xzibit

As long as you don't plan on driving anywhere, you may be ok with £500. If you do plan on driving, just budget in that it costs approx. £25 in petrol to drive 100 miles over here.

I'm not so sure that it has bottomed out yet. I still think 1.50 is a strong possibility. And that's from someone in the UK wanting it to shoot back up so I can change my £ to $.

freebo

The Australian economy is heavily dependant on exporting raw materials to China, any trouble with the Chinese economy will have a big impact on Australias, and on the AUD.

There are several reasons to beleive trouble may be brewing in China

1) Possible trade war with the USA

2) Massive Chinese property bubble, and general inflation concerns

3) Pressure on China to revalue its currency

4) Possible "double dip" recession in the west (USA and Eurozone) which will hurt Chinese exports

5) Misreporting of Chinese financial statistics, alleged systemic corruption

Then just yesterday China daily reports China is likeley to run a trade deficit in March

http://www.chinadaily.com.cn/china/2...nt_9619515.htm


Of course none of the above may actually happen, but I take the forecasts of straight line economic growth for the next 10 years in Australia with a pinch of salt, and note with interest the fact that Australia has among the highest level of personal debt in the developed world.

EvannTel

Never mind chocolate - its the price of beer that matters! £3.50 a pint in my local - no bloody recession in the SW!

Amazulu

Sure, GBP500 is just for when it's not convenient/easy to use a credit card.

The Genie

hehehehehehehe

xzibit

ie, the pub.

As that's about the only place in the UK where I don't use my cards. I even used my card for buying a 12p onion in Somerfields the other day. Cash is so last year. Unfortunately, the pub is the only place that won't accept cards, unless spending over £10.

eugene43

set a tab up then.

xzibit

Now that would just encourage me to have more than one!

TakenThePlunge

And the downsuide to that?

Centurion

I always put my card behind the bar. It helps me to think of drinking for the sake of my airmiles.

EvannTel

Yes, but what if the rate slides back up nearer to 2:1 in the next few months?

I still have UK accounts so just transfer money in there and just use that.

wilf70

Freebo's analysis is right on the ball[corrupt stats' etc]--the question is what will cause the downturn-China or the wests economic woes??

freebo

Funnily enough, I'm just reading about that right now. Its a 12 page report but for those interested its a must read.

http://www.scribd.com/doc/28824145/G...te-Paper-China

wilf70

freebo--thanks for above article;just off to read and consider it.Thanks;the whole economic scene at the moment really worries me;I see a new 1930's hovering just off stage

wilf70

Freebo;thanks for pointer to article;very prescient--the question is;when will the manure hit the fan,rather than if it will.All the optimists[re this housing boom is different and we are in Australia away from your problems]should be forced to read this an then try to write an essay in refutation.Frankly I find our collective economic futures one of stark terror--which may[and I hope I'm wrong]be worse than the thirties and we have to go back much longer to get some 'feel' for the depths of the economic woes we are about to suffer[Germany under the Weimer??]Thanks