In this video we look at Mark Carney's announcement today that interest rates in the UK could be reduced later in 2020 if the economy fails to improve. We investigate the likelihood of this happening.
Important Links and videos:
The New Silk Roads: The Present and Future of the World
- (US & World)
- (UK)
Gold, Silver and Rare Coins:
- (US & Overseas)
- (UK)
Stack Silver Get Gold:
- (UK)
- (US & Overseas)
Bullion Vault – Buy Gold & Silver
Join us at:
Home Business in a Box:
Home Business Course:
Today is Thursday 9th January 2020 and earlier today we published a podcast youtube video entitled:
Gold & Silver Down and Latest News Discussion With Controversially Greg
where we mention that gold and silver prices have fallen again today, the second fall in two days and address topical news issues of the day including tensions in the Middle east and the Duke & Duchess of Sussex aka Harry and Meghan.
We also briefly mentioned a Reuters Article published today where mark carney, the Governor of the bank of England has suggested that UK interest rates could be lowered further if the economy does not improve or in fact worsens.
Let’s take a brief look at that article:
Sterling has fallen in the past day or so and currently stands at $1.31 having been as high as $1.35 less than a month ago.
That said Sterling has recovered well from its lows back in August of 2019 when there were $1.20 against the pound. Also, we have to bear in mind that the dollar itself has also fallen recently against a basket of international currencies though not hugely.
The concern many of our listeners have of course is what does this mean for the price of gold and silver. Well in dollar terms, any strengthening of the US Dollar is likely to have a downward influence on gold and silver prices whereas any weakness in sterling will pose an upward pressure on gold and silver prices if bought in sterling.
If we take the last week for example, gold is up 1.55% in dollar terms but up 2.16% in sterling terms and silver is down 0.58% in dollar terms and unchanged in sterling terms thereby showing that the dollar has strengthened against sterling in the past 7 days.
This is a consideration we must all take account of – not just the dollar value of gold and silver but also our own individual currencies against the dollar is reflected in gold and silver prices.
Our estimate for the UK is that rates are unlikely to be lowered until at least March and possibly as late as June – however much also depends upon what other Central banks do in the interim too. We countries desperate for export growth, many will attempt to devalue their currencies in order to make them cheaper to overseas buyers, but this can also backfire too as it makes imports more expensive at the same time.
At the time of producing this podcast, gold is standing at £1,187 down £1.87 on the day and silver stands at £13.70 down 12 pence on the day. In dollar terms gold is $1551 down $6.10 on the day and silver is standing at $17.90 down 21 cents on the day – so much for those pumpers telling us to expect $2,000 gold and $23 - $25 silver very soon because of the Middle east situation.
Equity markets are rising as we predicted during the last couple of days and the Dow is currently up 211 points at 28,956 just shy of 29,000 which we predict will be reached and very soon with 30,000 on the horizon.
Thank you for listening and please do not forget to tune in to our latest videos published during the past couple of days and certainly comment on Controversially Greg’s Interviews even if you disagree with him.
Important Links and videos:
The New Silk Roads: The Present and Future of the World
- (US & World)
- (UK)
Gold, Silver and Rare Coins:
- (US & Overseas)
- (UK)
Stack Silver Get Gold:
- (UK)
- (US & Overseas)
Bullion Vault – Buy Gold & Silver
Join us at:
Home Business in a Box:
Home Business Course:
News Theme 2 by Audionautix is licensed under a Creative Commons Attribution license (
Artist:
0 Comments