Pound has A LOT more to fall. The BOE stood pat last week and cable still fell. At some point, the BOE is going to wave the white flag and really start to cut rates. I expect we'll see a 1.50 handle within the next 12 months.
That's JUST what we need... with world wide inflation rate acknowledged to be 9.5% (and that's likely a government-fudged understatement)
Same US story....... Debt holders begging against deflation of their debt underlying assets..... Inflation only way out.... Same stuff..... ........................................................ Interesting because it is the very removal of debt offerings that cause deflation...... Want inflation ? Expand credit....... More money chasing fewer goods..... Versus less money chasing the same goods....... Lower rates ....less savings.....and less to create more debt...... ..................................................... Thus which wins.....more savings because of higher rates creates more debt which increases prices...... Less savings because of lower rates creates less debt which creates lower prices...... But UH OH......here comes printing money..... So less savings....but that's ok because more money is being printed.....and this is ok because everybody else is/will do it too....They print money as well..... Thus one prays one never goes back to a normal order because the mark to market on the currency will show lots of wealth being evaporated from the working savers.... Same crap.....UNBELIEVABE.... It is called theft of money..... Why ? Because they know money is being stolen from those who least deserve it.....the excuse being the grand extortion story.... The grand extortion story ? Hey you don't let us steal your money..... Things will just get worse for you.... Therefore you eat it.....