Pound drops to lowest level since 1985

[SheungWan]

Just being reported in the FT that the UK is 'looking into' continuing paying into the EU budget in order to retain single market access and passporting rights... being discussed in the UK cabinet. This 'announcement' needs to be viewed in the context of earlier rumours concerning Philip Hammond's threat to resign. Watch for opening Asian markets on any impact on sterling. If the story has legs then a potential bounce.

[MJP]

1 hour ago, SheungWan said:

Just being reported in the FT that the UK is 'looking into' continuing paying into the EU budget in order to retain single market access and passporting rights... being discussed in the UK cabinet. This 'announcement' needs to be viewed in the context of earlier rumours concerning Philip Hammond's threat to resign. Watch for opening Asian markets on any impact on sterling. If the story has legs then a potential bounce.

 

US sells more to the EU than the UK does. Does the US pay to be in "the single market"?

 

Surely it's better to pay-as-you-go, i.e., pay the tariffs on what you do export to the EU.

Edited October 16, 2016 by MJP

[Grouse]

28 minutes ago, MJP said:

 

US sells more to the EU than the UK does. Does the US pay to be in "the single market"?

 

Surely it's better to pay-as-you-go, i.e., pay the tariffs on what you do export to the EU.

 

Foreign direct investment is key

 

Why build your new plant in UK if your product attracts 10% duty when exported to EU?

[MJP]

15 minutes ago, Grouse said:

 

Foreign direct investment is key

 

Why build your new plant in UK if your product attracts 10% duty when exported to EU?

 

Grousey, I'm not against it, just trying to understand why the UK is so special when it comes to this.

 

Since we import double what we export. Why not use the import tariffs imposed on the imports to subsidise the export tariffs charged? Or is this very naughty?

[seedy]

Flaming post Removed. Keep the Personal Attacks off this Forum, or be Removed from it.

[Orac]

 
Grousey, I'm not against it, just trying to understand why the UK is so special when it comes to this.
 
Since we import double what we export. Why not use the import tariffs imposed on the imports to subsidise the export tariffs charged? Or is this very naughty?

Very naughty - other countries would impose anti dumping duties and would make negotiating free trade deals very difficult.

[cumgranosalum]

7 hours ago, Khun Han said:

 

Buttonwood describes itself as a blog, and you're arguing that it isn't one? That's an, er, interesting line of argumentation .

 

Anyway, from the Buttonwood column/blog/whatever on 27 June:

 

http://www.economist.com/blogs/buttonwood/2016/06/markets-after-referendum

 

According to Buttonwood, we're supposed to be in recession now. We're not.

 

I don't know about anybody else, but when someone gets one major prediction wrong, I tend to take their next one with a large pinch of salt.

You realise that debating if something is a "blog" - isn't actually a debate? 

 

if you discuss the information / opinion put forward, that would be a debate.

 

Edited October 16, 2016 by cumgranosalum

[chiang mai]

1 hour ago, MJP said:

 

Grousey, I'm not against it, just trying to understand why the UK is so special when it comes to this.

 

Since we import double what we export. Why not use the import tariffs imposed on the imports to subsidise the export tariffs charged? Or is this very naughty?

 

"trying to understand why the UK is so special when it comes to this".

 

I think the answer is that we might have little choice in the matter, if we want to retain existing EU business and rights. It's a club where we are now asking what the price of admission is and just because the US gets free membership doesn't mean that we will.

 

And before somebody gets all excited and reminds me that EU countries import large amounts of goods from the UK, those countries are not the ones that are leaving the club and want back in (for trade and passporting purposes only). And now that I've written that and read through what I wrote, the whole approach lacks any credibility on the part of the EU, why would they even begin to allow something like that. What it means is that countries can buy into the EU for trade purposes only and not be encumbered by the parts of EU legislation and government they don't want, which begets the question, why would all other EU countries not do the same!

Edited October 17, 2016 by chiang mai
to clarify EU business

[AlexRich]

There is strong incentive to offer little to the UK as an easy ride for the UK would encourage other members to seek to "have their cake and eat it", which would damage the EU ... that outweighs any trade impact.

[chiang mai]

I simply have to post this here because it's a prime example of where many Brexit types are getting their "facts" from:

 

The headline from TODAY reads, "Confidence in Britain at five year HIGH after Brexit in slap in the face to Remoaners", I ask you first off, how divisionary is that for a headline!

 

It then says: "UK consumer confidence has shrugged off Brexit jitters to hit a five-year high, a survey shows". "Deloitte’s latest Consumer Tracker showed that confidence recovered to a reading of minus five per cent for the three months to September, compared with minus eight per cent in the second quarter. It not only marks a five-year high, but the largest quarterly rise in 18 months. The survey polled some 3,000 consumers from September 16 to 18 and accounted for key indicators including job security, inflation and spending on essentials and discretionary items". Well OK, indeed the index has improved but it's still at -5! And the survey was conducted when GBP/USD was at 1.32, just before the fall of the Pound which simply invalidates all the results, don't ya think DE!

 

But then it says: " Consumers are benefiting from favourable tailwinds, including low inflation, low unemployment and relatively high disposable incomes.”  Low inflation the man said and this from Deloittes the accountancy firm. I used to work for Deloittes so I know they aren't always the sharpest knives in the drawer but it looks like they're well matched with DE editing staff!

 

http://www.express.co.uk/finance/city/721845/Confidence-consumer-UK-Britain-HIGH-Brexit-retail-business-economy

[ilostmypassword]

.

Edited October 17, 2016 by ilostmypassword

[ilostmypassword]

2 hours ago, MJP said:

 

US sells more to the EU than the UK does. Does the US pay to be in "the single market"?

 

Surely it's better to pay-as-you-go, i.e., pay the tariffs on what you do export to the EU.

The US economy is 6 times bigger than the UK economy.  But it exports only about 60% more to EU nations (excepting the UK).  So for the UK, EU trade is far, far more important.

[nontabury]

8 hours ago, AlexRich said:

 

It was a valid point, nothing to be embarrassed about. Take WPP, the biggest advertising company in the world. They are not pulling out of the UK, but their CEO did say that they will invest more in Europe and less in the UK than they would have done before the vote. J P Morgan will not quit the UK, but there will be less UK jobs than before as jobs will transfer to Europe. Roll that scenario out amongst major corporations and the UK will lose out.

 

No one on any TV thread on this subject who supports remaining in the UK predicted the wide scale collapse of the UK, the point is simply that the UK will be a less attractive place for investment for companies targeting the 500m plus European market ... the UK will not flourish on the outside the way that it has done in the past within the EU ... but let's see what the three fools (Boris, Davis and Fox) can come up with - and that's if they last in their positions.

 

Any idea how long the EU will exist?

[ilostmypassword]

1 minute ago, nontabury said:

 

Any idea how long the EU will exist?

I think, and hope, that the Euro is doomed. It was a terrible idea.   But that's not the same thing as the EU. 

[AlexRich]

24 minutes ago, nontabury said:

 

Any idea how long the EU will exist?

 

It's a common theme amongst Brexit supporters ... the disintegration of the EU. The Euro currency may well undergo some change as it doesn't function well (albeit the market likes it a great deal more than GBP), but the EU, as in the single market is unlikely to break up ... the free trade zone works well and the UK has flourished as part of it. I wouldn't hold my breath if I were you ... every economic zone on the world has gone through difficult times, and the EU is no different ... this too shall pass. 

 

 

 

[i claudius]

52 minutes ago, AlexRich said:

 

It's a common theme amongst Brexit supporters ... the disintegration of the EU. The Euro currency may well undergo some change as it doesn't function well (albeit the market likes it a great deal more than GBP), but the EU, as in the single market is unlikely to break up ... the free trade zone works well and the UK has flourished as part of it. I wouldn't hold my breath if I were you ... every economic zone on the world has gone through difficult times, and the EU is no different ... this too shall pass. 

 

 

 

 

I would have once agreed with you ,but now things are changing at a very fast rate , what will break up the E.U is the millions of economic migrants that are making their way to the west as their lands implode , This is not a racist rant , its just facts ,the people that are coming are not going to help the west and become "good" citizens , I have been in many of their lands and to be blunt they live like animals , they are just importing it and the population of <Italy Greece , Germany , Sweden etc etc , will not stand for it .this is what will destroy the E.U .

[NanLaew]

5 minutes ago, i claudius said:

 

...This is not a racist rant , its just facts ..., I have been in many of their lands and to be blunt they live like animals , ...

So, are you integrating into Thai society and embracing the culture better than you did in these other, terrible, blighted lands?

 

There's a whole world of difference between the Somali goat herd and the Afghan engineer but carry on using the broad brushes eh?

[Grouse]

53 minutes ago, nontabury said:

 

Any idea how long the EU will exist?

 

longer than you.....

[nontabury]

6 hours ago, SheungWan said:

Just being reported in the FT that the UK is 'looking into' continuing paying into the EU budget in order to retain single market access and passporting rights... being discussed in the UK cabinet. This 'announcement' needs to be viewed in the context of earlier rumours concerning Philip Hammond's threat to resign. Watch for opening Asian markets on any impact on sterling. If the story has legs then a potential bounce.

 

In the run -up to the referendum, Hammond along with May were remainers. So no surprise there.

 

 

 

Edited October 17, 2016 by Rimmer
over large destrying the formatting

[i claudius]

1 hour ago, NanLaew said:

So, are you integrating into Thai society and embracing the culture better than you did in these other, terrible, blighted lands?

 

There's a whole world of difference between the Somali goat herd and the Afghan engineer but carry on using the broad brushes eh?

 

Pity it mainly Somali goat herders that are coming to the west not Afghan engineers isnt it?

but hey keep waving the"refuge welcome" placards and crying along with Lilly, you are in the minority by 1000 to one ,

[chiang mai]

11 minutes ago, i claudius said:

 

Pity it mainly Somali goat herders that are coming to the west not Afghan engineers isnt it?

but hey keep waving the"refuge welcome" placards and crying along with Lilly, you are in the minority by 1000 to one ,

 

Where's your proof that this is so?

[Grouse]

Nice quip from Hitchins:

 

"The UK is moving from a position of being half in the EU to a position where we are half out of the EU"

 

Just to lighten things!

[Scott]

Oversized graphics have been removed.  

[KarenBravo]

7 minutes ago, Grouse said:

Nice quip from Hitchins:

 

"The UK is moving from a position of being half in the EU to a position where we are half out of the EU"

 

Just to lighten things!

 

Christopher Hitchens?

He's dead.

[chiang mai]

10 minutes ago, KarenBravo said:

 

Christopher Hitchens?

He's dead.

 

Peter Hitchens.

[KarenBravo]

2 minutes ago, chiang mai said:

 

Peter Hitchens.

 

Oh, right. His less intellectual and religious brother.

Sorry, doesn't have the same credibility as his late, dearly-missed brother. 

[Grouse]

8 minutes ago, KarenBravo said:

 

Oh, right. His less intellectual and religious brother.

Sorry, doesn't have the same credibility as his late, dearly-missed brother. 

 

True, but still an amusing line I thought 

[chiang mai]

6 minutes ago, KarenBravo said:

 

Oh, right. His less intellectual and religious brother.

Sorry, doesn't have the same credibility as his late, dearly-missed brother. 

 

He is a serious intellectual force, albeit not to the same level as his brother. I was introduced to him in the late 1980's at a party held by neighbour, the journalist the late Peter Tory - he's a very intelligent and perceptive man whose views I would certainly pay attention to.

[Grouse]

14 minutes ago, chiang mai said:

 

Peter Hitchens.

 

Thanks!

[i claudius]

Yes very nice,but its about immigrants from India,Poland and China,don't get many of those in the camps at Calais , don't bother replying ,you lot will twist anything ,go hug Lilly Allan ,it might stop her crying

Sent from my ASUS_T00J using Tapatalk