The EU debate - Part II

[NSIS]

What Steven referred to about the pension black holes is not just caused by leeches, like Green, it's been caused by the very low rates of return on their usual major investment - fixed income bonds.

Rates have been low for quite some time now and have gone to all time lows since the BoE rate cut. Cutting the rate of return even more.

As a result, pension funds have been forced to look for greater yield elsewhere - which leads me to the rise in the equity markets. Normally pension fund weightings are heavily in favour of fixed income, as it's generally far safer than equities. But the hunt for yield has led many funds to drastically alter these weightings.

 

[NSIS]

On a world stage the stocks value is tied into the value of its currency.
Example Footsie was 6300 before the referendum or 9300 if you chose to price it in dollars.
Today the Footsie is 6800 or 8976 if priced in dollars.

To foreign investors the drop in the pound created an opportunity that they have taken and it is now not far off parity with pre referendum levels, but to anyone investing from abroad they are still worth less today than they previously were.

If you're buying now, especially in € or $ you're getting the stock at a 10%+ discount to the pre Brexit price. Depending on the yield, and future prospects of the stock, that will look attractive to foreign investors. They can then hedge the currency risk in case the pound falls further.

 

[Tobes]

Looks like the Hull ****wit is up early this morning chaps.,..

Busy day in some admin dept of the council mate

His stapler will be working overtime

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[Tobes]

Agree with the phony war, until Brexit happens (terms wise) its a waiting game.

You've just answered your own question. After the initial market shock it's become business as usual again, as nothing has changed yet has it?

Business doesn't just stop. Fortunately consumer confidence is holding up, better than I certainly expected it to, in the short term at least, so that's a good thing. Certainly for my business, which has been unaffected so far.

What matters now is the terms of exit and the free market negotiations. If there is to be a huge negative impact on the economy it'll be when we're faced with a no free market deal. Then the chickens will come home to roost.

 

[Treble]

http://www.theguardian.com/politics...ay-eu-public-opinion-shifts-brexit-tony-blair

Hate him or hate him, he always gets what he wants in the end. Teflon knows.

 

[HRH Custard VC]

http://www.theguardian.com/politics...ay-eu-public-opinion-shifts-brexit-tony-blair

Hate him or hate him, he always gets what he wants in the end. Teflon knows.

He is a nobody now, the UK is leaving the EU, just in what guise will it be.

 

[steveninaster1]

http://graphics.wsj.com/uk-watch/

 

[Treble]

He is a nobody now, the UK is leaving the EU, just in what guise will it be.

Can't stand the bloke but he still works his evil in the background. He's the ultimate politician and spin merchant and is clearly trying to signal to Remainers to play public opinion.

Agree though when we leave it's all about what guise it will be.

 

[Tobes]

He is a nobody now, the UK is leaving the EU, just in what guise will it be.

What he's saying is right though (for once)

As 'Brexit means Brexit' is a meaningless soundbite until the terms of that exit are on the table. The debate should continue, and as he says, there should be ongoing discussion about what is best for the Nation as we reach the point when we're faced with the whatever deal is the best that can be achieved.

 

[NSIS]

Can't stand the bloke but he still works his evil in the background. He's the ultimate politician and spin merchant and is clearly trying to signal to Remainers to play public opinion.

Agree though when we leave it's all about what guise it will be.

I agree about your assessment of Bliar, Trebs. The only better snake oil salesman I ever seen was Bill Clinton.

However, he does have a point. The mood of the U.K. at the time of the vote was to leave. If further evidence is presented of serious negative effects to the UK's future and its economy in the future, then it's quite possible that attitudes could change markedly.

If that mood swing became obvious, why wouldn't any sensible Gvt think again?

 

[NSIS]

What he's saying is right though (for once)

As 'Brexit means Brexit' is a meaningless soundbite until the terms of that exit are on the table. The debate should continue, and as he says, there should be ongoing discussion about what is best for the Nation as we reach the point when we're faced with the whatever deal is the best that can be achieved.

I agree, as I suggested some time ago, Tobes.

I can see no reason why once all negotiations have reached a final standstill, or more likely standoff, that the Gvt should not then say to the country, "we've negotiated the best deal we can get. Here it is, neither side is going to move one inch more"

"Do you still want to do this? Yes or No?"

 

[Star of David Bardsley]

I agree, as I suggested some time ago, Tobes.

I can see no reason why once all negotiations have reached a final standstill, or more likely standoff, that the Gvt should not then say to the country, "we've negotiated the best deal we can get. Here it is, neither side is going to move one inch more"

"Do you still want to do this? Yes or No?"

If they can stall for a year or two, enough Leave voters will have died to swing the balance.

 

[Spurlock]

 

[Spurlock]

Lol still chuckling.

What a thread.

 

[HRH Custard VC]

I agree about your assessment of Bliar, Trebs. The only better snake oil salesman I ever seen was Bill Clinton.

However, he does have a point. The mood of the U.K. at the time of the vote was to leave. If further evidence is presented of serious negative effects to the UK's future and its economy in the future, then it's quite possible that attitudes could change markedly.

If that mood swing became obvious, why wouldn't any sensible Gvt think again?

Because more people voted out and it would be political suicide, lots of Tories and Labour voters voted out, which could switch to UKIP, if that happened. Not what the establishment want.

I can see a compromise of EU immigration to get the single market.

 

[Stan]

The nonsense about it is that the swing vote wasn't about leaving the EU it was about controlling immigration. ****wits like Kustard and Pete don't understand or care about the EU, they just want rid of people they consider to be undesirable.

 

[luvgonzo]

I think your in that bracket Stan.

 

[HRH Custard VC]

The nonsense about it is that the swing vote wasn't about leaving the EU it was about controlling immigration. ****wits like Kustard and Pete don't understand or care about the EU, they just want rid of people they consider to be undesirable.

 

[NSIS]

I think your in that bracket Stan.

.....and I wouldn't normally do this, but it's you're!...

(I read somewhere that you have to include this smilie when saying, I wouldn't normally do this...).

 

[Tobes]

I can see a compromise of EU immigration to get the single market.

The Daily Mail set would go into meltdown.

As would the Mackems and the ever welcoming to foreigners people of Hull.