chiangmai
Crazy Mango Extraordinaire
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Post by chiangmai on Nov 14, 2017 19:21:49 GMT 7
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Post by Fletchsmile on Nov 16, 2017 16:35:56 GMT 7
Well as most of you are not wizards from pre-dating the Third Age of Middle Earth, you'll probably not remember these things  Interesting article though Of course we need a few goldbugs to chip in and cherry pick what a good investment gold is |
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chiangmai
Crazy Mango Extraordinaire
Posts: 6,481
Likes: 5,570
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Post by chiangmai on Nov 16, 2017 17:29:26 GMT 7
I should have been born in 1446, investing would have been easy.
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Post by rgs2001uk on Nov 16, 2017 22:26:47 GMT 7
Smokes will be along to post later, he is busy talking to his uncle Benni and cant reply right now.
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Post by Fletchsmile on Nov 17, 2017 19:09:05 GMT 7
Interesting history that the all time real rate of interest was 4.78% and higher than the last 200 year average of 2.6%. i.e declining. However, the 700 year inflation rate was 1.09% whereas the 200 year average was 1.55%, i.e increasing and average inflation rates of the last 60 years higher still
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chiangmai
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Post by chiangmai on Nov 18, 2017 2:41:24 GMT 7
Yes agreed, the past forty years have almost been an anomaly from an interest rate perspective, meanwhile, we're sat waiting for rates to return to the norm. but according to the trend they probably already are close to it.
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Deleted
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Post by Deleted on Nov 18, 2017 4:56:28 GMT 7
I got lost after the first sentence.
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chiangmai
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Post by chiangmai on Nov 18, 2017 5:53:51 GMT 7
I got lost after the first sentence I somehow doubt that very much! But for others who didn't read the article, the key points are: the average interest rate over the past 200 years (200 year moving average) is 2.6%. the long-term trend (over centuries) for interest rates is downwards. turnarounds from rate depressions tend to be quick and sizeable. peak rates seen in the 1990's were the norm in the 1500's, So whilst everyone is sat complaining about how low-interest rates are and wondering when they will return to normal, normal is very nearly here already and it's not very high, which may account for some of the new norms in equity market valuations. |
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Deleted
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Post by Deleted on Nov 20, 2017 11:52:42 GMT 7
Who complains interest rates are low?
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chiangmai
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Post by chiangmai on Nov 20, 2017 13:11:43 GMT 7
Who complains interest rates are low? Savers and people interested in seeing economic growth - super low interest rates are a sign of a stalled economy and that's not good. |
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Post by Deleted on Nov 20, 2017 14:11:44 GMT 7
Who complains interest rates are low? Savers and people interested in seeing economic growth - super low interest rates are a sign of a stalled economy and that's not good. Not us house owners. Keep them low I say. |
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