Notices
General Chat This forum is for general topics and chat type threads.

Reply
 
Thread Tools Search this Thread Display Modes
Old 9 Jul 19, 11:56 AM  
Link to this Post
#21
Guest
Guest
 
Originally Posted by Loftus View Post
I would say a coulee of things in response to that.

When the pound falls the stock markets, or more precisely the FTSE100, rise because most companies report their earnings in dollars and they are then inflated in sterling.
I don't think it is true that most companies in the FTSE 100 report earnings in £, certainly the ones HQ in the UK will report in £. I have just looked at the first ten companies (alphabetically) in the FTSE 100 and 3 reported in $ and 7 reported in £.

Also, the reporting currency will not impact FTSE 100, equity analysts are smart enough to understand that multinationals can have results distorted by currency. The FTSE 100 is based on share price which will rise as sterling weakens because the stock becomes cheaper for overseas investors and then demand increases price.
Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 12:10 PM  
Link to this Post
#22
Loftus
Imagineer
 
Join Date: Mar 02
I shouldn't have said report their earnings in dollars, I should have said produce. My bad. The overall point remains the same though.

schroders/en/us/insi...in-two-charts/

"Other factors may have been at play in those months, but one of the strongest drivers in the fortunes of the FTSE was the performance of the pound.
This is because such a large proportion of profits for FTSE 100 companies is made in dollars. If sterling weakens then dollar revenues, once converted back into sterling, are worth more."

"As the chart below shows, 71% of revenues generated by FTSE 100 companies come from outside the UK."

Edited at 12:28 PM.
Loftus is offline Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 01:12 PM  
Link to this Post
#23
Nimbus
Imagineer
 
Nimbus's Avatar
 
Join Date: Jul 10
Location: South Manchester

Nimbus's Reviews
Hotel Reviews: 8
Restaurant Reviews: 21

theDIBB Guidebook
Guidebook Photos: 36
Guidebook Reviews: 2
Originally Posted by Sew109 View Post
it makes our exports cheaper and our imports more expensive which should mean we buy more home grown products and inflation should stay low.
Of course, the key word in that statement is "should".

Although I agree that the weak pound is potentially good news for exporters and home grown businesses, unfortunately the UK as a whole imports far more than it exports. Therefore, in general, a weak pound is bad news for the UK.

As for interest rates staying low, that's good news for borrowers (like yourself) but bad news for savers (like me!). What it does mean is that it encourages people to borrow more rather than saving, which in turn drives us more into debt.

Anyway, back to the dollar rate, all I know is that it's fallen around 3 cents in the last two weeks since Boris and Jezzer became the last two contenders. I wouldn't be surprised if it continued to fall slightly in the near future, but I admit that is just a guess.
__________________
DLC: Jun 1996 // DLP: Aug 2013 // WDW: Dec 1997 | Feb 2000 | Mar 2001 | Feb 2006 | Oct 2010 | May 2012 | Aug 2014 | Apr 2016 | Apr 2023

~ Trip Report Indexes ~

Edited at 01:14 PM.
Nimbus is online now Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 01:17 PM  
Link to this Post
#24
disney332
Imagineer
 
Join Date: Oct 09
The best time to buy Dollars is when you have the money and want some.

Always worked for me.

Disney332
__________________
disney332 is offline Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 04:23 PM  
Link to this Post
#25
Sew109
Imagineer
 
Sew109's Avatar
 
Join Date: Mar 15
Originally Posted by Nimbus View Post
As for interest rates staying low, that's good news for borrowers (like yourself) but bad news for savers (like me!). What it does mean is that it encourages people to borrow more rather than saving, which in turn drives us more into debt.
Makes perfect sense I was a saver as well but moved most of my cash into other investments 50% is property some in Premium Bonds and the rest in funds and art. My funds have done well the property delivers an income and my pension has already made 13% this year ! There are opportunities but you have to work it and take a risk and traditional saving vehicles like "high" interest savings, or government bonds do not give a worthy return.

If I can borrow at 1.86% its nuts to pay that debt back when I hope that I can make more than that I have learnt though not to manage my own funds
Sew109 is offline Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 09:21 PM  
Link to this Post
#26
Warkman58
Imagineer
 
Join Date: Apr 11
Location: Warwickshire
Originally Posted by ClaireNJ View Post
As the title says I don’t know whether to get my holiday money now or when Boris is PM
“Sigh”
Well you better get them before a general election then and if Corbyn gets in, yiu wont ever able to go on holiday.
__________________
28th Nov to 14th Dec 2020
Villa Formosa Gardens, flights Virgin Upper Class (perhaps)
24th Nov to 8th Dec 2018
Villa Formosa Gardens, Flights BA/Aer Lingus
20th August 2016 to 3rd September 2016,
Warkman58 is offline Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Old 9 Jul 19, 09:32 PM  
Link to this Post
#27
YLL
Imagineer
 
YLL's Avatar
 
Join Date: Mar 17
Location: East Sussex
Mobile

Doesn't really matter at the end of the day, Boris or not... Brexit won't happen on 31st October. Reality will bite him in the ass soon...
YLL is offline Boy Mouse Click to view Members Trip Plans Add Member to Ignore List
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Forum Jump


All times are GMT +1. The time now is 02:20 PM.


Powered by vBulletin - Copyright © 2000 - 2024, Jelsoft Enterprises Ltd.
DIBB Savings
AttractionTickets.com

Get £10 off each Disney Ticket with the code ATDIBB10

Get up to £50 off per room at Disney or Universal with the code DIBBHOTELS


theDIBB Blog
Disney announced that a new nighttime show, “Disney Dreams That Soar,” will run nightly at... Read More »
Walt Disney World Resort guests can get ready to have a “glowing’’ good time when... Read More »
Aquatica Orlando announce the grand opening of its newest attraction, Tassie’s Underwater Twist, on 15... Read More »


theDIBB Menu


Exchange Rates
US Dollar Rates
ASDA  $1.2342
CaxtonFX  $1.2324
Covent Garden FX  $1.2438
FAIRFX  $1.2350
John Lewis  $1.2380
M&S  $1.2178
Sainsburys  $1.2337
TESCO  $1.2343
Travelex  $1.2353
Updated: 13:00 28/03/2024
Euro Rates
ASDA  €1.1426
CaxtonFX  €1.1405
Covent Garden FX  €1.1511
FAIRFX  €1.1432
John Lewis  €1.1457
M&S  €1.1263
Sainsburys  €1.1419
TESCO  €1.1425
Travelex  €1.1435
Updated: 13:00 28/03/2024

DIBB Premium Membership
Did you know you can help support theDIBB with Premium Membership?

Check out this link for more information and benefits, such as...

"No adverts on theDIBB Forums"

Upgrade Now



X