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Monday 27 June 2016

Financial disaster predicted?



Talking down the economy is the new ‘Remain’ game.  Not very patriotic of them, perhaps...

Yes, the banks and the financial wheeler and dealers are juggling other peoples’ money, as they do, and doubtless making lots of money as they do that, but let’s get some perspective. 

Rates through the floor? Really? 

The pound taking a pounding... (Couldn't resist that one, sorry) Really?

On June 8, I withdrew 250 euros from my UK bank and it cost me £212.72

On June 27, some days after the dreaded Brexit (which is apparently aligned with the devil), I withdrew 250 euros from my UK bank and it cost me £208.48.

That’s a reduction of £4.24 (£0.02%) – as a result of the financial collapse we’re hearing about?

I don’t think so.  The rate fluctuates all the time. Some you lose, some you win, depending on the position of Mars, the Moon and Venus, no doubt.

I agree, these are small sums and when shifting large volumes of money, the difference can be huge. But that's always been the case. A changed decimal point can make a big difference with big sums of money. If you're moving that amount of money, then maybe you can afford the difference.  For the normal real people, the difference isn't apocalyptic, as we've been hearing. Yes, it would be great if the difference was the other way - as it has been in months gone by - but it will get better. If...

Start talking up the economy and get real.

2 comments:

Jo Walpole said...

Here, here. It's ridiculous. The markets fluctuate constantly that's why you're warned that investments can go down as well as up. Have all the sane people gone mad, or is it just us?

Nik Morton said...

Economies are run by so-called 'animal spirits' - if I remember correctly from my degree studies of Economics. In other words, the old 'tooth and claw' survival of the fittest approach when problems are perceived. Steady adult calmness can prevail.