-blown crisis. The Government and the Bank of England have to change their tune on the pound pretty quickly."

However, John Higgins, of Capital Economics, said: "It is perhaps not surprising that investors are getting increasingly nervous about the health of the UK's public finances.

"The 5-year credit default swap for the UK government has widened by 25bp since early January.

"'Printing press' headlines make for uncomfortable reading.

"But there is little reason to think that the adoption of quantitative easing should be negative for the pound, any more than for the dollar."

Even weaker demand and output than previously thought is helping to push inflation down by the fastest pace since the recession of the early 1990s.

Quote from: illdecide on January 21, 2009, 02:13:50 PM
Hoors...i just changed £550 sterling and got €570 yo yo's WTF is that all about...b**tards :'(

And if you handed the €570 back they'd give you £500 for it . >:(
It's called rip off commission and the difference between "we sell at...and we buy at..."

Follow on from armaghniac's post

Britain's Got Nothing To Offer'

Sterling is doomed, London's financial services are "a disaster" and the Government had made a "horrible mistake" in spending billions stopping Britain's banks going belly up.

Jim Rogers says sterling is 'finished'
That's the conclusion of investment guru Jim Rogers.
Speaking a day after similar comments he made about the pound saw sterling slump by 4%, he told Sky News Britain will soon have little to offer the world.
Mr Rogers made billions for his clients investing with hedge fund legend George Soros, who made a billion betting against the pound.
After years of enjoying a strong currency and thriving financial sector, Mr Rogers said the winds of change blowing across the UK were fast turning into a storm.
People tend to listen to Mr Rogers, especially those who remember how he made his clients 43 times their money, running an investment fund with another guru, George Soros.
Sky's business editor Michael Wilson on Jim Rogers.
"The fact is that the UK has had two things to sell to the world over the last 25 years," he said.
"The North Sea [oil] and that's drying up - within a decade the UK is going to be importing oil - and the City of London.
"But the UK's financial asset is a disaster and it's not going to revive."
He added: "Sterling has got to go lower over the next decade or two because when the North Sea dries up I do not know what the UK is going to sell to the world."
He was scathing of the Government's handling of the economy, criticising the use of taxpayers' cash to bail out the banks, both in Britain and the UK.
"They are making a terrible mistake," he said.

See interviews with key business and political figures by Sky's Jeff Randall
"I would be outraged. Taxpayers were the innocent ones in all this." he said.
"A few greedy people in the City of London and Wall Street took billions of bonuses and profits
"It's horrible economics. It's terrible morality."
He said private companies should have come in to support the banks.
Mr Rogers said similar attempts in Russia and Korea were successful.
"It's not an ideological thing - the US and UK are bucking history," he said.
"The public, I'm sure, senses there's something wrong and there are gigantic debts being piled, someone's going to have to pay for them, and they're the ones that are going to be stung."

Quote from: Declan on January 23, 2009, 03:50:57 PM
Follow on from armaghniac's post

Britain's Got Nothing To Offer'

Sterling is doomed, London's financial services are "a disaster" and the Government had made a "horrible mistake" in spending billions stopping Britain's banks going belly up.

Jim Rogers says sterling is 'finished'
That's the conclusion of investment guru Jim Rogers.
Speaking a day after similar comments he made about the pound saw sterling slump by 4%, he told Sky News Britain will soon have little to offer the world.
Mr Rogers made billions for his clients investing with hedge fund legend George Soros, who made a billion betting against the pound.
After years of enjoying a strong currency and thriving financial sector, Mr Rogers said the winds of change blowing across the UK were fast turning into a storm.
People tend to listen to Mr Rogers, especially those who remember how he made his clients 43 times their money, running an investment fund with another guru, George Soros.
Sky's business editor Michael Wilson on Jim Rogers.
"The fact is that the UK has had two things to sell to the world over the last 25 years," he said.
"The North Sea [oil] and that's drying up - within a decade the UK is going to be importing oil - and the City of London.
"But the UK's financial asset is a disaster and it's not going to revive."
He added: "Sterling has got to go lower over the next decade or two because when the North Sea dries up I do not know what the UK is going to sell to the world."
He was scathing of the Government's handling of the economy, criticising the use of taxpayers' cash to bail out the banks, both in Britain and the UK.
"They are making a terrible mistake," he said.

See interviews with key business and political figures by Sky's Jeff Randall
"I would be outraged. Taxpayers were the innocent ones in all this." he said.
"A few greedy people in the City of London and Wall Street took billions of bonuses and profits
"It's horrible economics. It's terrible morality."
He said private companies should have come in to support the banks.
Mr Rogers said similar attempts in Russia and Korea were successful.
"It's not an ideological thing - the US and UK are bucking history," he said.
"The public, I'm sure, senses there's something wrong and there are gigantic debts being piled, someone's going to have to pay for them, and they're the ones that are going to be stung."

QuoteMr Rogers made billions for his clients investing with hedge fund legend George Soros, who made a billion betting against the pound.

versus

Quote"I would be outraged. Taxpayers were the innocent ones in all this." he said.
"A few greedy people in the City of London and Wall Street took billions of bonuses and profits
"It's horrible economics. It's terrible morality."

Is it just me....?

Why even with the further reduction in UK interest rates, is the £ strengthening, albeit only slightly against the $ ??

http://newsvote.bbc.co.uk/1/shared/fds/hi/business/market_data/currency/11/13/twelve_month.stm

if you click on this link you can change the graph to daily, monthly fluctuations etc

Sterling rallies after rate cut 

The Bank of England's decision to cut interest rates was cheered
The pound has hit a two-month high against the euro, after the Bank of England slashed interest rates to a record low to tackle the recession.

The UK's central bank cut rates from 1.5% to 1%, while the European Central Bank left rates on hold at 2%.

The perceived pro-active stance of the Bank of England, compared to the ECB, saw the pound rise above 1.15 euros for the first time since early December.

Sterling also saw gains against the dollar, rising to $1.4767.

The Pound is dropping off again.

€1 = £0.94140
£1 = €1.06291

There she goes again. Sterling is f**ked.

€1 = £0.92
£1 = €1.09

Best to avoid Newry for the foreseeable I guess.

as if the eurozone had no problems ....

Quote from: Donagh on September 25, 2009, 01:31:15 PM
There she goes again. Sterling is f**ked.

€1 = £0.92
£1 = €1.09

Best to avoid Newry for the foreseeable I guess.

What's with the huge fluctuation ? Is the euro now the favoured currency ?

Quote from: orangeman on September 25, 2009, 10:47:31 PM
What's with the huge fluctuation ? Is the euro now the favoured currency ?

The Bank of England and Mervyn King om, who said during the week that a weak pound was good for UK exports, and that UK exports would be the primary vehicle for economic recovery, therefore Sterling interest rates aren't likely to rise any time soon, therefore the esteemed gamblers on the international money markets would be looking elsewhere for their quick, filthy, lucre.

Quote from: Fear ón Srath Bán on September 25, 2009, 11:11:21 PM

Quote from: orangeman on September 25, 2009, 10:47:31 PM
What's with the huge fluctuation ? Is the euro now the favoured currency ?

The Bank of England and Mervyn King om, who said during the week that a weak pound was good for UK exports, and that UK exports would be the primary vehicle for economic recovery, therefore Sterling interest rates aren't likely to rise any time soon, therefore the esteemed gamblers on the international money markets would be looking elsewhere for their quick, filthy, lucre.

At least the mortgage repayments will remain lower and this might in itself kick start a form of housing recovery ??

Quote from: orangeman on September 25, 2009, 11:18:28 PM
At least the mortgage repayments will remain lower and this might in itself kick start a form of housing recovery ??

Possibly, but then there's still so much raw debt out there that the various national 'stimulus' packages have camouflaged.

If consumer sentiment hasn't picked up and sustained itself by the time this 'Quantitative Easing' (printing of money) has run its course, it's hard to say. Hence the reason why the BoE want exports to lead the recovery -- it insulates them from taking any further measures, and from suffering any of the flak if their bribing of consumers fails.

Pound Slides to Six-Month Low Against Euro; UBS Cuts Forecast

By Lukanyo Mnyanda

Oct. 13 (Bloomberg) -- The pound fell to the lowest level in more than six months against the euro after a business group said the Bank of England should expand its asset-purchase program and the inflation rate slowed more than forecast.

Sterling slid to 94 pence per euro for the first time since March 27 and reached the weakest level since May versus the dollar. Policy makers should extend their 175 billion-pound ($276 billion) bond-buying program by 25 billion pounds, the British Chambers of Commerce said. UBS AG cut its forecasts for the pound, citing the likelihood purchases will be expanded.

"What is staying in the market is the outlook for the Bank of England's November meeting and the potential increase in the debt-purchasing program," said Hans-Guenter Redeker, head of global currency strategy in London at BNP Paribas SA, France's largest bank. "Sterling is going to remain fairly weak. The U.K. economy is going to be lagging behind the global recovery."

The pound declined 0.5 percent to 93.98 pence per euro as of 12:10 p.m. in London, after depreciating to 94.10 pence, bringing its decline since Oct. 8 to 2 percent. Against the dollar, the pound was little changed at $1.5818, after earlier sliding to the lowest level since May 21.

Consumer prices last month rose 1.1 percent, down from 1.6 percent in August, the Office for National Statistics said today in London. That was lower than the 1.3 percent predicted in a Bloomberg survey of economists.

Nurturing Recovery

There is "still scope for some more" so-called quantitative easing, David Frost, director general of the BCC, said in a Bloomberg Television interview. The recovery needs "to be nurtured, so we're saying perhaps another 25 billion pounds," he said.

Prime Minister Gordon Brown said yesterday ending stimulus programs too soon could hamper the recovery. The government has to ensure "that your recovery isn't going to be derailed," Brown said in a Bloomberg Television interview.

Brown's comments suggest that "if the monetary policy committee was to request authorization for another extension to the quantitative-easing program from the Treasury, it would most likely get it," Gareth Berry, a currency strategist in Singapore at UBS, wrote in a report. "Fundamental news has re- asserted itself, weakening the pound."

UBS, which Euromoney Institutional Investor Plc ranks as the world's second-biggest currency trader, changed its one- month pound forecast against the euro to 94 pence from 89 pence, Berry wrote. Sterling will probably weaken to $1.54 in the period, compared with a previous estimate of $1.63, UBS said.

Housing, Retail Sales

The currency will end the year at $1.63 and 90 pence per euro, according to economists and strategists' forecasts compiled by Bloomberg.

Declines may be limited as some indicators show signs the economy is recovering after the central bank cut its benchmark lending rate to a record low of 0.5 percent and started buying assets to further depress borrowing costs.

The U.K. housing market strengthened in September as the proportion of surveyors and real-estate agents reporting higher prices rose to the highest since May 2007, the Royal Institution of Chartered Surveyors said today. A separate report from the British Retail Consortium showed sales at stores open at least a year rose 2.8 percent on an annual basis, the most in five months.

"The news that we've heard overnight from the U.K. has been pretty good so we might see some consolidation," said Vincent Chaigneau, London-based head of currency and fixed- income strategy at Societe Generale SA, who expects the pound to trade at 93 pence per euro by year-end.

Gilts Fall

Government bonds declined, pushing the yield on the two- year gilt 6 basis points higher to 0.78 percent. The 4.25 percent security due March 2011 fell 0.09, or 90 pence per 1,000-pound face amount, to 104.81.

Britain's currency has declined 9.3 percent against the euro since June, after gaining 12 percent in the first half of the year, as investors pared back expectations the recovery would be fast enough for the central bank to start raising interest rates.

The yield on the short-sterling interest-rate futures contract expiring in March 2010 was at 0.83 percent, from 0.95 percent a month ago, signaling investors are paring bets that policy makers will raise interest rates. The rate was at 1.49 percent on June 1.

Two technical indicators called moving averages crossed for the first time in more than two years, indicating the pound may extend its declines.

The U.K. currency's 50-day moving average, currently at 88.76 pence, dropped below its 200-day level today, a so-called dead cross. The last time it happened, on April 9, 2007, the pound closed at 68.04 pence per euro, before weakening 8 percent to end the year at 73.50 pence.

There is a view that the £ might drop another 30+% and ultimately be forced to join the  eurozone ....I saw this on another board. Spooky stuff.

I think the UK will beg to join at between £1.30 to £1.50 to the Euro,currently £0.92 to the Euro,when is a good question,King and co are doing everything they can to drive it down,but as the government debt situation,unemployment and the economy deteriorate, there will be a sudden precipitous drop,as the true extent of the appalling state of the economy is revealed.

One area that will not be cut is social security,of course it is one of the biggest budgets,but the government knows and has already been warnwed of "social unrest" - that's thousands of ethnics rioting, and mass street brawls and fighting with whites.They wouldn't want that broadcast around the worlds TV's would they?Johnny Foreigner might get the wrong impression.

I think the Tories cuts will be too little too late,the cuts they have just announced only add up to around £7billion a year,this is against a budget defecit of around £100billion growing exponentially,it barely scrapes the surface does it?But then again,they won't want the measures to work,as the long term plan is to join -so there will only be a pretence.

If I had to put a date for the join it would be 2011/2,maybe earlier(towards the end of 2010) if conditions worsen sooner.

QuoteI think the UK will beg to join at between £1.30 to £1.50 to the Euro,

Bollix. As noted above professional commentators are talking about a range of €1 to €1.11. The UK would never be allowed join the Euro with a super competitive exchange rate. They have been pissing everyone off for years and nobody would be willing to support them, to say nothing of the Irish government vetoing things at that rate or anywhere near it as it would ruin this country.

The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

If the pounds falls in value to the euro the way people are saying, then Newry wil need an airport it will be that busy !

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.

The first was Iraq prior to the invasion.

The Yanks will never let it happen.

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

So why would they start trading in Euros then?

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

http://en.wikipedia.org/wiki/Iranian_oil_bours

Quote from: Gnevin on October 15, 2009, 09:16:05 AM

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

http://en.wikipedia.org/wiki/Iranian_oil_bours

http://en.wikipedia.org/wiki/Iranian_oil_bourse  :P

Quote from: thebigfella on October 15, 2009, 09:22:06 AM

Quote from: Gnevin on October 15, 2009, 09:16:05 AM

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

http://en.wikipedia.org/wiki/Iranian_oil_bours

http://en.wikipedia.org/wiki/Iranian_oil_bourse  :P

Yeah and that too.  ;) ;D

Sorry forgot about that, of course that had nothing to do with escalating tensions between the Yanks and Iran.  ::)

Britain won't join the euro.

Listen, I know feck all about economics and finance etc. But if sterling continues to fall, will it cause international finacers, international banks etc to start selling sterling hurting it long term as a viable currency ?

Quote from: SuperMac on October 15, 2009, 02:37:59 PM
Listen, I know feck all about economics and finance etc.

I probably know even less.............

Is sterling in free-fall or what is the story?
Need to get dollars & sterling has fell recently against the dollar but will it continue to fall?

QuoteIs sterling in free-fall or what is the story?
Need to get dollars & sterling has fell recently against the dollar but will it continue to fall?

Who knows? Sterling is up a cent against real money today. For what it is worth the ESRI expect an average exchange rate of £1 = 0.85 for next year in their recent report. I would have thought a figure closer to €0.90 myself.

Quote from: thebigfella on October 15, 2009, 09:11:14 AM

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

So why would they start trading in Euros then?

Bump ????

from irish times ...

Like the Central Bank, the ESRI makes technical assumptions about interest and exchange rates. This is a bit of a cop-out given the importance of each to a country like ours. For the record, they have the euro/sterling rate hitting parity later this year before falling back to average 85 cent in 2010. They are rightly fearful that sterling will remain weak given the huge fiscal problems in the UK – that country will have a budget deficit of 13 per cent next year – higher even than the forecast Irish one.

The banking class are making money out of and stoking up volatility IMO. The Uk budget deficit is real though.

QuoteThe Uk budget deficit is real though.

While in Republic we had the mother of all booms and most people now accept that there is going to be a couple of hard years afterwards, I am not sure that the UK has fully taken on board the extent of their problems. NI is  pro rata the highest recipient of UK government largesse and the effect will be felt there. Even the Ulster council may suffer.   

With the current exchange rate the northern Retail business is flying. Christmas will be the best in years.

My mother and father in law took all there savings (about 15000 euro) and transfered it into sterling about a year ago as they thought the euro was getting very expensive.  I know it is not funny for them but I had to fight the urge to LOL when they told me that.

Quote from: thebigfella on October 16, 2009, 02:52:45 PM

Quote from: thebigfella on October 15, 2009, 09:11:14 AM

Quote from: muppet on October 14, 2009, 07:42:55 PM

Quote from: thebigfella on October 14, 2009, 06:12:58 PM

Quote from: muppet on October 14, 2009, 05:32:10 PM

Quote from: Caid on October 13, 2009, 03:34:14 PM
The Tories are coming in to power in England.  They have stated they will never join the Euro.  The notion that they will join in 2010/11 seems very far fetched.

It would do England a lot of good to be in the Euro though...but they don't believe in "One Europe" and still dream of the "Briitsh Empire"

Nothing to do with British jingoism despite that clever spin being put out to the redtops.

If they join they will become the second oil producing nation to trade their oil in Euros.
The first was Iraq prior to the invasion.

The Yanks will never let it happen.

They don't trade in pounds now as far as i'm aware so why would they change if they join the Euro?

They trade in dollars as do all oil producers.

So why would they start trading in Euros then?

Bump ????

Because they would be in the euro and would hardly involve dollars say for example if they sold to any other eurozone member.

£ sterling suffering heavy losses this week against the US $   -  anyone hazard a guess why ???

its got to do with the rising deficits of some European countries   particularly  Greece, Portugal. Spain and Ireland


http://www.nytimes.com/2010/02/06/business/06markets.html?hp

Quote from: tyronefan on February 05, 2010, 07:37:03 PM
its got to do with the rising deficits of some European countries   particularly  Greece, Portugal. Spain and Ireland


http://www.nytimes.com/2010/02/06/business/06markets.html?hp

that would not make the euro surge now would it? (the US deficit i think is about $1.3 trillion this year)

no the € doesn't look like will be surging anywhere. The PIGS are all being lumped together amid growing concern as people look at Greece who have been fiddling the books and a bigger than expected deficit in Portugal people think where is next. Spain has one of the better debt to GDP ratios, but is near 20% unemplyment and Spain's banks have been crucified in the market over last few days, much more so than other countries banks. Santander reported strong results way ahead of consensus and only about 25% of net income comes from Spain, yet stock is down hugely in space of couple days.

Currency wise who know what is going to happen. People dont seem to think the EMU will actually break, but feeling is that France and Germany won't bail out people willy-nilly. Feeling that Greece and other countries have a lot more to do before seeing the same sort of good will afforded to Ireland's budget cuts. Apart from that EU growth is anaemic.

The USD deficit is downright scary and we very much seem to be running the risk of just pushing this a few years down the line. China has started diversifying its reserves but would be none too pleased to see a $ crash at this point in time.

Then there is sterling. Massively leveraged economy which is hugely dependent on financial services and with a soaring deficit and debt/GDP ratio. PIMCO's Bill Gross described UK gilts as nitroglycerine the other day...

Big deficits and huge leverage all round but then again Japan has had ENORMOUS debt/GDP ratios for years...it hasn't quite burned them yet but they have been fighting deflation for God knows how long. A few respected financial commentators really see Japan going tits up several years down the line.

Personally I wish I was earning AUD...those lucky buggers have a currency which looks well supported and a great lifestyle!

Beware of Greeks bearing gilts.

Quote from: CiKe on February 05, 2010, 10:18:16 PM
no the € doesn't look like will be surging anywhere. The PIGS are all being lumped together amid growing concern as people look at Greece who have been fiddling the books and a bigger than expected deficit in Portugal people think where is next. Spain has one of the better debt to GDP ratios, but is near 20% unemplyment and Spain's banks have been crucified in the market over last few days, much more so than other countries banks. Santander reported strong results way ahead of consensus and only about 25% of net income comes from Spain, yet stock is down hugely in space of couple days.

Currency wise who know what is going to happen. People dont seem to think the EMU will actually break, but feeling is that France and Germany won't bail out people willy-nilly. Feeling that Greece and other countries have a lot more to do before seeing the same sort of good will afforded to Ireland's budget cuts. Apart from that EU growth is anaemic.

The USD deficit is downright scary and we very much seem to be running the risk of just pushing this a few years down the line. China has started diversifying its reserves but would be none too pleased to see a $ crash at this point in time.

Then there is sterling. Massively leveraged economy which is hugely dependent on financial services and with a soaring deficit and debt/GDP ratio. PIMCO's Bill Gross described UK gilts as nitroglycerine the other day...

Big deficits and huge leverage all round but then again Japan has had ENORMOUS debt/GDP ratios for years...it hasn't quite burned them yet but they have been fighting deflation for God knows how long. A few respected financial commentators really see Japan going tits up several years down the line.

Personally I wish I was earning AUD...those lucky buggers have a currency which looks well supported and a great lifestyle!

I thought it was PIIGS compromising of Portugal, Italy, Ireland, Greece & Spain?

Ireland wasn't originally in there, was used to refer to the other four. More recently given Ireland's precarious situation people have talked about Ireland being the 'I'. It probably should be PIIGS though.

€/£ = 0.84362 presently. The Euro has its problems, but an indecisive result in the UK election might knock the £ back down.

and then you had BUBBA as well,
Bulagaria, uganda,brazil, belize and Andora. They are the real problem. The original was FLUTE, which comprised of France,Lithuania,Ukraine,Thailand and Ethiopia which we all know started the Celtic Tiger with their cheap imports from our sweat shops.
COCKUP which was Crete,Ostralia,czech republic,kenya,Uganda and Poland were the very first group which in the 1800s were know for their love of the pint of Guinness to bring hangovers and smelly guinness farts to the world outside Ireland.

Quote from: tyronefan on February 05, 2010, 07:37:03 PM
its got to do with the rising deficits of some European countries   particularly  Greece, Portugal. Spain and Ireland


http://www.nytimes.com/2010/02/06/business/06markets.html?hp

Ireland better go tits up next before the EU ruun out of bail out money. :P

Whats going on today? Sterling rocketing against euro?

http://news.bbc.co.uk/news/business/market_data/currency/11/13/intraday.stm (http://news.bbc.co.uk/news/business/market_data/currency/11/13/intraday.stm)

QuoteSterling rocketing against euro?

Big lodgement by diesel launderers.

from De Indo.
------------------------------------------
THE euro will fall below 80p sterling by the end of the year, and could go as low as 70p, economists at Ulster Bank have forecast.

The threat of a vicious circle or "negative feedback loop" between the financial system and the real economy of the euro area has resurfaced, chief economist Simon Barry says in his latest focus on markets.

"Market concerns about unsustainable public finance trends have forced euro-area governments to announce additional fiscal correction measures. While absolutely necessary, such action does constitute a further headwind to recovery," he says.

One conclusion is that the European Central Bank will not raise interest rates from their 1pc level for another 12 months. "Irish borrowers are likely to benefit from another year of record low rates," the report says.

Given the difficulties facing the eurozone economy it is difficult to justify the current level of the euro and further falls are on the cards, Mr Barry said.

"In the current environment and we expect further declines by year-end to $1.12 and 78p. There is a risk of an undershoot, in the event of another major shock to the eurozone, which could see a return to parity or lower against the dollar and to 70p sterling."

Weaknesses

The report says the Greek situation exposed important weaknesses in the institutional and governance framework underpinning the euro area.

"It also gave investors plenty of time to consider the extent of vulnerabilities in other member states, which has given rise to heightened concern about the ability of countries across the eurozone, and beyond, to manage very large budget deficit and debt positions.

"The fragile state of the debt markets means that decisive action is required immediately to demonstrate commitment to such a course of action," it says.

It sees a danger that a sustained period of weakness in the global financial system could transmit itself into weaker business and consumer confidence, triggering a lurch lower in real economic activity.

"The economic data for May has brought some modest downside surprises, but it is difficult to tell whether this is merely some payback for prior strength or a signal of a more ominous dynamic.

almost the 80c now
€/£ = 0.80975

Quote from: armaghniac on June 30, 2010, 01:48:04 AM
almost the 80c now
€/£ = 0.80975

But is this bad news for the exporters that the Tory's are basing their economic strategy on in reducing the deficit??

Quote from: johnneycool on June 30, 2010, 09:12:32 AM

Quote from: armaghniac on June 30, 2010, 01:48:04 AM
almost the 80c now
€/£ = 0.80975

But is this bad news for the exporters that the Tory's are basing their economic strategy on in reducing the deficit??

Certainly is.

It's nearly time now to go back to Dundalk for the diesel instead of Sainsburys ;)

I hope you people with access to Imperial lucre had the good judgement to convert it to €uro when it was getting €1.27, now that it is €1.14 perhaps you should began planning moving the loot back.

Any one ever try Currency Fair, seems like a good way to exchange money.

http://www.currencyfair.com/

Quote from: FL/MAYO on February 20, 2013, 11:06:29 PM
Any one ever try Currency Fair, seems like a good way to exchange money.

http://www.currencyfair.com/ (http://www.currencyfair.com/)

Never knew about that. Like so many good ideas, it's obvious, but only after someone has thought of it.

Yep heard them at a Web Summit a couple of years ago - great idea

Could there be profit to be made at moving money from a sterling account to a euro account and back again using that site? Use their market function and look for about a 1% increase each time?

The €uro is below 70p presently, a good time to stock up on cash for holidays. And you might well make a profit changing this at a low commission rate (Currencyfair/Transfermate) and changing it back again.

Quote from: armaghniac on July 16, 2015, 09:11:37 PM
The €uro is below 70p presently, a good time to stock up on cash for holidays. And you might well make a profit changing this at a low commission rate (Currencyfair/Transfermate) and changing it back again.

Getting raked over coals by the Sterling while building a PC down here.

I had asked a question over on the house building thread but maybe this could be just as good a forum

I will be starting to buy flooring, doors, showers, toilets, etc, for a new house in about 6 months for a house in the north. Does the weakened Euro leave these goods cheaper to buy in the South? If so is there any margin in shifting a lot of Sterling to Euro now?

Quote from: LeoMc on July 17, 2015, 08:20:19 AM
I had asked a question over on the house building thread but maybe this could be just as good a forum

I will be starting to buy flooring, doors, showers, toilets, etc, for a new house in about 6 months for a house in the north. Does the weakened Euro leave these goods cheaper to buy in the South? If so is there any margin in shifting a lot of Sterling to Euro now?

Yes, if you earn in sterling then buying anything denominated in Euro will now be better for you than it was when the rate was below 1.40.

However, as you are building a new house I assume you could reclaim the VAT on purchases in Northern Ireland, but this wouldn't be the case if you buy from the South.
Of course, if you can supply a UK VAT number to the Southern supplier then ROI VAT wouldn't come into the equation there either  ;)

Quote from: Smokin Joe on July 17, 2015, 08:44:42 AM

Quote from: LeoMc on July 17, 2015, 08:20:19 AM
I had asked a question over on the house building thread but maybe this could be just as good a forum

I will be starting to buy flooring, doors, showers, toilets, etc, for a new house in about 6 months for a house in the north. Does the weakened Euro leave these goods cheaper to buy in the South? If so is there any margin in shifting a lot of Sterling to Euro now?

Yes, if you earn in sterling then buying anything denominated in Euro will now be better for you than it was when the rate was below 1.40.

However, as you are building a new house I assume you could reclaim the VAT on purchases in Northern Ireland, but this wouldn't be the case if you buy from the South.
Of course, if you can supply a UK VAT number to the Southern supplier then ROI VAT wouldn't come into the equation there either  ;)

Was down in Blanchardstown centre last week looking to buy some stuff... thought I would be making a great saving but was I shite!! Stuff is ridiculously expensive down there and the exchange rate didn't make a difference.

Went to buy golf balls in Sportsworld that cost €17.99 but the same golf balls were available in Sportsdirect in Armagh @ £9.99!!

Quote from: Smokin Joe on July 17, 2015, 08:44:42 AM

Quote from: LeoMc on July 17, 2015, 08:20:19 AM
I had asked a question over on the house building thread but maybe this could be just as good a forum

I will be starting to buy flooring, doors, showers, toilets, etc, for a new house in about 6 months for a house in the north. Does the weakened Euro leave these goods cheaper to buy in the South? If so is there any margin in shifting a lot of Sterling to Euro now?

Yes, if you earn in sterling then buying anything denominated in Euro will now be better for you than it was when the rate was below 1.40.

However, as you are building a new house I assume you could reclaim the VAT on purchases in Northern Ireland, but this wouldn't be the case if you buy from the South.
Of course, if you can supply a UK VAT number to the Southern supplier then ROI VAT wouldn't come into the equation there either  ;)

What's this now? Building ourselves at the minute and was looking into whether south might be cheaper.

Dont think it is worth the hassle. From what i hear if u manage to get all in order it will take i while for it to go through.