10 months from now. BoE base rate to be below 4% for at least 3 years.
Agreed unless Sterling comes under serious attack. Real US rates to remain negative for the forseeable future ... no change there then (since 9/11). You would think the powers that be would notice that this has not worked for Japan. In Japan it hasn't massiveley impacted the currency because the Japanese people are savers, and the banks they save with buy JGBs with those savings. The Italian govt is kept afloat by the same mechanism. Can't see the same working for BarryO or the Cameroonies past 2010. Something's got to give, but if CNY remains pegged and the Euro & Yen take the brunt of negative USD & GBP sentiment, well that could be good for the US and/or UK (my money is on the US, with the UK dead in the water). Totally uncharted territory and anyone's guess could be right. Fascinating stuff. Never thought I'd live to see the dollar carry trade. A former colleague of mine said buy CHF when it was > 2.40. We'll likely never see that again in our lifetime. I was too busy buying USD at 2.00 but I think long term he backed a better horse.
WWW - as a former market insider I find your investment strategies very interesting to say the least
