Say Bye Bye To Sterling

[12DrinkMore]

Oh sh!t, they've done it

http://www.timesonline.co.uk/tol/money/inv...?Submitted=true

and the Times reporting it as though it is great news and time to buy in as well.

This is the Great British GBP Printing press starting up.

Only 1,000 Quid per Brit, but probably just the beginning.

Only one way now.... and that's down and down.

Edited January 27, 2009 by 12DrinkMore

[Orac]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

I am a touch confused here PP, could you clarify as you appear to be saying that you bought sterling at a high of 2.4 ?? to take advantage of the 3.2 % rate

[Naam]

Well the interest income I get on my US$ is 0.00% at the moment whereas I get 3.40% on the GBP.

So guess where all my US$ are going? Yes to GBP accounts where I'm also making 32% return on the excahnge rate 'cos I bought them at the high.

So I'm getting better interest on the GBP and a capital gain by buying them compared to the US$

? ? ? ?

Sorry, you're right, it's more like 50% capital gain.

don't worry my friend. small maths problems are not life endangering. i do hope you are feeling alright otherwise? regular pulse? average body temperature? no breathlessness?

Quite fine old chap, thanks for asking. You a doc?

not a medical one. my advice is based on similar experiences when my maths used to fail me. it was never really dangerous but in my case the culprit was opening the second bottle of portwine

[PattayaParent]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

I am a touch confused here PP, could you clarify as you appear to be saying that you bought sterling at a high of 2.4 ?? to take advantage of the 3.2 % rate

Sorry I was responding to Enquealstarion and his 'lifetime' range.

It was 2.4 in 1982 when I first learn the buy it high and sell it low principle.

The high it got to this time round was about 2.111

[Asmerom]

well, 1 British Pound is sitting at rate of $1.3795 (as of Friday Jan 23) and if support of $1.36 to 1 British Pound does not hold, parity with the $ will be next support (which means $1US = 1 British Pound)

My question is :

Should I withdraw a few thousands of £ sterling out of my Savings Accounts in the UK and bring it over here to invest in K-Treasury at my Kasikorn Bank?

Any serious advice would be most welcome as I'm confused about the sharply differing opinions about the Thai Economy.If the baht is about to crash then it will be foolish to do as I'm planning.

[Soutpeel]

Should I withdraw a few thousands of £ sterling out of my Savings Accounts in the UK and bring it over here to invest in K-Treasury at my Kasikorn Bank?

Any serious advice would be most welcome as I'm confused about the sharply differing opinions about the Thai Economy.If the baht is about to crash then it will be foolish to do as I'm planning.

The problem is.....nobody knows what will happen....advice from a high flying financial guy these days is worth about as much as the tea girls advice...

If I was you I would just sit on your GBP for present......will the baht take a drop....I personally believe it will...will it "crash" most likely not....The Thai goverment needs to get the economy moving again and with the THB the way it is exports are taking a beating so believe they will need to devalue the baht to make thai exports competative..

[Orac]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

I am a touch confused here PP, could you clarify as you appear to be saying that you bought sterling at a high of 2.4 ?? to take advantage of the 3.2 % rate

Sorry I was responding to Enquealstarion and his 'lifetime' range.

It was 2.4 in 1982 when I first learn the buy it high and sell it low principle.

The high it got to this time round was about 2.111

Sorry PP but still struggling to understand - surely you would buy low and sell high?

[bangkokrick]

GBP rallied and now stands at just over 50, so just a temporary glich.

Oh you prophets of doom!

Cheers, Rick

[Chaimai]

Sorry PP but still struggling to understand - surely you would buy low and sell high?

Every plus has a minus - it is a question of perspective.

From a Sterling base you would buy the dollar 'high' at 2.11 and sell 'low' at, say 1.35 thereby getting far more pounds than you used for the purchase.

Of course, to an American the dollar would be 'low/high' in this situation.

You are also obviously right because you are buying low with less Sterling and selling high to increase your Sterling.

Clear as mud - chai mai ???

[bingobongo]

now now, no need to act like petulant children,

the 1 GBP to $US1.36 held and viola it bounced, $US 1.36 is support, but once broken it will go down faster than a bargirl on a farang in midlife crisis

you must learn patience children, just as the SET fell from 800 to 400, it will happen

say bye bye to interest income

The Bank of England is expected to cut the Bank rate again next Thursday - by half a point to 1 per cent - with some economists saying it could fall to zero soon.

http://www.investorschronicle.co.uk/Market...all-to-zero.jsp

Edited January 28, 2009 by bingobongo

[jubby]

I saw a headline on my MY YAHOO home page in the news section yesterday which I didn't bother to read but it said something like.

IMF says UK will be the worst Hit Developed Nation. Its not something thats surprising but I did think what about Iceland !?

Anyway, I don't know for sure but I suspect it'll have a negative impact on our beloved currency unless its already factored in.

[PattayaParent]

now now, no need to act like petulant children,

the 1 GBP to $US1.36 held and viola it bounced, $US 1.36 is support, but once broken it will go down faster than a bargirl on a farang in midlife crisis

you must learn patience children, just as the SET fell from 800 to 400, it will happen

say bye bye to interest income

The Bank of England is expected to cut the Bank rate again next Thursday - by half a point to 1 per cent - with some economists saying it could fall to zero soon.

http://www.investorschronicle.co.uk/Market...all-to-zero.jsp

It's already happened on some types of accounts.

[mommysboy]

I saw a headline on my MY YAHOO home page in the news section yesterday which I didn't bother to read but it said something like.

IMF says UK will be the worst Hit Developed Nation. Its not something thats surprising but I did think what about Iceland !?

Anyway, I don't know for sure but I suspect it'll have a negative impact on our beloved currency unless its already factored in.

This headline keeps getting wheeled out. I think it should read "worst hit of G7", and yes the story often neglects the fact that we are talking marginal differences and that the rest of the world is in a slump too.

In fact UK will be better placed for recovery than much of Euro zone. Ireland, Spain and Portugal are in trouble and major exporters like Germany are experiencing recessions that are nearly as bad as UK.

[ace]

While Sterling is currently fair to low valued against the dollar & euro there is a risk of systemic failure to be aware of.

Then there's the inflation to come, although it is hard to figure a major currency that will not inflate before too long.

[desertrat]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

do you mean "two and sixpence"?

[PattayaParent]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

do you mean "two and sixpence"?

Now you're showing your age.

Not surprising though, my Dad was with Monty too.

[bingobongo]

is this really a surprise? i think not...............

Bank of England cuts to low of 1 percent while European Central Bank stands pat at 2 percent

http://finance.yahoo.com/news/Bank-of-Engl...f-14261793.html

[Naam]

and neither is it a surprise that the Pound (contrary to your prophecies) strengthened.

[Naam]

well, 1 British Pound is sitting at rate of $1.3795 (as of Friday Jan 23) and if support of $1.36 to 1 British Pound does not hold, parity with the $ will be next support (which means $1US = 1 British Pound)

and for those relying on interest income, well the attached chart should help you prepare accordingly, the double whammy of weakening pound with no return will cause much pain

and yes LOS will feel the effect in terms of tourist arrivals/retiring europeans dependent on interest income/ and exports to europe

dàmn he is good!

Edited February 9, 2009 by Naam

[chiang mai]

is this really a surprise? i think not...............

Bank of England cuts to low of 1 percent while European Central Bank stands pat at 2 percent

http://finance.yahoo.com/news/Bank-of-Engl...f-14261793.html

Do you not like Sterling BB? Sterling is good, Sterling wants to be your friend, reach out a little BB, just try!

Anyway, 1.47 today, I suppose that's going down but only if you stand on your head all day. Interest income still not looking too bad either at 3.35% onshore and Nationwide offshore at 4.5%, could be a lot worse.

[kevkev1888]

is this really a surprise? i think not...............

Bank of England cuts to low of 1 percent while European Central Bank stands pat at 2 percent

http://finance.yahoo.com/news/Bank-of-Engl...f-14261793.html

Do you not like Sterling BB? Sterling is good, Sterling wants to be your friend, reach out a little BB, just try!

Anyway, 1.47 today, I suppose that's going down but only if you stand on your head all day. Interest income still not looking too bad either at 3.35% onshore and Nationwide offshore at 4.5%, could be a lot worse.

Nationwide international now only 3.25%

[euca]

Or more accurately 1.38 and 2.4.

Unless your as old as me Dad and still call a half crown a half dollar????

I am a touch confused here PP, could you clarify as you appear to be saying that you bought sterling at a high of 2.4 ?? to take advantage of the 3.2 % rate

Sorry I was responding to Enquealstarion and his 'lifetime' range.

It was 2.4 in 1982 when I first learn the buy it high and sell it low principle.

The high it got to this time round was about 2.111

Are you quite sure about that, PP? Now, if you'd said 1952 I'd agree and any time up to the Wilson devaluation of, er, 1966-ish. To 2.20, I think; the 'pound in your pocket,' comes to mind.

I well remember 1982 and the pound had sunk to near parity - I do remember USD1.03/GBP1.00. It was our inheritance under Thatcher from the Wilson/Callaghan years - well, I'll be..., it's just happened again.

Actually, I still call 2/6d half-a-dollar but then, it was when I were a lad, or so my father told me, I never saw one, just after The War.

yours, Euca.

Edited February 28, 2009 by euca