Monday, 23 August 2010

Making a mental note

really? I can see how inflation has shot up Mugabe style, as Dale was predicting, after last QE burst

-- Sunny Hundal, arguing for more quantitative easing

I genuinely hope I am wrong and he is right. I reckon we have a year. I don't see Mugabe-style inflation, but I reckon it's definitely going to be visible and really fucking hurt.


Uncle Marvo said...

Yebbut, you wouldn't know because you're only a fucking consultant.

I don't see it. I welcome it, but I don't see it.

Anonymous said...

Maybe that useless twat should get out and about a bit.

Fags are up by 30p on last year and my pint (Staropramen) has gone from £3.24 to £3.74.

Steak's up about 10% but the cunt probably thinks that cows are gods so he eats lentils and nothing else.Fuck your god Sunny, even he thinks you're a cunt. That's why he made you brown instead of white.

thefrollickingmole said...

Your Daily mail was reporting interest rates rising up to around %8 in the next couple of years...

Almost like they were going to fight runaway inflation or something eh??

Real rates, double that??

Kingbingo said...

Money supply is a bastard to get your head around, and despite spending a great deal of time on it cannot claim to be there yet. I have however, done easily enough work to see just how intractable the issues are around measuring ‘the money supply’ as if it was ‘a thing’ that could be sized up. So I’m also bemused to see lefty bloggers toss off pronouncements on the subject.

Almost certainly there are huge pressures in both directions both deflationary and inflationary. Which if you read that Anarchist favourite Rothbard, can be put down to government interfering in our money.

I suspect the days of an ‘inflation number’ are dead. Different asset classes will respond very differently. For example the last 13 years saw minimal CPI as the price of Chinese DVD players fell, but houses tripled in price.

For my own part I am not going to buy a house either until a major correction or for another 10 years during which time I do not expect houses to rise. I’m selling stocks and buying commodities, I’m also buying physical gold and locking it in a safe.

I expect food and energy to get more expensive, I expect the cost of borrowing to creep up, I hope they will not aggressively try and combat that, otherwise the cost of food and energy will go even higher.

Rationalist said...


WTF said...

Anonymous @ 23 Aug 2010 08:27:00

Must be the best (& utterly non-PC) put-down of Sunny ever!

Sunnyhater said...

pwned him.

sixtypoundsaweekcleaner said...

My grocery bill has gone up by about a third (and I like lentils). My lecky bill has gone up by about 10%.

I'm going to have to make some decisions soon about cutting costs and whatever I'm going to do, it's going to hurt.

I don't see our politicians doing the same.

John Demetriou said...

Hundal hasn't the first, tiniest grasp of economics, and he has not credentials in the area. He can fuck off the fucking cunt.

The QE experiment we had was limited and tentative. And yes, it did help to urge up inflation to a degree.

If we carry on with that, as we will do, I believe the effects will make themselves known as Obo suggests.

I, as a saver and not a home owner, will hope for a corresponding rise in interest rates, for if they do not rise then I will definitely be hurt.

Roger Thornhill said...

They say interest rates might go up to 14%. Of course, Labour will manage to trick the army of Useful Idiots into thinking it was the Tories fault. They are right in a way, but conveniently forgetting that it was also, and in the majority, Labour's fault to begin with.