Interest rates Thurs 6th Nov, What do you THINK will happen?

[oyster]

Lots of calls for 1% cuts but it's a committee and committees don't usually do drastic actions, or do they?

[AstonZagato]

I'm 0.55/0.6

[Saied]

The government certainly haven't helped the situation by keep hinting at fiscal expansion.

Has contributed to Sterling's recent fall.

The more borrowing is permitted to increase, the less scope there is for cutting rates.

Big thumbs down for Brown & Co.

[Somewhatfoolish]

haworthlloyd1 said:

however, they may go 1% to surprise the market to give it a boost.

If you ask me the market will very foolishly start pricing in a 1% cut and when it doesn't happen (and I find it unlikely that it will) there'll be some pain.

[honest_delboy]

.25% Cut, so they are seen to be doing something but nothing too outrageous.

[ukwill]

50bps

They will want to be seen to be doing something, whilst keeping something in the locker for the future.

[M400 NBL]

I expect it to be 0.5%, but I wander how many lenders will pass on the cut

I happen to have two mortgages with Northern Rock (1 fixed though), who only passed on 0.15% of the last 0.5% cut

[Simpo Two]

-0.5%

[Ordinary Bloke]

I expect -0.5% but I think it may be a little late to restimulate the economy. And the last thing I'd tell people to do is spend spend spend...

[Scraggles]

been thinking of putting some money into a savings bond, might as well do it before the change, cant see bottler brown increasing the rates...

[whj]

1% cut

[spikeyhead]

They'll cut 50bps, though I'd prefer a big fat raise so I can earn some interest on my savings.

Pisses me off that the reckless are benefiting more form the current situation than the sensible ones that have saved for a rainy day.

[Mikey G]

M400 NBL said:

I expect it to be 0.5%, but I wander how many lenders will pass on the cut

I happen to have two mortgages with Northern Rock (1 fixed though), who only passed on 0.15% of the last 0.5% cut

Why cant a nationalised company pass on more of the saving to its customers?

Not sure how many mortgages NR have on their books but if the average difference from the last cut meant the company took £10 more per customer per month due to their saving on the interest rate, for every 100,000 customers NR stand to make £1million extra per month at their current rate.

[Simpo Two]

Ordinary Bloke said:

I expect -0.5% but I think it may be a little late to restimulate the economy.

Yes. Horse, dead, flog.

There's a whole lotta shaking out to go yet.



Hey, that's almost a song

[trooperiziz]

M400 NBL said:

I expect it to be 0.5%, but I wander how many lenders will pass on the cut

I happen to have two mortgages with Northern Rock (1 fixed though), who only passed on 0.15% of the last 0.5% cut

Halifax passed on the 0.5% last time, hopefully they will do the same again.

Which reminds me, I need to setup the overpayments!

[Ordinary Bloke]

Simpo Two said:

Ordinary Bloke said:

I expect -0.5% but I think it may be a little late to restimulate the economy.

Yes. Horse, dead, flog.

There's a whole lotta shaking out to go yet.

Hey, that's almost a song

You could make an advert: Do the shake and vac panic, and put the freshness boom back, etc etc...

[a boardman]

alliance & leicester reduced my tracker by full 0.5% (to 5.49%) last time.

So if it comes down another 0.5% my mortgage will come down

£6.00 per month

Edited by a boardman on Monday 3rd November 21:58