https://www.rte.ie/news/business/2023/0104/1344821-salesforce-job-cuts/
Inflation continuing to moderate.
Markers seem to have already priced this in so mooted reaction.
The threat of high interest rates seemed to have slowed inflation, thankfully they didnt have to actually raise too much
I think a lot of the recent release is down to supply chains opening up again and the initial fear on energy receeding.
That said I think inflation had clearly taken hold. Wages definitely spiralled, the Fed should have stepped in earlier to moderate hiring with the threat of rate rises. I think the signalling impact of Tech layoffs will impact the rest of the economy and slow the second order impacts. I also think that we are going to see services type inflation slow down as vacation nest eggs during Covid have already been raided and immigration flows again.
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Inflation was always coming and was the warning pre covid. It has been exaggerated by the energy cost shock due to the war, but we can see from the massive profits of energy companies. The actual cost of inputs didnt increase too much just pure gouging. There has been a noticeable decrease in energy use, more focus on energy efficiency and increase demand in investment in green energy which is a positive but actually has helped reduce the inflation fear in a long way.
Rates probably would have increased in 2020 if there was no pandemic but what actually happened was rates went to zero to aid goverments to pay for lockdowns etc. Which, at the time was the correct thing to do. Imho that went on far too long and i said it at the time but the first few months definitely had to happen. This cheap money is a major driver of inflation
So, prices got really high, and are getting even higher, just not as quickly as they were getting higher before?
Top top top due diligence
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Some move by your man in fairness. Love to see them cunts caught rotten too
JP Morgan have some neck alright to be complaining about fraud
I think there’ll be a final sprint for layoffs in the tech space before the Q4 earnings and next rate rise.
The signs of the labour market easing will make the Fed push the brakes on the heavy rate rises.
The underlying Euribor rate has gone up 2.5% in 12 months. Business/corporate loans priced against this so would be feeling effects immediately if not hedged, as would tracker mortgage holders. Its a massive increase, albeit most home loans haven’t felt the brunt becuase they were overpriced to start with
Id agree, i couldnt give a toss about tracker mortgage holders personally they have had a good time particularly since covid. Covid gave basically 0% interest to banks which was the right call at the time. They were always going to increase off that so no point in complaining as now is the time to rectify. I do think the increases and threat of increases have put a bit water on the fire.
Irish interest rates should be around 5% plus and should have been that since 2018 or so at least and should have been climbing since 2016
The Euro has overinflated our housing market. Again
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Yup thats the way i see it. Pain in the hole for me, ill probably be drawing down a mortgage in 12 months, watching how its going. It qill and probably should rise but ive budgeted for a higher interest rate knowing this
The rate raises have taken a bit of heat out of the housing market at least
Only thong driving it is the 3.5x to 4x salary increase. Pain for me. Dont think theyll rise much more than now. Ive spent the last few months listening to boomers on about how hard it is. Cant live with parents forever
Waiting for the useless cunts to send you paperwork will be more frustrating than the rate increases.
In the US mortgage interest rates are in and around 6%. There is a cohort of people that have sub 3% rates. In the US if you want to sell the property you have to renew mortgage at current rates. It is one of the drawbacks of being able to lock in qn interest rate for the life of your mortgage. So there is very little activity or incentive to move for many at the moment. They are calling the phenomenon golden hand cuffs. Your monthly 6% mortgage repayment on a $400k house in real terms would be the same as that of a $600k house using your current mortgage rate.