Sterling in freefall
Oct 6th 2010, 12:35 pm
#31
Family man
Joined: Nov 2007
Location: Playa Flamenca, Orihuela Costa
Posts: 542
Re: Sterling in freefall
[QUOTE=cricketman;8899422][QUOTE=CBANDY;8899341] The worlds economy relies on infinite growth which is not possible with finite rescources
Yes that's the problem, the whole concept of banking is a con!
The other day, I learnt how banks come up with the money to give you a loan or mortgage. They basically type it into their computer and there it is in your account in exchange for your signature i.e. they create it from nowhere! I used to wrongly think that the bank must have the loan they gave you as part of their assets e.g. savings or bonds etc, but no, its just invented!
No wonder the banks were giving away as many loans as possible. It was quite literally money for nothing. While the working population have to slave away to pay the loans back.
For me the concept is nothing short of criminal and immoral. I'm thinking of inventing an alternative online currency now where you can trade for goods and not involve the banks or the tax system
As they say, debt is wealth these days
And debt is also slavery to the banks.
The world economy is the biggest pyramid scheme ever.
Yes that's the problem, the whole concept of banking is a con!
The other day, I learnt how banks come up with the money to give you a loan or mortgage. They basically type it into their computer and there it is in your account in exchange for your signature i.e. they create it from nowhere! I used to wrongly think that the bank must have the loan they gave you as part of their assets e.g. savings or bonds etc, but no, its just invented!
No wonder the banks were giving away as many loans as possible. It was quite literally money for nothing. While the working population have to slave away to pay the loans back.
For me the concept is nothing short of criminal and immoral. I'm thinking of inventing an alternative online currency now where you can trade for goods and not involve the banks or the tax system
As they say, debt is wealth these days
And debt is also slavery to the banks.
Oct 6th 2010, 2:20 pm
#32
BE Enthusiast
Joined: Oct 2006
Posts: 443
Re: Sterling in freefall
[QUOTE=cricketman;8899422]
Not quite, it debits or credits various other machines with ones and noughts.
Now you know have they felt when the UK went off the gold standard and people received an IOU from the Bank of England.
Jim
Now you know have they felt when the UK went off the gold standard and people received an IOU from the Bank of England.
Jim
Oct 6th 2010, 2:53 pm
#33
BE Enthusiast
Joined: Feb 2009
Posts: 483
Re: Sterling in freefall
[QUOTE=cricketman;8899422][QUOTE=CBANDY;8899341] The worlds economy relies on infinite growth which is not possible with finite rescources
Yes that's the problem, the whole concept of banking is a con!
The other day, I learnt how banks come up with the money to give you a loan or mortgage. They basically type it into their computer and there it is in your account in exchange for your signature i.e. they create it from nowhere! I used to wrongly think that the bank must have the loan they gave you as part of their assets e.g. savings or bonds etc, but no, its just invented!
No wonder the banks were giving away as many loans as possible. It was quite literally money for nothing. While the working population have to slave away to pay the loans back.
For me the concept is nothing short of criminal and immoral. I'm thinking of inventing an alternative online currency now where you can trade for goods and not involve the banks or the tax system
As they say, debt is wealth these days
And debt is also slavery to the banks.
No, this is not how banks work.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
Yes that's the problem, the whole concept of banking is a con!
The other day, I learnt how banks come up with the money to give you a loan or mortgage. They basically type it into their computer and there it is in your account in exchange for your signature i.e. they create it from nowhere! I used to wrongly think that the bank must have the loan they gave you as part of their assets e.g. savings or bonds etc, but no, its just invented!
No wonder the banks were giving away as many loans as possible. It was quite literally money for nothing. While the working population have to slave away to pay the loans back.
For me the concept is nothing short of criminal and immoral. I'm thinking of inventing an alternative online currency now where you can trade for goods and not involve the banks or the tax system
As they say, debt is wealth these days
And debt is also slavery to the banks.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
Oct 6th 2010, 3:25 pm
#34
Lost in BE Cyberspace
Joined: Apr 2009
Posts: 7,749
Re: Sterling in freefall
I'm not saying everything uploaded onto Youtube is correct, but this is enlightening and convincing...
http://www.youtube.com/watch?v=vVkFb...eature=related
Oct 6th 2010, 3:31 pm
#35
Family man
Joined: Nov 2007
Location: Playa Flamenca, Orihuela Costa
Posts: 542
Re: Sterling in freefall
[QUOTE=frigilianafreddy;8899767][QUOTE=cricketman;8899422]
So when the government borrows from the bank of england, who print the money, at interest. Where does the money come from to pay back the bank of england interest? Its the exact same in the U.S. with the federal reserve. There is never enough money in the system to pay all the interest. Remember, one pound [U]sterling[U] used to be the same value as a pound of sterling silver. Nowadays money is actually worthless. Its value set by energy prices, ie.oil, and who in the world controls most of that? Remember the oil shock of 2008? Expect lots more and worse. I predict $200 oil by 2018. And thats being optomistic.
The worlds economy relies on infinite growth which is not possible with finite rescources
No, this is not how banks work.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
No, this is not how banks work.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
Oct 6th 2010, 3:39 pm
#36
Family man
Joined: Nov 2007
Location: Playa Flamenca, Orihuela Costa
Posts: 542
Re: Sterling in freefall
http://www.energybulletin.net/node/51712
Read this from the post carbon institute. Some sobering thoughts.
Read this from the post carbon institute. Some sobering thoughts.
Oct 6th 2010, 3:41 pm
#37
BE Enthusiast
Joined: Jan 2010
Posts: 439
Re: Sterling in freefall
[QUOTE=frigilianafreddy;8899767][QUOTE=cricketman;8899422]
The government require the banks to hold a reserve, the rest can be lent out.
This is a US example but applies to UK although the reserve requirements may be different: http://money.howstuffworks.com/perso...king/bank1.htm
Not only that but thay can also borrow money at cheaper than they can lend out.
Sterling has been on a run up in recent weeks/months, it's just that the euro has also been. We are just about at a critical point in the next few days/weeks.
The worlds economy relies on infinite growth which is not possible with finite rescources
No, this is not how banks work.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
No, this is not how banks work.
They borrow at one rate (what they pay on your deposits and the rate from other banks.)
Then they lend it to you. They can borrow at less than 2% at the moment and many mortgages cost over 4%. Very good business.
And not one conjured up through tapping out numbers on keyboards.
This is a US example but applies to UK although the reserve requirements may be different: http://money.howstuffworks.com/perso...king/bank1.htm
Not only that but thay can also borrow money at cheaper than they can lend out.
Sterling has been on a run up in recent weeks/months, it's just that the euro has also been. We are just about at a critical point in the next few days/weeks.
Oct 6th 2010, 3:48 pm
#38
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Thread Starter
Joined: Aug 2007
Location: Los Martinez
Posts: 858
Re: Sterling in freefall
The £ is rising sharply against the $ but falling rapidly against the €. That should tell you that the € is spiralling out of control, I can't understand why the eurobanks are crying out for other nations to help reign in currency rises, when they obviously cannot control their own. Yep the € is going skyhigh against other currencies, but what is that going to do for their own manufacturing deficit?
Oct 6th 2010, 4:11 pm
#39
Lost in BE Cyberspace
Joined: Apr 2009
Posts: 7,749
Re: Sterling in freefall
The £ is rising sharply against the $ but falling rapidly against the €. That should tell you that the € is spiralling out of control, I can't understand why the eurobanks are crying out for other nations to help reign in currency rises, when they obviously cannot control their own. Yep the € is going skyhigh against other currencies, but what is that going to do for their own manufacturing deficit?
Most of exports from Euro-zone countries are to other Euro-zone countries so that wont affect them. Or they are for premium products (think German manufacturing) that isnt so price sensitive
Oct 6th 2010, 4:21 pm
#40
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Joined: Jan 2010
Posts: 439
Re: Sterling in freefall
I think you've got the analysis upside-down, for me, that means the $ is on the run
Most of exports from Euro-zone countries are to other Euro-zone countries so that wont affect them. Or they are for premium products (think German manufacturing) that isnt so price sensitive
Most of exports from Euro-zone countries are to other Euro-zone countries so that wont affect them. Or they are for premium products (think German manufacturing) that isnt so price sensitive
The EUR and £ are caught up in the middle to some extent.
Oct 6th 2010, 4:31 pm
#41
Joined: Jun 2006
Location: Granada Costa
Posts: 10,908
Re: Sterling in freefall
Everyone is selling USD and the only currency they are buying is EUR and GBP - the YEN is likely to devalue so that's not a good deal.
Unfortunately the EUR is more popular than the GBP as a safe currency so the majority of the buying is going to the EUR - as a result the GBP/EUR rate is suffering even though it is doing well against the USD.
Oct 6th 2010, 6:21 pm
#42
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Joined: Oct 2007
Posts: 446
Re: Sterling in freefall
Well I can vouch that they do deliver at that price. Not used that particular company but have experience of Crown Currency who are similar and offering 1.23 today for in 31-50 days.
they do have your money for a month. Perhaps they can earn something with it. Considering the size of the company they could have many millions of other peoples money on deposit all the time. Delivery in cash by post is a bit scary for large sums.
they do have your money for a month. Perhaps they can earn something with it. Considering the size of the company they could have many millions of other peoples money on deposit all the time. Delivery in cash by post is a bit scary for large sums.
http://www.thisismoney.co.uk/bargain...n_page_id=1093
Oct 6th 2010, 6:32 pm
#43
Banned
Joined: Dec 2006
Location: Living in a good place
Posts: 8,824
Re: Sterling in freefall
Yeah. and I bet they were one of the sites recommending this company recently!
Pound to Euro 1.149 on the news....demonstrates what the "experts" knew when they were predicting 1.25 to 1.30 by Autumn
Pound to Euro 1.149 on the news....demonstrates what the "experts" knew when they were predicting 1.25 to 1.30 by Autumn
Oct 6th 2010, 6:38 pm
#44
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Joined: Jan 2010
Posts: 439
Re: Sterling in freefall
"Experts" are simply trying to promote their own hedge funds. If they get lucky on TV with their call, think how much money gets funneled into their hedge fund all of a sudden because people think they are experts.
Oct 6th 2010, 6:46 pm
#45
Not Banned (yet)
Joined: Aug 2008
Location: Madrid
Posts: 6,400
Re: Sterling in freefall
It's actually at a critical point right now - next few weeks will tell the tale.
"Experts" are simply trying to promote their own hedge funds. If they get lucky on TV with their call, think how much money gets funneled into their hedge fund all of a sudden because people think they are experts.
"Experts" are simply trying to promote their own hedge funds. If they get lucky on TV with their call, think how much money gets funneled into their hedge fund all of a sudden because people think they are experts.
To be fair to them, the Lib Dems are involved too, so it's probably Cleggy's fault! 