Pound in biggest monthly fall against the dollar since 2016...

[noseall]

By all means point out what you think is incorrect about any of my posts.

Incorrect?
It's tiring dissecting waffle.

 

[wellyfish]

Incorrect?
It's tiring dissecting waffle.

Oh,right, you don't understand any of it. Fair enough.

 

[Pat ex]

Does that mean American cars are 2.5 times more expensive in the UK than anywhere else?

It probably means that American cars are more expensive in UK than they were before.

 

[Deleted member 18243]

there is plenty a competent government could do to insulate the nation from the inflationary effects

Inflation is the cause, not the effect. The government did the inflating.

 

[fillyboy]

However, there is plenty a competent government could do to insulate the nation from the inflationary effects (if there are any) of events like the recent fluctuation.

I always turn to Mark Blyth when in doubt.

 

[fillyboy]

It probably means that American cars are more expensive in UK than they were before.

All cars are more expensive in the UK than before.

 

[wellyfish]

Inflation is the cause, not the effect. The government did the inflating.

Nah.
Inflation is nothing more than suppliers asking for more money and getting it.

However, I agree that govt can contribute to inflation as it's the monopoly supplier of £s and, as such, the price setter.

 

[carmanmemoranda]

However, there is plenty a competent government could do to insulate the nation from the inflationary effects (if there are any) of events like the recent fluctuation.

Ok. Go on. Such as ?

 

[carmanmemoranda]

The financial markets have lost confidence in the pound.

The correct level is where the markets consider the pound to be a fair risk.

Its all about who is buying what money, and why.

Our £ is currently seen as not the money to buy.

The financial markets, whether you like them or not, value each currency against another.

 

[wellyfish]

Ok. Go on. Such as ?

For a start ...

. Energy security
. Food security
. Buffer stocks of resources of national importance which we can't produce ourselves

etc

 

[wellyfish]

Its all about who is buying what money, and why.

Our £ is currently seen as not the money to buy.

The financial markets, whether you like them or not, value each currency against another.

Sure, market makers are selling the £. They will stop when there aren't any more buyers at the prices they want - for every seller there has to be a buyer.

Currencies are bought and sold with prices rising and falling all day every day. Generally we don't notice any effect.

Fx markets determine currency prices and 90%ish + of fx trades are pure speculation.

Why do you think £ is being sold now?

 

[carmanmemoranda]

For a start ...

. Energy security
. Food security
. Buffer stocks of resources of national importance which we can't produce ourselves

etc

All we need then is a competent government.

 

[wellyfish]

All we need then is a competent government.

Absolutely.
All we need is a government that will harness the resources the UK has and direct their use for the benefit of it's citizens.
What else is government for?

 

[Pat ex]

All cars are more expensive in the UK than before.

That would appear to be about right:

Cars are up to 52% more expensive in Britain than anywhere else in the European Union, the latest EU price survey showed today.

UK car prices highest in Europe

Cars are up to 52% more expensive in Britain than elsewhere in the EU. Buyers are being obstructed from buying cheaper models abroad by dealers unwilling to sell right-hand drive models

www.dailymail.co.uk

 

[denso13]

Inflation is the cause, not the effect. The government did the inflating.

Wrong on both counts...