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Bank Of England Halts QE After "Potency Questioned"

Tyler Durden's picture


In what may be the most disturbing news of the day, moments ago the BOE announced it is halting its own version of QE3, and capping the asset purchase program at £375 billion after "some policy makers questioned its effectiveness in supporting a recovery that remains lackluster." Could it be that even that peculiar Homo Sapiens subspecies known as "economist" is starting to realize that when applying the same "remedy" time after time to absolutely no avail, and where even the market no longer responds to unlimited injections of liquidity, then perhaps it is time to end said "remedy" altogether? And how long until the voodoo shamans in the dark lit room at Marriner Eccles follow through? Sadly, if Japan, and its 9 (so far) rounds of easing, is any indication, we have a lot more pain to go before what has been glaringly obvious to every hotdog vendor and shoeshine boy is also understood by Economics Nobel prize winners.

From Bloomberg:

The nine-member Monetary Policy Committee led by Governor Mervyn King kept its target for asset purchases at 375 billion pounds ($598 billion) today, ending its third round of quantitative easing. The decision was forecast by 35 of 45 economists in a Bloomberg News survey. The remainder had forecast an increase of as much as 50 billion pounds.


Today’s move suggests the London-based central bank may focus on credit-boosting initiatives such as the Funding for Lending Scheme to ignite growth. Increased inflationary pressures may also have prompted policy makers to hold fire even as surveys point to renewed weakness after the U.K. economy surged 1 percent in the third quarter.


BOE Deputy Governors Paul Tucker and Charles Bean both suggested in recent speeches that asset purchases may no longer have the same impact on the economy as when first introduced in 2009. At the same time, Martin Weale has questioned whether loosening policy is right with inflation above the central bank’s 2 percent target.

The UK needs more hedonically edible iPads because inflation appears to be an issue:

Inflation was at 2.2 percent in September and King said last month that recent energy costs increases mean it will stay above the goal “well into next year.” Renewed signs of price pressures combined with the third-quarter gross domestic product data and comments from MPC members led banks including Citigroup Inc. and Barclays Plc to abandon forecasts of more QE today.


“The widespread expectation of unchanged policy marks a sharp turnaround from forecasts just a few weeks ago that QE would be expanded,” said Chris Crowe and Blerina Uruci, economists at Barclays in London. “This is partly due to evidence of firmer inflationary pressures.”


The MPC had new growth and inflation forecasts at today’s meeting, which it will publish next week. Minutes of the meeting, showing how the committee members voted, will be released on Nov. 21.

Finally, since one never says never in Keynesville, it is likely only a matter of time before the insanity returns:

Even with QE halted, the Bank of England still has the FLS, which it set up with the U.K. Treasury and is aimed at boosting lending. The program began in August and as of last month, 30 financial institutions had signed up, including Lloyds Banking Group Plc and Barclays.


“QE still has a benefit and those benefits will stay there -- they’re not unwinding any purchases,” said Alan Clarke, an economist at Scotia Capital in London. “And they won’t close the door on it, they’ll leave their options open.”

And now, we look forward to the ECB confirming that when it comes to failed monetary system, for every good cop there is at least one absolutely insane cop.


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Thu, 11/08/2012 - 08:36 | 2959841 GetZeeGold
GetZeeGold's picture



Our no good?

Thu, 11/08/2012 - 08:52 | 2959893 Short Memories
Short Memories's picture

It's like the 5 stages of financial grief, they are moving out of the denial phase into the bargaining phase.

I guess in the end, the acceptence phase, they realise since they can't default and maintain control of government that the only way forward is the outright monetisation of debt, and hyperinflate the proplem away at the expense of the tax payer / saver

Thu, 11/08/2012 - 08:54 | 2959898 JPM Hater001
JPM Hater001's picture

And after that Mr. Keynes never fucked with economics again.

Thu, 11/08/2012 - 09:17 | 2959938 cowdiddly
cowdiddly's picture

Famous Ecomomics majors. Trickle down Ronald Reagan, Arnold Swarzeneger, Mick Jagger........enough said.

    Well I will give Mr. Jagger a break after all he said it was "Shattered, Splattered all over Manhatten- My brains are battered. This town full of Mardi Gras, Go ahead, bite the Big Apple, Don't mind the maggots............"

Thu, 11/08/2012 - 12:07 | 2960662 TruthInSunshine
TruthInSunshine's picture

It's incredibly ironic that the BOE, with England being the birthplace of Keynes, and the place where fractional reserve deep capture of sovereign goverments was born, openly states that QE fails at its essential purpose, while The Bernank & Co. don their see no evil, hear no evil & speak no evil monkey faces.

Thu, 11/08/2012 - 13:52 | 2961155 saturno_v
saturno_v's picture

A possible pragmatic explanation....maybe given the size and structure of the UK economy, the BOE realizes that it has reached the end of the rope as far as QE goes...they do not have the same latitude of intervention of the US (largest economy in the world and world's reserve currency) or even Japan (economy size and trade position)

Last time I heard, inflation was picking up strongly in UK.


In few words....maybe the UK is closer than the US and Japan to the boundary of turning your currency into toilet paper......

Thu, 11/08/2012 - 15:10 | 2961495 Boeing Boy
Boeing Boy's picture

Hilarious,  USA USA re-elect a socialist for another four years of money printing and you suggest somehow UK is close to turning pound sterling to toilet paper?  


Dream on, things are looking up here in Blighty.  We are going to power ahead of the continent in the coming months, (relatively speaking) and I see that over there across the pond you have already resorted to begging, robbing and shooting burglars.  Delusion reigns supreme in USA USA.

Thu, 11/08/2012 - 10:14 | 2960157 icanhasbailout
icanhasbailout's picture

It's clearly a psychological problem, may I prescribe some Policigra(tm)?

Thu, 11/08/2012 - 08:37 | 2959843 ZippyBananaPants
ZippyBananaPants's picture

Save a tree, eat a Beaver!

Thu, 11/08/2012 - 08:40 | 2959851 GetZeeGold
GetZeeGold's picture



There's an idea.....we could trade in beaver pelts. Hope the women don't mind.

Thu, 11/08/2012 - 08:47 | 2959880 Doubleguns
Doubleguns's picture

They could not possibly mind. They throw the pelts away after every waxing.

Thu, 11/08/2012 - 08:38 | 2959845 falak pema
falak pema's picture

baby, baby, sing that to me...the law of diminishing returns as the fiat pump now cavitates on lost suction. 

'I can't get that pump to work! I've lost suction head!'....

Thu, 11/08/2012 - 08:42 | 2959848 GraveyardSpiral
GraveyardSpiral's picture

"...absolutely insane cop"  C'mon stop with the rhetoric.  People in a position of power can be trusted. We haven't had any proof that cops are getting hungry and going out of their minds, wait, wasn't here a cop in NY that... oh, nevermind   Run!!!!

Thu, 11/08/2012 - 08:48 | 2959881 Anglo Hondo
Anglo Hondo's picture

Just for a moment, I thought that was MDB ("People in a position of power can be trusted".)  Then I read on....

Thu, 11/08/2012 - 08:39 | 2959849 insanelysane
insanelysane's picture

They must not be using the proper inflation calculations because here in the US there is no inflation even though gas and food prices have increased.

O better pray for global warming because if the US has a cold winter this year there is going to be trouble.

Thu, 11/08/2012 - 08:40 | 2959852 ZippyBananaPants
ZippyBananaPants's picture

"Spain also sold €4.76 billion in 2015, 2018 and 2032 debt (more than the expected €4.5 billion) at muted conditions"


Is it possible that Bernanke is buying these to prop them up too?

Thu, 11/08/2012 - 08:46 | 2959854 THE DORK OF CORK
THE DORK OF CORK's picture

 Major devaluation of Sterling coming which means Ireland must also leave the eurozone.


its really all about the North Sea and how the Big bang of the early to mid 80s blew this black gold on Grot.


You cannot really deal with decline rates of 10 to 15 % a year without devalauation.


Almost All available UK resourses should go into rebuilding the 19 th century railways destroyed by Beeching in the Petro fueled sixties.

Thu, 11/08/2012 - 08:51 | 2959877 falak pema
falak pema's picture

I wonder what Mutti said to Cameron when she visited with him in the aftermath of US election. 

I see a whole number of dots emerging that may tell us how this deleveraging will unwind; if TPTB have decided to pull the plug on the TBTF!

'Cos when the soufflet becomes unsustainable then thieves fall out and its every nation for himself. 

Oh what a fall that will be my fellow world citizens. 

Strange world : Mervyn says "I fear inflation in UK" PRECISELY when Draghi says "inflation in EUro zone is the LEAST of my worries..."

Thu, 11/08/2012 - 08:59 | 2959909 Ghordius
Ghordius's picture

not much, they watched some DVDs together. Mutti seems to be a fan of "Midsommer Murders".

But Chris Grayling is still advicing Cameron to stir trouble in the EU - possibly with Maggie Tatcher moments and vetoes in the Council - because this keeps the conservative backbencher happy.

Cameron is focused on the next election - who isn't? - and hectoring against the EU gives him conservatives votes. that simple

Thu, 11/08/2012 - 09:17 | 2959946 THE DORK OF CORK
THE DORK OF CORK's picture

The physical economy of the UK is in much worse shape then France ........France is very closely linked to Uk now and is undergoing a massive external shock as the Anglo world begins to break down

When the UK prints and France pulls out of the Euro the BRICs will collapse as their capital export days will be over.....although to be fair theres not much capital remaining to export.


French housing starts down to 2009 lows again.

Thu, 11/08/2012 - 15:04 | 2961473 Offthebeach
Offthebeach's picture

"...French housing starts.."

Somehow the government needs to get the Muslim birth rates up. Maybe new type apartments with multiple kitchens for each wife, ritual lamb slaughter decks, prayer speakers in elevators, etc.

Thu, 11/08/2012 - 09:49 | 2960052 Sale Away Soon
Sale Away Soon's picture

And the 25% devaluation over the past 3 years wasnt *major*??

Thu, 11/08/2012 - 19:17 | 2962550 THE DORK OF CORK
THE DORK OF CORK's picture

Not major enough ...........


Have you seen their trade data ?


I guess the Germans & Chinese need a market for their product and of course the UK will want all the real goods it can get its hands on but its clearly a very unsustainable trade dynamic.

Thu, 11/08/2012 - 08:41 | 2959855 Bubble
Bubble's picture

Are they halting it? I think just keeping it on hold for now. Not the same.

Thu, 11/08/2012 - 08:50 | 2959884 Doubleguns
Doubleguns's picture

Maybe they are just going to hide it.

Thu, 11/08/2012 - 10:57 | 2960337 BigJim
BigJim's picture

Let's see now. Our economies, banks, and governments are addicted to the sugar-rush of cheap money. We all know here at ZH that it actually destroys capital in the long run, because inflation sucks the capital-ness away from existing capital holders and into the hands of the people who have proven time and again they are least able to allocate it efficiently - the government and financial sector.

So why is the BoE quitting QE now?

Either their constituents (ie, commercial banks) are now sufficiently capitalised... or they're sending some kind of message. 

What kind of message might they be sending?

Hmmm. Well, we know the markets react positively to QE, and negatively to any hint it will be withdrawn. Merv is due to be replaced soon. 

This has nothing to do with QE's ineffectiveness viz-a-viz the wider economy. They could care less!

I think the BoE want markets to crash so the Tories will choose another dovish Guv'nor. 

Thu, 11/08/2012 - 08:41 | 2959857 Mae Kadoodie
Mae Kadoodie's picture

Get to work, Mr Bernank. You fucker.

Thu, 11/08/2012 - 08:43 | 2959865 Urban Redneck
Urban Redneck's picture

Barry has some more flexibility now...

Thu, 11/08/2012 - 08:43 | 2959861 CheapPanderingCrony
CheapPanderingCrony's picture

You forgot the Taxi driver.

Thu, 11/08/2012 - 08:43 | 2959864 Doubleguns
Doubleguns's picture

While bleeding to death simply plug in multiple saline bags. That should keep plenty of liquidity in your system.

ummm......the dilution of blood (dollars) however might not turn out so good for you.

Thu, 11/08/2012 - 08:47 | 2959879 GetZeeGold
GetZeeGold's picture



Just remember....saline only works for a little while.

Thu, 11/08/2012 - 09:03 | 2959921 JPM Hater001
JPM Hater001's picture

Yes, eventually you will need to move to vodka.

Thu, 11/08/2012 - 09:14 | 2959953 TheCanadianAustrian
TheCanadianAustrian's picture

Classic economic homeopathy. The reason our currency isn't strengthening is that we just haven't dilluted it enough.

The UK government funds homeopathy, by the way.

Thu, 11/08/2012 - 09:26 | 2959988 Doubleguns
Doubleguns's picture

Benny said the dilution will not be a problem. Plug in as many bags as you want. Vodka is OK too.

Thu, 11/08/2012 - 15:12 | 2961503 Offthebeach
Offthebeach's picture

Athletes measured running have high heart rates, so a body bleeding with a IV bags has a high pulse and therefore healthy.

Thu, 11/08/2012 - 08:44 | 2959866 All_Is_Well
All_Is_Well's picture

No, no, no...from here_on out it's the ChairSatan or Bust!

Thu, 11/08/2012 - 08:47 | 2959867 NuYawkFrankie
NuYawkFrankie's picture

Welcome to the Austerity Games - the Big Freeze coming to a theater near you, real soon.

("Jolly sporting" of the BOE to hold off the announcemnet until affter the erection, don't you think?)

Thu, 11/08/2012 - 09:04 | 2959925 JPM Hater001
JPM Hater001's picture

I predict:

You won't believe the shit that get released in the next 60 days.

Thu, 11/08/2012 - 08:45 | 2959869 buzzsaw99
buzzsaw99's picture

It's a good thing the BoE goons are there to show poor old England how to print money because otherwise they wouldn't have the foggiest idea how to do it. [/sarc.]

Thu, 11/08/2012 - 09:23 | 2959981 ThirdWorldDude
ThirdWorldDude's picture

BoE didn't come up with that solution by themselves, The City goons did that for them!

Thu, 11/08/2012 - 08:45 | 2959870 agNau
agNau's picture

Quick, phone Brown for advice.

Thu, 11/08/2012 - 08:45 | 2959871 Josephine29
Josephine29's picture

For the economist quoted at the end who claims that there is a benefit from QE,what is his evidence? Are things going so well? As shown by the quote below it seems even some at the Bank of England are not sure.

Mind you the Bank of England does not always seem clear

We do get certainty from some.

The evidence suggests that QE has worked

But much less so from others

And I certainly wouldn’t want to suggest that we know with any precision how big the impact from our asset purchases will be.

Meanwhile in the real world

Rather conveniently the UK GDP figures were rebased at 100 in 2009 which is when QE began. As of the latest numbers from last week we are now at the giddy heights of 103.

So for QE to have had the impact claimed by the Bank of England we would have had to have no economic growth at all for three and a half years from any other source. I will leave it to readers to decide for themselves how likely they think that actually is…..

So there doesnt seem to be any real evidence at all..

Thu, 11/08/2012 - 08:57 | 2959906 THE DORK OF CORK
THE DORK OF CORK's picture

Josephine - it has worked to a certain degree - it has kept debt service low


The UK has not imploded like Spain or Ireland.


Their car regs is the only growing large market in Europe for example.

Their bus regs until last month was the only growing large market in Europe.


They are desperate to buy capital stock while they still can.

Thu, 11/08/2012 - 09:41 | 2959907 THE DORK OF CORK
THE DORK OF CORK's picture


Ford transit have made a major mistake moving to Turkey - a further UK devaluation will make my point for me.


Their Bus market was flying until October...........


van sales declines always point to a decline in domestic work such as plumbers  , handymen etc  (their construction industry is tanking)




£31 billion euros worth of chinese imports in 2011

£-22.2 billion euros trade balance in 2011.

This is not sustainable - China is at the other side of the world is it not.

This is not rational trade - its a wage arbitrage trade.

Thu, 11/08/2012 - 08:45 | 2959873 Cursive
Cursive's picture

What's next?  The return of mark-to-market?  Wait until the first bank fails a stress test or Tier 1 ratio is reported and we'll see the return of QE.

Thu, 11/08/2012 - 08:46 | 2959875 Being Free
Being Free's picture

Inflation was at 2.2 percent in September and King said last month that recent energy costs increases mean it will stay above the goal “well into next year.”

That's sooo old school.  Everyone knows rising food and energy don't count.

Thu, 11/08/2012 - 09:13 | 2959951 Ghordius
Ghordius's picture

Mr. King is an old fashioned Brit. perhaps this might change with the next BoE chief, I understand a Canadian.

Thu, 11/08/2012 - 08:46 | 2959876 Catullus
Catullus's picture

Coordinated dollar appreciation.  Bear market coming.

Thu, 11/08/2012 - 08:48 | 2959882 Alpha Dog Food
Alpha Dog Food's picture

At least they are not doing that 'insane thing' : keep on trying the same thing to see if you can get a different result. I can raise their 'potency' though. Tell them to pay a visit to my blog if they want to get their sap up!

Thu, 11/08/2012 - 08:48 | 2959883 orangedrinkandchips
orangedrinkandchips's picture



It's like my kids....OF COURSE THEY WILL TOUCH THE STOVE even though I tell them it's HOT!! They see red and still touch it.




You think my 5 year old and these 65 year olds are any different?

Thu, 11/08/2012 - 09:06 | 2959929 JPM Hater001
JPM Hater001's picture

Well, they both deal with a certain amount of incontinence anyway.

Thu, 11/08/2012 - 08:51 | 2959886 spinone
spinone's picture

The purpose of QE is not economic recovery.  It is to give more money to the banks to plug holes in their balance sheets.

Thu, 11/08/2012 - 08:51 | 2959888 Quinvarius
Quinvarius's picture

I guess they forgot that QE has only been around to prop up the banks and gov spending.  It was never designed with a transmission method to the economy.  The real question is, what plan will be used to prop up the banks and gov spending after QE?

Thu, 11/08/2012 - 09:23 | 2959954 HD
HD's picture

See, that's where the unicorns come in.

I don't have a Ph.D in economics so I don't understand it myself - but I'm assured by short, bearded economists the world over that it works great.

Thu, 11/08/2012 - 10:43 | 2960279 edifice
edifice's picture

Yeah, but, do they come with pixie dust? That's the magic ingredient...

Thu, 11/08/2012 - 09:14 | 2959955 Ghordius
Ghordius's picture

new accounting tricks?

Thu, 11/08/2012 - 09:24 | 2959984 GetZeeGold
GetZeeGold's picture



Europe's top export.

Thu, 11/08/2012 - 08:52 | 2959890 VonManstein
VonManstein's picture

all bearish USD

Thu, 11/08/2012 - 08:52 | 2959892 orangedrinkandchips
orangedrinkandchips's picture

It's like SPAZ (sp) on MEATBALLS......


Where he is helping his dad park the car....

"keep coming Dad......keep got room..BOOM!....STOP DAD!"


We have to destroy what we have now before we move on.....

Thu, 11/08/2012 - 08:54 | 2959897 youngman
youngman's picture

Just wait a month..this will change..right now the world game is printing......if you quit lose...they will jump back into the arena soon..probably have a different name though

Thu, 11/08/2012 - 09:17 | 2959964 Sheeple Shepard
Sheeple Shepard's picture

From this BBC article

"Indeed, the minutes from the last MPC meeting in October showed that some members thought more QE would be required at some point in the future.

""We are pretty sure that the economy will need more stimulus in the months ahead," said Vicky Redwood of Capital Economics.

"And we do not think that the committee is out of firepower yet.""

They've got the gun locked and loaded but that trigger finger is trembling baby.

Thu, 11/08/2012 - 09:03 | 2959905 ekm
ekm's picture

How many times do I have to tell you gentlemen:

QE decisions everywhere in the world are POLITICAL decisions, not economic decisions, since everybody on earth knows they do a lot of harm and have zero advantages for the REAL economy.

As soon as QEs become POLICITALLY harmfull, they will stop them. Period.

Thu, 11/08/2012 - 08:59 | 2959913 virgilcaine
virgilcaine's picture

Hopium administered ..Check!.. Now comes the pain.

Thu, 11/08/2012 - 09:01 | 2959915 Racer
Racer's picture

Inflation at 2.2%...HUH! Electricity prices are going up at least 10% next month, no doubt council tax will go up more than 'inflation' as well

Thu, 11/08/2012 - 09:01 | 2959917 northerngirl
northerngirl's picture

Why can't TPTB just admit they have no idea of how to fix the mess they created while they were attempting to fix the mess they created?

Thu, 11/08/2012 - 09:08 | 2959935 Racer
Racer's picture

More chance of finding living dinosaurs on the moon than that!

Thu, 11/08/2012 - 09:09 | 2959940 Ghordius
Ghordius's picture

well, there was one guy that said something like "we know what to do, but just have no idea how to get reelected if we do it". He also admitted "sometimes, when the things are though, a politician has to lie".

Would you vote for him?

Thu, 11/08/2012 - 09:13 | 2959948 Wakanda
Wakanda's picture
Bank Of England Halts QE After "Potency Questioned"

That is a horse of a different color.  Somebody is evaluating political risks.

Thu, 11/08/2012 - 14:02 | 2961215 Lux Fiat
Lux Fiat's picture

Someone at BOE could be evaluating survival risks.  If the bond bubble is close to topping, better to stop buying and create a selling opportunity. If this is the case, I would expect the Fed to follow suit shortly. The election is over, after all, and Obama won't be seeking the presidency again.

Thu, 11/08/2012 - 09:16 | 2959959 overmedicatedun...
overmedicatedundersexed's picture

ben will keep the EU going  who do you think is buying the debt?? the FED is the world power of QE..Ben is buying every countries debt but Russia and IRan. the EU pols know Ben has their back.

Thu, 11/08/2012 - 09:17 | 2959962 fijisailor
fijisailor's picture

This won't last.  They'll be back with the QE program in days if not hours

Thu, 11/08/2012 - 09:47 | 2960043 Elmer Fudd
Elmer Fudd's picture

QE keeps banks solvent.  It will continue.  Use your logical head, not your hope filled one.

Thu, 11/08/2012 - 09:51 | 2960047 muppet_master
muppet_master's picture

the brits,

ARE NOT AS "SMART" as the QEorganizer !!! LOL !!!!

They don't want HYPERINFLATION YOU can believe in !!!

They don't want GREECE (RIOTS) YOU can believe in

Thu, 11/08/2012 - 10:16 | 2960161 ZeroPoint
ZeroPoint's picture

Imagine that. Loose monetary policy and supply side economics do not stimulate growth after all.

Thu, 11/08/2012 - 11:23 | 2960183 Lord Peter Pipsqueak
Lord Peter Pipsqueak's picture

This is,of course, just pure unadulterated shite. The BofE have no more intention of stopping QE than Obama has of ending Medicare.

The BofE realises, just like the Chairsatan, that QE has a diminishing effect on the real economy, but that is to ignore or completely misunderstand the economy of the Uk today.

Most Brits have grown up like Pavlovian dogs, weaned on the government tit of house price inflation since the 1950's,any conversation in a bar or around a dinner tables results in some schmuck saying -"there is no better investment than houses".They do not understand why house prices have gone up 50 fold since the war, they just know they have and that every time the gun is put to a governments head regarding taking the difficult choices to correct the long term structural problems of the Uk economy or cut interest rates and/or devaluing sterling they will take the latter. There is definitely a tacit agreement between the UK government and the electorate that they have to deliver house price inflation - if not - they are out. Most Brits define their wealth by their house price, the vast majority have no other form of wealth or savings.

So for the BofE to say they are stopping QE is just preposterous. This would mean the UK govt is, in the coming years, in a confident position to reduce the deficit and reduce govt spending -THEY ARENT! - for all the media hysteria about austerity and govt spending cuts -THERE ARE NONE! -Govt spending has never dropped since 2008 and still continues to rise,year on year.

The simple fact is the UK govt and the BofE are terrified of a UK housing market crash since the UK is probably the only country in the west not to have had a major housing crash,prices are down but thanks to QE and zero interest rates(as a result of QE)they haven't fallen to affordable levels.Since UK banks have hundreds of billions of unrealised losses off balance sheet due to losses on derivatives,a house price crash(even after the govt bailouts) would prove to be the final nail in the coffin. The UK govt cannot afford financially or politically another bank bailout,so the future of the UK economy really does depend entirely on FUCKING HOUSE PRICES.

So in the knowledge that the UK economy is poised on a KNIFE EDGE regarding the housing market,would any sane person expect the Bank of England to stop QE and following the course of events, logically,start to unwind its massive Gilts portfolio and then start putting up interest rates to sensible levels????

What do you think?


Thu, 11/08/2012 - 11:59 | 2960634 THE DORK OF CORK
THE DORK OF CORK's picture


English house prices are a function of external productive capacity - the eurozone mostly which functions as the modern India.


Thu, 11/08/2012 - 10:30 | 2960213 GFORCE
GFORCE's picture

There's hope for old blighty yet!

They're saying that QE in its form is done but yes, I'm sure there will be stimulative measures targeted

at other areas and of course, more 'liquidity' when the next panic comes.

Send them victorious... god save our bankers.

Thu, 11/08/2012 - 11:02 | 2960354 dscott8186
dscott8186's picture

Here's a thought, the first major economy that offers "higher" interest rates will ignite and the resulting investor rush will force the makers of imaginary ones and zeros to stop their QEs.  Whatever country is willing to offer a higher and safer rate of return on investment is going to pull out of the Depression first.  This act will then cause many countries to follow suit leaving the US, Japan and Europe holding the bag.  

Socialism always fails when it runs out of other people's money.  

Thu, 11/08/2012 - 11:29 | 2960462 covert
covert's picture

england is falling.


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