One step closer to negative interest rates

Discussion in 'Markets & Economies' started by willrocks, May 29, 2019.

  1. leo25

    leo25 Well-Known Member Silver Stacker

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    That's why i think they will hold. If they drop rates there will be next to no boost to the economy, but it will tell the world our economy is doing bad. So better off just holding and hope it might trick people in thinking things are ok. But either way they are stuffed.
     
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  2. Oddjob

    Oddjob Well-Known Member Silver Stacker

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    In line with this thread subject.....if interest rates did go negative, would we see depositors start withdrawing their cash from the banks to avoid paying a % to the govt, and if yes where would most the general public place their cash / convert to other asset, noting most here may opt for a higher level of PM's. Would the Govt have to implement capital controls to prevent a "bank run" of types.

    Or would the Australian public just cop it sweet as they usually do and just whinge without doing anything about it?

    I personally think negative interest rates will not happen as the consequences for the Govt and bank's are too serious but agree we are heading to a lower level over next 12-18 months.
     
  3. leo25

    leo25 Well-Known Member Silver Stacker

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    They won't go negative, rather they will just do QE to get inflation going. Maybe this time round they will dump $20k into every bank account

     
  4. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    What about in the event that they go negative, one possible option could be to increase credit card use (doing away with debit cards)? Naturally the best thing would be to not max them out as the interest rate would negate any benefit from avail a negative rate on savings accounts. A society that becomes completely cashless wherever possible and just lives on credit.
     
  5. leo25

    leo25 Well-Known Member Silver Stacker

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    Well it was stupid of me to think the RBA will act responsibly. Down it is... We are one step closer to 0%. Anyone think we will be a 0% by the end of the year?
     
  6. Ag

    Ag Well-Known Member Silver Stacker

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    Wouldn't say that was a bad call Leo25. Was surprised we didn't get one last month. Either way, the AUD starting to correct on this news. Now lets see what the banker does...pitchfork wielding lynch mob are ready to roll
     
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  7. bubblebobble2

    bubblebobble2 Well-Known Member Silver Stacker

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    25 points down... 125 points to go... wooohoo!
     
  8. bubblebobble2

    bubblebobble2 Well-Known Member Silver Stacker

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    Bankers are contracting measles..... red itches by now
     
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  9. SilverDJ

    SilverDJ Well-Known Member

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  10. willrocks

    willrocks Well-Known Member Silver Stacker

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    With negative rates, wealth will be measured by how much credit financiers will allow you to have, not by how much you've accumulated.
     
  11. bubblebobble2

    bubblebobble2 Well-Known Member Silver Stacker

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    "
    Westpac, ANZ let customers down: Treasurer
    "
    Can't he (treasurer) just say "I'm a let down... cannot control AUST banks to pass full cut"
     
  12. mmm....shiney!

    mmm....shiney! Well-Known Member Silver Stacker

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    Potential mortgagees have been playing that circle jerk game for years.
     
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  13. GoldenEye

    GoldenEye Well-Known Member Silver Stacker

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  14. JOHNLGALT

    JOHNLGALT Well-Known Member

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  15. JohnnyBravo300

    JohnnyBravo300 Well-Known Member

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    Its gonna take more than a few tweets from King Keynsian to fix this one.
    It's nice to see America leading the world again, even if it is in a race to the bottom!
     
  16. Jim4silver

    Jim4silver Well-Known Member

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    Don't worry, Hillary might run again and you can vote for her.

    Can you name a president during your lifetime that you liked? How about ever?
     
  17. JOHNLGALT

    JOHNLGALT Well-Known Member

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    Gerald Celene with his up-to-date Trend Alerts.
     
  18. Oddjob

    Oddjob Well-Known Member Silver Stacker

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  19. JOHNLGALT

    JOHNLGALT Well-Known Member

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    Ah, you got the old Video. 12th May 2018, I saw that one way back when. Yeah, he's different alright.
    My link was a recent audio podcast on Zero Hedge.
     
  20. JohnnyBravo300

    JohnnyBravo300 Well-Known Member

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    Don't worry, Hillary might run again and you can vote for her.

    Can you name a president during your lifetime that you liked? How about any?

    Not in my adult lifetime, no. Theres isnt any fed implanted banker boy that I've liked more than the rest. I despise them all because theres no difference. The fed implanted Democrat party or the fed implanted Republican party.
    Two choices of sell out is all we get brought to us by the money masters that they answer to. The prez is of little concern to them, they just need someone with no personal constitution.
    Different tactics to achieve the same agenda while the voting base cheers on their side to win while becoming more poor. Its insanity man!
     

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