$1.48 to the £ today....this is getting ridiculous
Jan 28th 2012, 10:33 pm
#391
You sip .... I glug !!!
Joined: Nov 2003
Location: Over the hill!
Posts: 2,790
Re: $1.48 to the £ today....this is getting ridiculous
I can't disagree with you, because you may be right about the RBA, i just know i am right also.....
RE: House prices, i just do not see them falling a great deal. The big four in Australia apparently are that deep in the doo doo with ragards to lending domestically against private dwellings, if their assets they have lent against fell 20%, they would not have a liquidity problem, they would be deemed insolvent.....Similar to the UK, so they will drop rates, so to stimulate the economy but also support asset values.....I am not saying assets are not over priced, but i am saying they may stay that way for a long long time, rates will fall, along with the AUD, but that is my opinion, i could be wrong?
RE: House prices, i just do not see them falling a great deal. The big four in Australia apparently are that deep in the doo doo with ragards to lending domestically against private dwellings, if their assets they have lent against fell 20%, they would not have a liquidity problem, they would be deemed insolvent.....Similar to the UK, so they will drop rates, so to stimulate the economy but also support asset values.....I am not saying assets are not over priced, but i am saying they may stay that way for a long long time, rates will fall, along with the AUD, but that is my opinion, i could be wrong?
Agreed, I think house prices will be stagnant for a few years until the other factors catch up.
Jan 28th 2012, 10:36 pm
#392
You sip .... I glug !!!
Joined: Nov 2003
Location: Over the hill!
Posts: 2,790
Re: $1.48 to the £ today....this is getting ridiculous
Interesting discussion chaps, and very enjoyable.
Sadly I'm off to another internetless remote island for a few months, and so I must drop out. Sorry about that.
(interestingly I get paid in USD so I lose with a high AUD).
It's going to be an interesting few months. I wonder what the rate will be when I get back....
Sadly I'm off to another internetless remote island for a few months, and so I must drop out. Sorry about that.
(interestingly I get paid in USD so I lose with a high AUD).
It's going to be an interesting few months. I wonder what the rate will be when I get back....
Jan 29th 2012, 11:38 am
#393
Banned
Joined: Jan 2011
Location: The REAL Utopia.
Posts: 9,910
Re: $1.48 to the £ today....this is getting ridiculous
That is the crux of the problem, everyone sits back and say isnt it great that we earn so much here. Why do you think more and more Australian companies are moving manufacturing overseas ? It is exactly why we are seeing the service industry growing and manufacturing disappearing fast. I think the carbon tax will be the death knell for many more companies.
But to be fair, with current OZ labour rates and current OZ energy rates, its just not economically feasible to do onshore processing.
If labour rates decrease (unlikely) and energy rates decrease (more unlikely), then maybe onshore processing could happen, but I just dont see it.
Would you (and your family / friends / work collegues) be willing to take a paycut to make onshore processing of minerals a reality? (Cos thats what it needs and then some).
so nice idea but not practical. And on the basis of a bird in the hand etc etc..... we will continue to dig up raw materials, dump them into a boat and sell them off.
If labour rates decrease (unlikely) and energy rates decrease (more unlikely), then maybe onshore processing could happen, but I just dont see it.
Would you (and your family / friends / work collegues) be willing to take a paycut to make onshore processing of minerals a reality? (Cos thats what it needs and then some).
so nice idea but not practical. And on the basis of a bird in the hand etc etc..... we will continue to dig up raw materials, dump them into a boat and sell them off.
Jan 29th 2012, 12:53 pm
#394
BE Forum Addict
Joined: Dec 2008
Posts: 3,396
Re: $1.48 to the £ today....this is getting ridiculous
That is the crux of the problem, everyone sits back and say isnt it great that we earn so much here. Why do you think more and more Australian companies are moving manufacturing overseas ? It is exactly why we are seeing the service industry growing and manufacturing disappearing fast. I think the carbon tax will be the death knell for many more companies.
And with what could be tough times on the horizon, this shift in off shoring is likely to increase.
Jan 29th 2012, 1:15 pm
#395
Banned
Joined: Jan 2011
Location: The REAL Utopia.
Posts: 9,910
Re: $1.48 to the £ today....this is getting ridiculous
I think the rate of off shoring is going is going to go through the roof in the next few years. It makes perfect economic sense.
Jan 29th 2012, 3:13 pm
#396
BE Enthusiast
Joined: Jul 2011
Location: Limbo
Posts: 759
Re: $1.48 to the £ today....this is getting ridiculous
Jan 29th 2012, 3:26 pm
#397
BE Forum Addict
Joined: Aug 2010
Location: Not Brisbane
Posts: 1,210
Re: $1.48 to the £ today....this is getting ridiculous
india
phillipines
indonesia
ethipia
somalia
eritrea
totally ****** ridiculous, all with the aim of providing "value" to shareholders, most of whom are now being royally shafted in order that they get value for their shareholding.
The only people making out this are the 1%, everyone else is getting screwed.
Jan 29th 2012, 3:49 pm
#398
You sip .... I glug !!!
Joined: Nov 2003
Location: Over the hill!
Posts: 2,790
Re: $1.48 to the £ today....this is getting ridiculous
off shore somewhere else, alot of companies are already leaving India because of the increase in wages there.
india
phillipines
indonesia
ethipia
somalia
eritrea
totally ****** ridiculous, all with the aim of providing "value" to shareholders, most of whom are now being royally shafted in order that they get value for their shareholding.
The only people making out this are the 1%, everyone else is getting screwed.
india
phillipines
indonesia
ethipia
somalia
eritrea
totally ****** ridiculous, all with the aim of providing "value" to shareholders, most of whom are now being royally shafted in order that they get value for their shareholding.
The only people making out this are the 1%, everyone else is getting screwed.
Not really, there is a whole industry out there, employing hundreds of thousands of people who have specialist skills in helping companies transfer manufacturing or processing facilities to new locations (sometimes within the same country, sometimes not) and making sure the new facilities are set up as efficiently and effectively as possible.
So its not just the 1% that benefit but all the people in this industry as well, plus all the allied suppliers and contractors etc.
Jobs have got a lot more mobile in the last 20-30 years but unfortunately many people are generally not quite so mobile or flexible, so they complain about manufacturing / processing jobs disappearing when really its just the location of the job that has moved, not the job itself that has been lost.
Last edited by Vegemite Kids; Jan 29th 2012 at 3:52 pm.
Jan 29th 2012, 3:51 pm
#399
BE Enthusiast
Joined: Jul 2011
Location: Limbo
Posts: 759
Re: $1.48 to the £ today....this is getting ridiculous
off shore somewhere else, alot of companies are already leaving India because of the increase in wages there.
india
phillipines
indonesia
ethipia
somalia
eritrea
totally ****** ridiculous, all with the aim of providing "value" to shareholders, most of whom are now being royally shafted in order that they get value for their shareholding.
The only people making out this are the 1%, everyone else is getting screwed.
india
phillipines
indonesia
ethipia
somalia
eritrea
totally ****** ridiculous, all with the aim of providing "value" to shareholders, most of whom are now being royally shafted in order that they get value for their shareholding.
The only people making out this are the 1%, everyone else is getting screwed.
Maybe inshoring will ultimately be the new offshoring.
Jan 29th 2012, 4:28 pm
#400
BE Forum Addict
Joined: Aug 2010
Location: Not Brisbane
Posts: 1,210
Re: $1.48 to the £ today....this is getting ridiculous
Not really, there is a whole industry out there, employing hundreds of thousands of people who have specialist skills in helping companies transfer manufacturing or processing facilities to new locations (sometimes within the same country, sometimes not) and making sure the new facilities are set up as efficiently and effectively as possible.
So its not just the 1% that benefit but all the people in this industry as well, plus all the allied suppliers and contractors etc.
Jobs have got a lot more mobile in the last 20-30 years but unfortunately many people are generally not quite so mobile or flexible, so they complain about manufacturing / processing jobs disappearing when really its just the location of the job that has moved, not the job itself that has been lost.
So its not just the 1% that benefit but all the people in this industry as well, plus all the allied suppliers and contractors etc.
Jobs have got a lot more mobile in the last 20-30 years but unfortunately many people are generally not quite so mobile or flexible, so they complain about manufacturing / processing jobs disappearing when really its just the location of the job that has moved, not the job itself that has been lost.
The net result is that share prices maybe rise a little, that's about it.
Jan 29th 2012, 4:47 pm
#401
Proudly Deplorable
Joined: May 2003
Location: Alloha snack bar
Posts: 24,246
Jan 29th 2012, 6:18 pm
#402
Banned
Joined: Jan 2011
Location: The REAL Utopia.
Posts: 9,910
Re: $1.48 to the £ today....this is getting ridiculous
The problem is how many workers will want to move with their job when it is relocated to Mumbai ? I would suspect if you asked 1000 workers you would get somewhere in the region of >1% taking the offer.
Jobs have got a lot more mobile in the last 20-30 years but unfortunately many people are generally not quite so mobile or flexible, so they complain about manufacturing / processing jobs disappearing when really its just the location of the job that has moved, not the job itself that has been lost.
Jobs have got a lot more mobile in the last 20-30 years but unfortunately many people are generally not quite so mobile or flexible, so they complain about manufacturing / processing jobs disappearing when really its just the location of the job that has moved, not the job itself that has been lost.
Jan 29th 2012, 8:17 pm
#403
Lost in BE Cyberspace
Joined: Dec 2010
Posts: 14,040
Re: $1.48 to the £ today....this is getting ridiculous
It makes more sense when the youth of western society today believe that many jobs are below them - call centres, cleaning, etc. It only makes sense to offshore it or bring the immigrants in and we can watch the youth battle for the few jobs they are willing to do.
Jan 30th 2012, 7:37 am
#404
BE Enthusiast
Joined: Sep 2004
Location: London - but only until I can afford to move back to Sydney
Posts: 938
Re: $1.48 to the £ today....this is getting ridiculous
http://www.smh.com.au/business/ratin...130-1qpmu.html
Mortgage rates up anyone? Or at best no passed on reductions.
Mortgage rates up anyone? Or at best no passed on reductions.
Jan 30th 2012, 8:34 am
#405
Account Closed
Joined: Jul 2006
Posts: 14,188
Re: $1.48 to the £ today....this is getting ridiculous
http://www.smh.com.au/business/ratin...130-1qpmu.html
Mortgage rates up anyone? Or at best no passed on reductions.
Mortgage rates up anyone? Or at best no passed on reductions.
"Even after the S&P downgrade in November, Australia's big four remain among a handful of the world's highly rated banks"
