Seriously considering buying property in Dubai - a few questions

[Brendan R]

the interest rate cuts are priced in, what is not fully priced in yet is the UK meltdown. Collapse will be swift, 2 days max. Exit sterling and euros.

 

[Wannaberich]

the interest rate cuts are priced in, what is not fully priced in yet is the UK meltdown. Collapse will be swift, 2 days max. Exit sterling and euros.

So whats going to happen?

 

[Brendan R]

a collapse of the UK banking sector due to the inability of banks to access foreign funding. No one apart from the UK government and therefore UK taxpayer is willing to lend to our banks which means the government will need to keep on increasing its participation in the banking sector. The ultimate result will be a great collapse where the burden becomes unbearable. The situation in the States is not good but they have the dollar and they will always be able to bail themselves out. The UK cannot rely itself to bail itself out. That's the big problem. That's why G. Brown is urging for global confidence, that's the only thing that could save him. Check the link below.
I wouldn't bank on this as other nations have their own problems to deal with.
We're on our own, in our own desert but we're running out of water.
BBC NEWS | Business | Davos 2009 | Brown urges global 'confidence'

 

[PropGuy]

the interest rate cuts are priced in, what is not fully priced in yet is the UK meltdown. Collapse will be swift, 2 days max. Exit sterling and euros.

I'm sticking with my instincts, to me, euro looks in oversold region. So I expect a move up to at least 1.94 where I'll exit half of my euros stock, for the rest euros I'll see the direction.

 

[Brendan R]

I'm sticking with my instincts, to me, euro looks in oversold region. So I expect a move up to at least 1.94 where I'll exit half of my euros stock, for the rest euros I'll see the direction.

1.94? sorry I don't get it, what cross?

 

[PropGuy]

1.94? sorry I don't get it, what cross?

typo, I meant 1.294

 

[PropGuy]

Btw, 1.9 will come but not this year imo.

 

[Brendan R]

Btw, 1.9 will come but not this year imo.

the markets are fractal, everything happens, it's just a question of time. We will see 1 first, the perfect alignement

 

[Wannaberich]

Whats up with the pound?its past 1.44 when I want it to go the other way.

 

[PropGuy]

Whats up with the pound?its past 1.44

oh my gawd it is alive

here is news that might explain its behavior:

The pound rose, posting a record monthly gain against the euro, after a government report showed U.K. mortgage approvals unexpectedly increased in December.

The pound jumped to the highest level in two weeks versus the single European currency as the FTSE 350 Banks Index climbed 0.5 percent, extending its increase for the week to 18 percent. Lenders granted 31,000 loans for house purchases, compared with 27,000 in November, the Bank of England said today. Economists predicted a drop to 26,000, according to a Bloomberg survey.

.... The pound slid versus the dollar earlier as a report showed U.K. consumer confidence dropped to near a record low in January. GfK NOP said its index of sentiment fell to minus 37. It was minus 39 in July, the lowest level since the data began in 1974.

“The pound is clearly going to move lower versus the dollar and the euro,” said Michael Klawitter, a Frankfurt-based strategist at Dresdner Kleinwort who forecast the currency will fall to $1.20 and test parity against the euro in the next six months. “Sterling risks remain substantial. The U.K. economy is facing a complex set of downside” pressures.

The International Monetary Fund said Jan. 28 Britain’s economy will contract 2.8 percent this year, more than any other Group of Seven industrialized nation. Global growth will almost halt as more than $2 trillion of bad assets in the U.S. sinks economies worldwide, the IMF said.

Prime Minister Gordon Brown said this week in Parliament the U.K. is entering a “deep recession” and the government will act to soften the effects, suggesting he may be considering a further fiscal stimulus.

Bloomberg.com: Currencies

 

[Wannaberich]

Sterling down to $1.20?You see thats the kind of sensible talk I need to read more of.

 

[Wannaberich]

Pound down again on the back of the expected BOE rate cut I read.
I thought this had been priced in already?

 

[Brendan R]

a collapse of the UK banking sector due to the inability of banks to access foreign funding. No one apart from the UK government and therefore UK taxpayer is willing to lend to our banks which means the government will need to keep on increasing its participation in the banking sector. The ultimate result will be a great collapse where the burden becomes unbearable. The situation in the States is not good but they have the dollar and they will always be able to bail themselves out. The UK cannot rely itself to bail itself out. That's the big problem. That's why G. Brown is urging for global confidence, that's the only thing that could save him. Check the link below.
I wouldn't bank on this as other nations have their own problems to deal with.
We're on our own, in our own desert but we're running out of water.
BBC NEWS | Business | Davos 2009 | Brown urges global 'confidence'

UK potentially bankrupt

 

[Wannaberich]

UK potentially bankrupt

Yeah but come on,thats not really going to happen is it.

 

[PropGuy]

Pound down again on the back of the expected BOE rate cut I read.
I thought this had been priced in already?

when u read an explanation, just take it as an explanation that just makes sense. I've stopped looking at explanations for a long time, I just look at charts and calculate probabilities. Now Euro is rising and GBP is falling, there is a chance that they will meet parity.

 

[Brendan R]

when u read an explanation, just take it as an explanation that just makes sense. I've stopped looking at explanations for a long time, I just look at charts and calculate probabilities. Now Euro is rising and GBP is falling, there is a chance that they will meet parity.

and the dollar is super strong

 

[PropGuy]

and the dollar is super strong

imo it is correction to down trend of USD, but too early to say anything about USD direction at the moment. 3 banks collapsed again so there is some up ward pressure for USD, in that case, as I said before I want call it strong USD. It is only coming up on bad news Which means when the financial climate is better, it is taking a dive.

 

[Brendan R]

imo it is correction to down trend of USD, but too early to say anything about USD direction at the moment. 3 banks collapsed again so there is some up ward pressure for USD, in that case, as I said before I want call it strong USD. It is only coming up on bad news Which means when the financial climate is better, it is taking a dive.

so better off shorting JPY in that case when climate gets better (2012...)

 

[PropGuy]

I'm expecting rebound in euro, long @ 1.284 lets see what happens.

50% stock sold @ 1.290 Rebound momentum is slowing down, risky to stay 'long' for too long. But I'll try to keep some euro/usd stock until 1.295.

 

[TommyC]

So what do you think is really happening in Dubai?

Moody's places Dubai Inc corporate ratings on review for downgrade'