Pound Takes Another Bath
The friendless pound has fallen as low as $1.6117 against the dollar and 1.1341 against the euro this morning. That's close to it's lowest levels in six weeks against the greenback, and eight weeks against the single currency.
This seems to be partly due to a sudden bout of risk aversion, after global stock markets have taken a tumble, and also a reaction to yesterday's news that we are paying back more money than we are borrowing.
From a long-term economic perspective, this is a balance sheet improvement, but for the short-term, it's hardly a recipe for economic growth.
It should scarcely come a surprise that people are saving less with base rates at half a percent, and using any money that they might have floating around from lower mortgage payments to pay off high-interest debt like credit cards.
The government would prefer us all to go out and use that newly-printed money to buy a new fridge.
If you want to stimulate public spending Gordon, all you have to do is send Mrs Nogger#1 a few extra credit cards in the post, job sorted. Christ that woman could spend. Only on essentials mind, Gucci slippers, Prada mobile phone holders, that sort of thing. Still, she was good to the kids, there's not many come home from school to find they've got individually monogrammed solid gold napkin ring holders when they eat their chicken nuggets and micro chips.
I do have to say though, I was a bit upset when she left. She just popped out for a pint of milk one morning and never came back. I wouldn't have been too bothered but I'd already put the corn flakes out. Bitch.
Still, all the lads at the local rugby club seem to like her. She's very friendly they say, a do anything for anyone sort of a girl, which is nice.
This seems to be partly due to a sudden bout of risk aversion, after global stock markets have taken a tumble, and also a reaction to yesterday's news that we are paying back more money than we are borrowing.
From a long-term economic perspective, this is a balance sheet improvement, but for the short-term, it's hardly a recipe for economic growth.
It should scarcely come a surprise that people are saving less with base rates at half a percent, and using any money that they might have floating around from lower mortgage payments to pay off high-interest debt like credit cards.
The government would prefer us all to go out and use that newly-printed money to buy a new fridge.
If you want to stimulate public spending Gordon, all you have to do is send Mrs Nogger#1 a few extra credit cards in the post, job sorted. Christ that woman could spend. Only on essentials mind, Gucci slippers, Prada mobile phone holders, that sort of thing. Still, she was good to the kids, there's not many come home from school to find they've got individually monogrammed solid gold napkin ring holders when they eat their chicken nuggets and micro chips.
I do have to say though, I was a bit upset when she left. She just popped out for a pint of milk one morning and never came back. I wouldn't have been too bothered but I'd already put the corn flakes out. Bitch.
Still, all the lads at the local rugby club seem to like her. She's very friendly they say, a do anything for anyone sort of a girl, which is nice.