Do all fixed rates have another 2-3% to drop this year?

[dandan]

Does anyone think fixed rates could drop another 2-3% from their current levels, this year?

[drelly]

No. I believe that the US will have further economic shocks that will put more pressure on overseas borrowing.

[EGU 591]

Yes, five years under 6% by september 1 2009

[Munga]

Yes, five years under 6% by september 1 2009

Now don't you be getting dandan's hopes up - we need to all be conditioning him to accept that he's missed the last train on anything under 7% for 5 years - he will need to wait for the next economic crisis to arrive.

[Dean@Massiveaction]

I think it's reasonably likely that short term rates could stay down for some time. I'm sticking with floating for a bit yet.

[EGU 591]

I only hope dandan agrees with me as he is usually right.

I feel sorry the poor folks who paid out good money in break fees, went floating then were tricked into fixing long term at inflated rates by banks and their cronies.Still that's the herd mentality in action.

[Munga]

I only hope dandan agrees with me as he is usually right.

I feel sorry the poor folks who paid out good money in break fees, went floating then were tricked into fixing long term at inflated rates by banks and their cronies.Still that's the herd mentality in action.

What inflated rate would that be? The 6.5?

Last week dandan and I were both posting that we thought rates would come down from 6.75 fixed for 5 years. The following day the 5 year rate jumped to 7.5 and Dandan promptly removed his posts. Are you really that sure that dandan is usually right? It could be he simply remove his posts when he gets it wrong.

Nothing would make me happier right now if he is right mind you - as I paid out good money in break fees, went floating and missed the 6.5 the 'heard mentality in action' got the benefit of for the next 5 years. Bet they weren't scolding themselves all last weekend for their stupidness like I was.

Oh well, it's just a case of wait and see now isn't it.

[whitt]

I think it's reasonably likely that short term rates could stay down for some time. I'm sticking with floating for a bit yet.

As you are floating, at which point in this interest rates cycle would you be fixing long term Dean?
I see you suggested investors lock in the low rates the other month also.

[EGU 591]

What inflated rate would that be? The 6.5?

Last week dandan and I were both posting that we thought rates would come down from 6.75 fixed for 5 years. The following day the 5 year rate jumped to 7.5 and Dandan promptly removed his posts. Are you really that sure that dandan is usually right? It could be he simply remove his posts when he gets it wrong.

Nothing would make me happier right now if he is right mind you - as I paid out good money in break fees, went floating and missed the 6.5 the 'heard mentality in action' got the benefit of for the next 5 years. Bet they weren't scolding themselves all last weekend for their stupidness like I was.

Oh well, it's just a case of wait and see now isn't it.

Munga, dont scold yourself you followed your instinct and not the herd, trust your instinct wait until september and grab the 6%

[mortgage broker]

Don't forget there is nothing wrong with going half long, half short.

[dandan]

It could be he simply remove his posts when he gets it wrong.

Yes, I seem to be able to remove or edit posts up to about 24hrs after posting, I tried it last week.

[AnnetteS]

What inflated rate would that be? The 6.5?

Last week dandan and I were both posting that we thought rates would come down from 6.75 fixed for 5 years. The following day the 5 year rate jumped to 7.5 and Dandan promptly removed his posts. Are you really that sure that dandan is usually right? It could be he simply remove his posts when he gets it wrong.

Well spotted Munga.

[dandan]

Well spotted Munga.

Yeah Munga that was really well spotted, I do think 5 year rates will fall below 6.75% but how did you know I removed those posts?

[outspoken]

Yes, I seem to be able to remove or edit posts up to about 24hrs after posting, I tried it last week.

Haha, nothing to do with you dandan, but the USGovt has 24 hours to get it right or they just remove their latest plan and set up a new one, despite knowing what they really should do.

[dandan]

Haha, nothing to do with you dandan, but the USGovt has 24 hours to get it right or they just remove their latest plan and set up a new one, despite knowing what they really should do.

I've noticed economists are allowed to report to the media that what happened was in line with their predictions up to 24hrs after the event.

Perhaps they dont know the secret of GMT +2200.