Interest Rates

[Wayne]

^^ yeah you’d think they’d stop the money printing and see if spending continues so businesses can boost their coffers before raising interest rates.

cheers
Donna

Oh, that's right, they have stopped printing money.

[Jeffa]

ASB and ANZ have slightly back tracked on recent views of the economy overheating as delta variant break's out across the developed world, 10 Year US bond yields dumped hard overnight .

I Don't know how bond investors do it but they have been pricing in deflation for a several months now.. almost like it's pre planned or manipulated.

[Frezzinghot]

Oh, that's right, they have stopped [rinting money.

What’s rinting? Is that a new form of renting?

[Jeffa]

What’s rinting? Is that a new form of renting?

Its Malaysian for some weird plant, maybe something about money tree in Malay? My Malaysian dialect not to hot.

[Perry]

The RBNZ will signal negative interest rates around September, to coincide with the bankrupcy and closing of many big & small companies as wage subsidies run out and financial reports are released,they will be bad real bad.
It will lead to a second share market crash worldwide.

Well how'd that prediction fare, O forum Jeffsta? (14 months later)

Prediction date: 21 May 2020

[Jeffa]

Well how'd that prediction fare, O forum Jeffsta? (14 months later)

Prediction date: 21 May 2020

Owee Jeffa got burnt!

[Perry]

Perhaps you'll keep your fingers away from the fire, now?

Most likely not, I suspect.

[Jeffa]

Perhaps you'll keep your fingers away from the fire, now?

Most likely not, I suspect.

I haven't even warmed up yet..

[Perry]

Owee Jeffa got burnt!

Perhaps you'll keep your fingers away from the fire, now?
Most likely not, I suspect.

I haven't even warmed up yet..

Expect more serious (3rd degree?) burns, then.

[Jeffa]

expect more serious (3rd degree?) burns, then.

interest rates going negative -0. 2% by dec 2023..book me in your calendar perry!!

[Perry]

interest rates going negative -0. 2% by dec 2023..book me in your calendar perry!!

Will do. Meantime, buy lots of burn cream. Or book yourself into your local serious burns unit.

I forgot to add: if I live that long.

[Hound]

interest rates going negative -0. 2% by dec 2023..book me in your calendar perry!!

I'm still as bearish as hell about the world (and NZ's) economy. Usually, whenever there's an ongoing worldwide crisis, takes six to eight years to get through it. The pandemic is still set to carry on through the coming Northern Hemisphere winter. After which we still need to pay the piper. We are barely one third of the way through this event.

[Perry]

So what's your guesstimate on the trends for interest rates considering the sabre rattling from the RBNZ et al?

[Hound]

So what's your guesstimate on the trends for interest rates considering the sabre rattling from the RBNZ et al?

Perry, from what I'm aware of history, large scale pandemics/epidemics reduce generally interest rates over time. Major lengthy wars, create inflation in the years that follow. The increases by NZ's majors, might give them room to move for the summer one year specials! Yet to be seen, but the long term downward trend may not be over, as Jeffa seems to suggest.

[Perry]

So then, the nub of it is whether or not the RBNZ sabre-rattling is proven to be just that at the next OCR announcement?