Oh dear: UK more at risk than other major economies of losing top credit rating

[TimberWolf]

BoE rate: 0.50%
LIBOR rate: 4.05% (http://www.swap-rates.com/)



BoE rates totally meaningless... well, that's the rate UK Govt probably borrows from BoE

Totally? Doesn't the BoE rate still influence other lending interests rates, upwards? For example if BoE rate rose to 2%, wouldn't that push LIBOR rates up?

[AtW]

Totally? Doesn't the BoE rate influence other lending interests rates upwards? For example if BoE rate rose to 2%, wouldn't that push LIBOR rates up?

It probably will, the main question is the delta between BoE rate and LIBOR, it is much larger now (in relative terms), than I think it ever was in recent times: so much that BoE rate no longer matters in terms of dropping it, increasing it will probably result in other rates going up.

[centurian]

It probably will, the main question is the delta between BoE rate and LIBOR, it is much larger now (in relative terms), than I think it ever was in recent times: so much that BoE rate no longer matters in terms of dropping it, increasing it will probably result in other rates going up.

So it has an impact then. I'm sure if BoE rates went up to 10% people would be squawking pretty quickly.

It's just that lowering them past a certain point has a decreasing overall effect.

The fact that interest rates can't control every aspect of the economy doesn't mean that BoE rates have zero impact.

[AtW]

So it has an impact then. I'm sure if BoE rates went up to 10% people would be squawking pretty quickly.

They have impact, but not the one they want - you can jack up taxes and things will go real bad, but if you drop them without other factors, then it won't work.

The fact that interest rates can't control every aspect of the economy doesn't mean that BoE rates have zero impact.

They no longer have any impact - events took control out of their hands and as soon as they got rates to near zero they lost it, even printing money does not affect things that much.

[TinTrump]

Catholic spain would have pillaged coastal cities, but then pulled back - vikings have been doing it for centuries, one more invasion would only make locals stronger.

No, no, no. I was enjoying this thread until your knowledge of Vikings went astray. Vikings settled widely, including Britain (the Danelaw) and France, Normandy (check the origin of that word).

HTH

[EternalOptimist]

No, no, no. I was enjoying this thread until your knowledge of Vikings went astray. Vikings settled widely, including Britain (the Danelaw) and France, Normandy (check the origin of that word).

HTH

Sorry to keep the off topic going, but not only is Tin Trum right, he is righter than he knows.
The Vikings actually went through the river systems in Russia and ended up establishing themselves in Byzantium, where they were known as the Varangian guard.

[TinTrump]

I was tempted to add some info about Russia but couldn't recall if it was Vikings or the Rus (Swedish version) who mainly did that. Dredging up stuff I did 20+ years ago.

[AtW]

No, no, no. I was enjoying this thread until your knowledge of Vikings went astray. Vikings settled widely, including Britain (the Danelaw) and France, Normandy (check the origin of that word).

Exactly - they settled eventually, but before that they were invading shores from time to time. They also settled in what later became Russia/Ukraine.

[EternalOptimist]

Exactly - they settled eventually, but before that they were invading shores from time to time. They also settled in what later became Russia/Ukraine.

AtW , you old Viking you. Have you got a hat with horns on it ?

AtW Bluetooth - has a certain ring about it