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Bernard L. Madoff

UK House Prices falling again

32 posts in this topic

Absolutely, news reports are in a different class in UK. Anyone who prints fabrication or weak arguments will get ripped apart by competing newspapers/hacks. Journalism is a competitive sport in UK, here it's a pastime. Thank goodness for the inetrnet and forums like these.

Media watch just does not have the time to get around to covering all the poor news articles.

I do sometimes wonder why he goes into great detail over what is seemingly a small misquote or technical error at the ABC newsroom and yet leaves through the week clear vested interests or commercially driven stories go to the keeper from 7, 9 and 10.

Then again I should not complain about it, who knows what quality of journalism we would have here in Australia without it.

Maybe people have told him everyone knows 7, 9 and 10 do crap journalism just try to keep the ABC in line. Thats all we have time to cover.

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Maybe. I'll watch the outcome of massive exposure of German and UK banks to Ireland first.

http://blogs.reuters...-foreign-banks/

It's just a gut feeling I have, not based on any solid evidence or anything. :)

Not sure how they'll deal with all that Irish debt, maybe they'll have to come to some sort of arrangement where a lot of it is written off, because if they destroy the Irish economy under an unpayable debt load and ever more punitive austerity measures, they won't get their money anyway. The Irish would have nothing to lose from breaking away from the EU in that scenario.

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There is something missing in that report.

The Irish net external debt on GDP is similar to Australia at around 70% of GDP, so in the 100 bil euro range.

So, I believe those exposure on Irish eceonomy are part of a more global exposure.

For example most of german money gone to irealand are into a business that have also big assets out of Ireland, might be that just the location is in Ireland and everything the business is doing is out of Ireland.

Yes, the figures in that report are gross and take no account of the corporate/financial assets aquired around the world with that gross debt. You have to be careful interpreting gross financial data. For example, Luxembourg has a gross external debt of about 4,000% of its GDP or about FOUR MILLION EUROS FOR EACH LUXEMBOURGIAN. Switzerland also has a gross external debt of several hundred percent of its GDP. Neither country attracts alarmist warnings. Most of the debt is not owed by the households or by the governments. It is held by financial/corporate bodies having assets.

The Ireland debt needs to be viewed in the light of the assets. Ireland's government/public debt is not particularly high by European standards. Nor is its household debt particularly high - much lower than the Netherlands or Denmark.

Edited by Sally Periwinkle

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oh dear old chap ,, looks like we're in a spot of bother again what? oh well stiff upper lip and all that

RICS House Price Balance

Actual: -36%Cons.: Previous: -32%

The RICS Housing Price Balance released by the Royal Institution of Chartered Surveyors presents housing costs in the UK. It shows the strength of the UK housing market, which can be considered as the economy as a whole, as the housing market is sensitive to the business cycle. A high reading is seen as positive (or bullish) for the GBP, while a low reading is seen as negative (or bearish).

Read the lastest release at RICS UK

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i just read an article about how interest rates are prob going to rise in th UK, what with all this house price crash over there, will they still raise rates? i mean are they not a more inclined to actually follow the keynes model of rate hikes when inflation hits and lower em when its lower.

or will they follow australia in the " whats good for housing is good for everyone" approach.

http://www.bbc.co.uk/blogs/thereporters/stephanieflanders/2010/12/cruel_and_unusual_for_savers.html

and

http://www.bbc.co.uk/news/business-12033946

suggesting rate rises in mid 2011

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