Funny. I didn't think "EU" when I read it. I thought it was aimed at the people who talk about making the country fairer for "the only just managing" but don't actually do anything about it. The names of the politicians change, but the party doesn't and the result is the same.
Germany bringing back their gold reserves from New York and London as a precaution to the expected collapse of the Euro. Meanwhile Paris riots continue
It's all going to fall down. It's a shame because in principle the EU should have been a good thing but sadly they wanted too much power and didn't give the little guy a voice. I won't be happy if it collapses because that won't be good for us.
I must admit that the name of the islands does rather put me off. Mrs rangercol doesn't get it at all!
I have been out here the last 3 weeks Col. Heading home to the cold tomorrow. The weather has been mostly nice. The odd windy/cool day but most days lovely and sunny. I recommend you bring jumpers/jackets for night time as it can get quite cool. Enjoy.
Labour are parachuting Diana Abbot into Brexit constituencies in the North. Where does Jeremy get his ideas from?
Oslo, are you going to keep posting everytime the pound goes up and down by a point? I don't see the 'point' It was going up and down long before the Brexit vote. Maybe you could post about today's unemployment figures or the UK wage growth... That is actually some positive news.
Rolls Royce posted a £4.6bn loss for 2016, most of which was down to the weakening pound. Accounting rules mean Rolls was forced to write down the value of its currency hedges – which are worth more than £30bn – to reflect sterling’s slump. The pound has lost almost a fifth of its value against the dollar since Britain voted to leave the EU last June. Rolls hedges billions of pounds of cash to protect itself against currency fluctuations because deals in the aerospace industry are conducted in dollars. https://www.theguardian.com/busines...in-its-history-after-settling-bribery-charges
As an aside re the Euro and EU it would seem that the brown stuff would really hit the fan if Marie La Pen wins the French election later this year as she is threatening to pull France out of the Euro in a very short space of time thereafter and France's debt is eyewatering and makes the debts of original "PIIGS" Portugal, Ireland, Italy, Greece & Spain look like small change. That is worrying.......
No offence to this article but something fishy is going on in this article. Firstly, if they were properly FX hedged, they shouldn't suffer any profit and loss because of FX, as the whole point of the hedge is to guarantee your income. Secondly, their revenue is in USD and their costs in GBP, that means an increase in the strenght of USD should mean more income when they convert it back to GBP (their reporting currency). I don't know their business well enough to say that GBP getting hit hasn't caused their costs to increase because of raw materials which may or may not be from abroad, but to purely say that its FX hedges are the cause sounds like they have gambled on the GBP getting stronger, rather than hedged their future income correctly or they are using some creative accounting to show losses
... add the real uncertainties of the Dutch and German elections coming up, and it's a PIIGS ear. In the Brexit negotiations, Theresa may be dealing with Marine, Geert and God-knows-who in Germany. I struggle to recall a more unsettled time in international politics.
Yes, I must admit my first thought was 'pretty bad hedging then'. I suppose they must sell dollars forward which means they are not getting the benefit that they would otherwise have had, but why this should result in such losses I don't understand. Can any of our FX gurus explain this?
