This is the latest in my series of podcasts explaining how economics works in the credit crunch and now virus pandemic era. This week I give my thoughts on .
GB Investor and Politics
Shaun, i ask you this a lot, do you think inflation in the UK is because there is too much demand?
Morris May
With the 5 yr at 4.62, 2yr at 4.57 and 52wk 4.48, which bond yield gives a better indication as to mortgage rates rises along with BoE rate rises, with markets now pricing in 3 x 25bps hikes this year.
Richard St Ruth
I am a bit worried about Britain’s economy over the next few years.
I remember back in 1976, when Britain went to the IMF, gilt rates were very high. Five-year gilts were about 12% to 14%, while 10-year gilts were fractionally higher at 13% to 16%.
If our economy goes pear-shaped, heaven forbid, we could go to 8% or more.
Have you given any thought to gilts going higher?
Julia Macfarlane
Why are people not talking about this other than on twitter? I don’t fully understand how bonds work as I am economically dyslexic 😵💫 yet even I can tell something disastrous is unfolding. What’s going on!