Pound falls to lowest level since pandemic crash

[onthedarkside]

 

Unemployment rise and prospect of new Scottish independence referendum fuel recession fears

 

The pound has fallen to its lowest level against the dollar since the onset of the Covid pandemic amid growing concern over the strength of the British economy.

 

Sterling dropped by more than a cent against the dollar to trade below $1.20 on foreign exchange markets for the first time since March 2020, as City traders reacted to mixed figures from the jobs market and the prospect of a fresh referendum on Scottish independence.

 

The currency also lost ground as the dollar strengthened to a fresh two-decade high in anticipation of the US Federal Reserve raising interest rates on Wednesday to tackle soaring inflation, possibly by as much as 0.75 percentage points. The Fed last raised rates by this amount in 1994.

 

Versus the euro, the pound fell more than 1% to about 86.81p, its lowest level since May last year.

 

(more)

 

https://www.theguardian.com/uk-news/2022/jun/14/pound-falls-to-lowest-level-since-pandemic-crash

 

 

 

[shackleton]

Just have to get used to a lower pound as it could drop further as long as the baht stays over the 40 no problem ???? 

[CharlieH]

Well the baht/pound dropped to barely 42 15 this morning.

[Black arab]

Bank of America compare sterling to the Mexican peso, FX speculates don't like Bodgers government odd policies and uncertainties. If your sending sterling to Thailand then it could be a bumpy ride for a while.

[Chomper Higgot]

1 hour ago, shackleton said:

Just have to get used to a lower pound as it could drop further as long as the baht stays over the 40 no problem ???? 

World food supplies are currently under threat, particularly grains and edible oils.

 

Thailand is a prominent exporter of these food staples.

 

I suggest you plan for the Bht to strengthen.

[superal]

Unemployment rise and prospect of new Scottish independence referendum fuel recession fears 

Above from the main topic but that is not accurate as the UK unemployment is at its lowest for 50 years .  Reasons for the weak pound are 1/ Continuing differences with the E.U. over the Brexit agreement concerning Northern Ireland's border controls which could lead to a trade war between the UK and the E.U.  2/ Rising inflation partly caused by the Ukraine Russian war with gas and oil prices hitting domestic bills with a 54% rise and will be double by October   3/  Low economic growth 4 / Political uncertainty with BJ losing popularity .    GDP has fallen below predictions and a recession is imminent .     Time to by dollars me thinks .   Any idea why the government have not eased revenue at the fuel pumps ?

 

[Chomper Higgot]

4 minutes ago, superal said:

Unemployment rise and prospect of new Scottish independence referendum fuel recession fears 

Above from the main topic but that is not accurate as the UK unemployment is at its lowest for 50 years .  Reasons for the weak pound are 1/ Continuing differences with the E.U. over the Brexit agreement concerning Northern Ireland's border controls which could lead to a trade war between the UK and the E.U.  2/ Rising inflation partly caused by the Ukraine Russian war with gas and oil prices hitting domestic bills with a 54% rise and will be double by October   3/  Low economic growth 4 / Political uncertainty with BJ losing popularity .    GDP has fallen below predictions and a recession is imminent .     Time to by dollars me thinks .   Any idea why the government have not eased revenue at the fuel pumps ?

 

Plus millions of people in work earning low wages and unable to pay for anything beyond absolute essentials, with no excess to drive ‘consumer economy gains’.

 

https://commonslibrary.parliament.uk/research-briefings/cbp-9209/

 

Plus rising personal debts.

 

https://www.moneyexpert.com/news/uk-personal-debt-levels-continue-rise/

[RayC]

1 hour ago, superal said:

Any idea why the government have not eased revenue at the fuel pumps ?

 

Tbf I think that they did cut fuel duty by 5p/ litre in the Spring statement. Also it can be argued that a cut in fuel duty wouldn't help the poorest as they are less likely to own a car.

[superal]

56 minutes ago, Chomper Higgot said:

Plus millions of people in work earning low wages and unable to pay for anything beyond absolute essentials, with no excess to drive ‘consumer economy gains’.

 

https://commonslibrary.parliament.uk/research-briefings/cbp-9209/

 

Plus rising personal debts.

 

https://www.moneyexpert.com/news/uk-personal-debt-levels-continue-rise/

Like the railwaymen on average £40,000 per year and drivers on £60,000 flat per year . Their strike will cause even more problems . 

     The UK seems to be in a real mess and although I once was a BJ supporter it is time for him to be replaced for the good of the country .

[superal]

13 minutes ago, RayC said:

Tbf I think that they did cut fuel duty by 5p/ litre in the Spring statement. Also it can be argued that a cut in fuel duty wouldn't help the poorest as they are less likely to own a car.

True but that 5p did not reach many pumps . I am thinking a temporary 50p cut that would bring down the price of haulage and also the cost of food . The price of a barrel of oil will come down eventually ( maybe within 1 year ) but in the meantime a reduction on fuel revenue is needed in the short time . Richie Sunak is reluctant to do this .

[superal]

On 6/15/2022 at 2:33 PM, shackleton said:

Just have to get used to a lower pound as it could drop further as long as the baht stays over the 40 no problem ???? 

The UK is in recession but Thailand is not much better and the baht is still up there . Pound is forecast to drop for the next year . Scary times for us Brits living in Thailand unless you are banking in the US dollar 

[Chomper Higgot]

43 minutes ago, superal said:

Like the railwaymen on average £40,000 per year and drivers on £60,000 flat per year . Their strike will cause even more problems . 

     The UK seems to be in a real mess and although I once was a BJ supporter it is time for him to be replaced for the good of the country .

Unionized workers earn considerably more than those who are not in a union and I’m all in favour of working people receiving pay levels that enable them to live without welfare subsidies or, as increasing numbers of UK working families now do, relying on food banks.

 

I agree, it’s time for BJ ti be replaced, along with the whole of his government.

 

 

 

[Mac Mickmanus]

1 minute ago, Chomper Higgot said:

Unionized workers earn considerably more than those who are not in a union and I’m all in favour of working people receiving pay levels that enable them to live without welfare subsidies or, as increasing numbers of UK working families now do, relying on food banks.

 

 

I thought that you had spent a lot of time working in the UK building industry .

  If you had, you would have known that constructions workers get paid much more than the Union rates and union members rates

[Chomper Higgot]

6 minutes ago, Mac Mickmanus said:

I thought that you had spent a lot of time working in the UK building industry .

  If you had, you would have known that constructions workers get paid much more than the Union rates and union members rates

https://www.statista.com/statistics/287278/uk-trade-union-wage-premium/

[Mac Mickmanus]

7 minutes ago, Chomper Higgot said:

https://www.statista.com/statistics/287278/uk-trade-union-wage-premium/

You really need to write something, rather than just posting links with no comments .

   What are you trying to say ?

[Chomper Higgot]

34 minutes ago, Mac Mickmanus said:

You really need to write something, rather than just posting links with no comments .

   What are you trying to say ?

I’ve provided a link that demonstrates the statement I made, you know, the one you replied to.

 

Here’s my post again:

 

59 minutes ago, Chomper Higgot said:

Unionized workers earn considerably more than those who are not in a union and I’m all in favour of working people receiving pay levels that enable them to live without welfare subsidies or, as increasing numbers of UK working families now do, relying on food banks.

 

I agree, it’s time for BJ ti be replaced, along with the whole of his government.

 

 

 

And here (again) is the link that demonstrates my statement is correct:

 

https://www.statista.com/statistics/287278/uk-trade-union-wage-premium/

 

Now a question to you if I may:

 

Are you in favour of working people receiving pay levels that enable them to live without welfare subsidies or, as increasing numbers of UK working families now do, relying on food banks?

 

[RayC]

2 hours ago, superal said:

True but that 5p did not reach many pumps . I am thinking a temporary 50p cut that would bring down the price of haulage and also the cost of food . The price of a barrel of oil will come down eventually ( maybe within 1 year ) but in the meantime a reduction on fuel revenue is needed in the short time . Richie Sunak is reluctant to do this .

I'm certainly no Tory supporter but the government really is facing a perfect storm - falling demand but increasing supply costs - and is caught between a rock and hard place with most inflationary factors outside of their control.

 

A reduction in fuel duty would certainly help industry but how much of that reduction in cost would find its' way to the end consumer?

 

Your suggestion amounts - other things being equal - to a +/-5% cut in government revenue which would - according to my back-of-a-fag packet calculations - cost the Exchequer +/-£2-3 billion. A direct subsidy of this magnitude to, say, the poorest 10% of the population might have a greater macro economic impact?

 

In any event, I wouldn't want Sunak's job at this moment.

[Excel]

4 minutes ago, RayC said:

I'm certainly no Tory supporter but the government really is facing a perfect storm - falling demand but increasing supply costs - and is caught between a rock and hard place with most inflationary factors outside of their control.

 

A reduction in fuel duty would certainly help industry but how much of that reduction in cost would find its' way to the end consumer?

 

Your suggestion amounts - other things being equal - to a +/-5% cut in government revenue which would - according to my back-of-a-fag packet calculations - cost the Exchequer +/-£2-3 billion. A direct subsidy of this magnitude to, say, the poorest 10% of the population might have a greater macro economic impact?

 

In any event, I wouldn't want Sunak's job at this moment.

Wouldn't mind his wealth

[baboon]

Ahh, I remember the halcyon days on this fine website when the Brexiteers predicted the GBPeso would rise to at least 50 Baht by the year's end, now we had left. How well did that prediction do?

And which other people is it the fault of that it didn't? 

[Mac Mickmanus]

4 minutes ago, baboon said:

Ahh, I remember the halcyon days on this fine website when the Brexiteers predicted the GBPeso would rise to at least 50 Baht by the year's end, now we had left. How well did that prediction do?

And which other people is it the fault of that it didn't? 

The Pound is still at the same exchange rate as it was five years ago, pre Brexit and the Brexit vote wasn't about getting lots of Baht for peoples pension money in Thailand 

[baboon]

10 minutes ago, Mac Mickmanus said:

The Pound is still at the same exchange rate as it was five years ago, pre Brexit and the Brexit vote wasn't about getting lots of Baht for peoples pension money 

Five years ago. How convenient to forget it falling off a cliff after the referendum of six years ago.

Whose fault was that?

[Mac Mickmanus]

7 minutes ago, baboon said:

Five years ago. How convenient to forget it falling off a cliff after the referendum of six years ago.

Whose fault was that?

Move on , Brexit is off topic and it will get deleted . 

This thread is about the Pound rate from 2019 -2022 .

[baboon]

7 minutes ago, Mac Mickmanus said:

Move on , Brexit is off topic and it will get deleted . 

This thread is about the Pound rate from 2019 -2022 .

But you cited the value of the GBPeso against the Baht of FIVE years ago. Back under your bridge, troll...

[Mac Mickmanus]

4 minutes ago, baboon said:

But you cited the value of the GBPeso against the Baht of FIVE years ago. Back under your bridge, troll...

Yes, I did reply to your post when you mentioned Brexit , but I dont think that should be the subject of this thread and it shouldn't be mentioned again . 

   This thread " The Pounds exchange levels today compared to 2019"

When people keep going on about Brexit for no reason, the posts often get deleted 

[baboon]

3 minutes ago, Mac Mickmanus said:

Yes, I did reply to your post when you mentioned Brexit , but I dont think that should be the subject of this thread and it shouldn't be mentioned again . 

   This thread " The Pounds exchange levels today compared to 2019"

When people keep going on about Brexit for no reason, the posts often get deleted 

Then why did you mention the value of the GBPeso of five years ago?

[Mac Mickmanus]

1 minute ago, baboon said:

Then why did you mention the value of the GBPeso of five years ago?

Replying to your post that mentioned that era 

[superal]

18 hours ago, Mac Mickmanus said:

I thought that you had spent a lot of time working in the UK building industry .

  If you had, you would have known that constructions workers get paid much more than the Union rates and union members rates

Pal of mine is a brickies labourer and on £200 an 8 hour day self employed . Other friends who are skilled welders earn £23-£30 per hour self employed .  Both are non union 

[BritManToo]

11 hours ago, baboon said:

Ahh, I remember the halcyon days on this fine website when the Brexiteers predicted the GBPeso would rise to at least 50 Baht by the year's end, now we had left. How well did that prediction do?

And which other people is it the fault of that it didn't? 

Interesting you pick the GB peso, while ignoring the Canadian, Australian, and NZ peso which are all doing much worse. Brexit has a lot to answer for! 

[superal]

20 minutes ago, BritManToo said:

Interesting you pick the GB peso, while ignoring the Canadian, Australian, and NZ peso which are all doing much worse. Brexit has a lot to answer for! 

Lets face it , the EC nations hated the UK for leaving the EC and have been giving us a hard time since to the extent that BJ is in an untenable position apart from sticking up 2 fingers to the EU and scrapping the agreement but the EU being a huge single market would be a huge loss and so BJ is in a corner . Lets not forget the tough times that this UK government has been through with covid being the most devastating event since WW2 . Unlike the US who just print money and continue to borrow without conscience , BJ wants the £ to be stronger by economic growth and reducing servicing huge borrowings that supported the furlough payments ..  Then we have the Ukraine war which has sent fuel and wheat grain prices soaring with the forecast that things will get worse in the autumn. Antone got a crystal ball ?

[baboon]

1 hour ago, BritManToo said:

Interesting you pick the GB peso, while ignoring the Canadian, Australian, and NZ peso which are all doing much worse. Brexit has a lot to answer for! 

Yes, fancy that. Commenting about the British currency on a thread about the British currency...