Bank of England trending, raised interest rates any thoughts from across the pond

originally posted by: Freeborn
a reply to: strongfp

Of course, its all the man in the streets fault.
They get squeezed and the bankers/mortgage maintain their obscene profits.

As always, right. It's always the poor man's fault.

Imagine a time when all of us non-1% stand together, imagine what we could accomplish together. It's getting old watching half of us white knighting for the corporations, as they keep getting richer.

a reply to: IndieA

That's not necessarily a bad thing tho...

Look at consumer versus household debt.

www.newyorkfed.org...

Debt is inevitable, no matter what, that's how modern monetary policy works, in a nutshell a nation in the most debt without collapsing is the most prosperous.

Our inflation is not caused by folk spending too much so squeezing them with interest rate hikes is bonkers.

It's quite obscene.

It's all about the markets and screw the people.

originally posted by: strongfp
a reply to: IndieA

Hmmm it's complicated but the public by proxy owns most of the debt, through bonds and such...

www.pgpf.org...

From your source:

Debt held by the public, is not publicly owned debt. It's the...

the amount that the Treasury has borrowed from outside lenders through financial markets to support government activities.

The debt is owned by...

As of the end of December 2022, DHBP was $24.5 trillion, or 98 percent of GDP. That borrowing came from both domestic and foreign creditors, with the former holding about two-thirds of it.

Private creditors own the debt.

So who owns the Federal Reserve?

www.cga.ct.gov...

Federal Reserve Banks' stock is owned by banks, never by individuals. Federal law requires national banks to be members of the Federal Reserve System and to own a specified amount of the stock of the Reserve Bank in the Federal Reserve district where they are located. It also lets state banks become members and purchase stock. But these stockholding members do not have the same rights as stockholders in a private corporation. Under federal law, the Federal Reserve Banks' actions and policies are mainly controlled by the Federal Reserve System's Board of Governors, which is an independent U.S. government agency.

In short, private banks and other large corporations and institutions own the US national debt.

a reply to: putnam6

Speaking as an expert on the UK (I once sat through most of an episode of "Thomas The Tank Engine") I can safely say that the general consensus on inflation in the UK will be a "Bit of a bother", and "Some trouble may be ahead".

The most extreme comment I heard was that it "Might cause a stir".

Which is now freaking me out.

originally posted by: strongfp
a reply to: IndieA

That's not necessarily a bad thing tho...

Look at consumer versus household debt.

www.newyorkfed.org...

Debt is inevitable, no matter what, that's how modern monetary policy works, in a nutshell a nation in the most debt without collapsing is the most prosperous.

That kind of logic is what collapses governments.

a reply to: IndieA

Yes and who are those private banks and creditors made up of? Space aliens?

a reply to: IndieA

Debt is to capitalism as hell is to Christianity... debt is how the world moves economically. Without debt of any sort what do you owe to everyone else and in return to you?

originally posted by: strongfp
a reply to: IndieA

Yes and who are those private banks and creditors made up of? Space aliens?

Shareholders, aka stakeholders, aka not the public, but private entities.

I think you are confusing private entities with the public. One is in debt, the other owns the debt.

a reply to: DBCowboy

openhandspublications.com...

We are on " peeved" at the moment.

"The English are feeling the pinch in relation to recent events in Syria and have therefore raised their security level from “Miffed” to “Peeved.” Soon, though, security levels may be raised yet again to “Irritated” or even “A Bit Cross.” The English have not been “A Bit Cross” since the blitz in 1940 when tea supplies nearly ran out. Terrorists have been re-categorized from “Tiresome” to “A Bloody Nuisance.” The last time the British issued a “Bloody Nuisance” warning level was in 1588, when threatened by the Spanish Armada."

a reply to: IndieA

I don't think you understand how the federal reserve works. It's an autonomous entity, and it's controlled by the public via congress, the fed prints money and hands it out to public trusts, which then distributes it as they see fit, mortgages, car loans, etc.

Since the federal reserve owns majority of the debt the public, citizens, etc by proxy owns most of the debt.
But even if shareholders and stakeholders did own most of the debt, they're still the public but there isn't just a handful of people who literally own the federal reserve, like I said Jerome Powell can't just cut himself huge checks and become a trillionaire overnight or something.

Unless you are meaning, who holds most debt? As in owing it back?

a reply to: Mahogany

We could stop fantasizing about a Hegelian revolutionary process and just work towards decentralization of the means of production and go from there?

originally posted by: sapien82
a reply to: ufoorbhunter

its a double win though , they make money from the war and they make money from all the inflated costs of everything ,
they rake in our money while we all suffer

#S

nothing but utter #s

Lol I love the passion in your post Sapien and you are spot on. I bet they are envious of Putin, he managed through Prigozhin to rid Russia of ten of thousands of prisoners too in the process.

a reply to: strongfp

the fed prints money and hands it out to public trusts, which then distributes it as they see fit, mortgages, car loans, etc.

the fed prints money and LOANS it out to public trusts, which then LOAN it as they see fit, mortgages, car loans, etc.

There, fixed it for you.


Now, just because the public is made up of private entities, shareholders, doesn't mean they are one and the same.

Those private entities, shareholders, and stakeholders, make up only a tiny percentage of the public.

The government doesn't borrow money from itself, that wouldn't make sense. The government borrows from private entities.

originally posted by: gortex
a reply to: putnam6

So what do you "Red Coats" think? no big deal? or another sign of the impending financial collapse?

I remember interest rates being around 15% in the 80s , seems we got through that so I think this is just a blip fuelled by outside factors , the general opinion is this will likely be the last rise before rates start to come down again nest year.

No doubt there will be a cut before the next election.

I don't know Its why I am asking...

I remember the 80s bought our first house for 125,000 at 9 7/8ths 2-3 years later we refinanced down to 9 1/4 and I felt like we were millionaires.

Just checked it's now a run-down house with a dump truck parked on my basketball court, with an estimated price $321,000 Mortgaged at $1987 a month over $1000 more than the $900 we paid over 30 years ago. When it was a much nicer neighborhood, now it looks like a crack house.

a reply to: strongfp

a reply to: IndieA

Yes, that's the technicalities of its workings.
But the fed can't print money unless congress orders it, and congress is made up of democratically elected members... again, are we talking about who holds the debt or owns the debt? Are you saying the fed are the creditors and the public is the debtors?

It doesn't matter how we work around it, money will always be loaned out, that's the function of money, it's a fancy IOU.

www.thebalancemoney.com...

a reply to: ufoorbhunter

I bet they are envious of Putin, he managed through Prigozhin to rid Russia of ten of thousands of prisoners too in the process.

Sure, something they should be immensely proud of.

SMH.

a reply to: strongfp

are we talking about who holds the debt or owns the debt? Are you saying the fed are the creditors and the public is the debtors?

Both.

The Fed and other private entities are the creditors, as they own the debt, and the government is the debtors, as they owe the money to the Fed.

I'm not sure if you equate the government with the public, or not, but when it comes to the debt, I like to differentiate the two because I didn't borrow that money. I've been advocating for fiscally responsible government and against the special interest wars since shortly after 9/11.

originally posted by: Freeborn
a reply to: ufoorbhunter

I bet they are envious of Putin, he managed through Prigozhin to rid Russia of ten of thousands of prisoners too in the process.

Sure, something they should be immensely proud of.

SMH.

If you are paying for the upkeep of 20,000 naughty boys / trouble makers who can be wiped off your final accounts, then as sick as it sounds, it's back of the net