Things Aren't Looking Great for the UK
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- Опубликовано: 3 окт 2022
- There's been turmoil in the markets surrounding the UK pound. In this episode we take a look.
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• www.theguardian.com/business/... e-as-much-support
• www.theguardian.com/business/...
• • Why Is The Pound Falling?
• en.wikipedia.org/wiki/List_of...)
• en.wikipedia.org/wiki/Templat...
• www.keycurrency.co.uk/gbp-to-...
• www.ons.gov.uk/peoplepopulati...
• www.theguardian.com/business/...
• www.theguardian.com/business/...
• www.abc.net.au/news/2022-09-2...
• www.goldmansachs.com/insights...
• www.theguardian.com/business/...
• www.theguardian.com/uk-news/2...
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Things are definitely heating up in the global financial system. In this episode we focus on the UK currency flash crash but I also touch on other global risk. Hope everyone out there stays safe. Also, thanks for watching.
Not yet had the time to watch the video but as you know, things are bad everywhere. As for the value of the UK Pound against the US Dollar, the Pound has recovered fairly well since its tumble last week. Fluctuations (some big, some small) are to be expected everywhere until the whole world settles down.
Thank you for putting out top notch quality videos. You are one of the most trust worthy sources of technology and economical news! We love you!!
@@SlartiMarvinbartfast Starting a comment with 'Not yet had the time to watch the video' lmfaoooooooooooo
@@aaronshults8472 Agreed~
UK Citizen here
What Happened
The British people got convinced to vote Brexit splitting us from our largest trading partner the EU this was a close vote.
This caused political mayhem for years, eventually the Conservative party won a major election victory under Boris Johnson a great public speaker but a man very unfit for such office,.
Johnson caused scandal after scandal till the dam burst and he was forced out (over parties during lockdown) and the only people that could vote for a new PM were Conservative party member's and they went for a even worse choice Liz Truss and so now the conservatives are being run by their extreme wing and they are incompetent
SO
Take some care who you vote for, when mouthy incompetent people take charge this is what it looks like
You know you’re in trouble when a Cold Fusion video comes out about your country
this comment should be pinned!
My thoughts exactly. Sad times
Never a good sign. Sad times indeed. It's like a Plainly Difficult video if you are on it, boy its gone tits up.
To be honest we're doing fine here in England. Things haven't really changed much. Yes inflation is similar to other places, and that's not fun. But in actuality things aren't really much different these days. In fact, the pound is higher now than before the crisis, so that lasted about a week 😁🤣
Cold fusion aint even about economies 😭
As a UK resident, I wanted to pick up on one point. Liz Truss wasn't really elected, she was chosen by the Conservatives as their new leader, after they forced out Boris Johnson. Which makes the mess that she's causing even worse.
Can't wait for the "Labour have destroyed the UK" videos some 6 months after they get in to power in 2 years. Tories or Labour to lead us? It couldn't be simpler - Labour have no answers and will make things way worse, but will 100% win due to people being "sick" of the Tories.
'As a UK resident' you should already know that a Prime Minister is never elected.
You vote for a named MP nothing more.
Rishi Sunak was the better option. Stupid choice by the conservatives
Asking as not a Brit and purely out of curiosity, who would have been the best choice for handling the crisis? BoJo, RiSu or Lizz?
@@paidninja1413 He was one of two choices provided by MPs for the membership to choose.
As a British 29-year-old who rents: my future is more or less ruined. I can't afford to have children, can't afford to put the heating on, can't afford to visit my parents 3 hours away without extensive budgeting for petrol... my husband and I are literally working to survive. As a child, I was taught that if you work hard in school and do your best at work, you can at least expect a decent future with the ability to afford a small, modest home, a kid or two, and perhaps the odd holiday every few years. Might not be luxury, but it would be enough to be content & find purpose.
But now, even with two of us working FULL TIME jobs, we're spending the best hours of our days sat staring at a screen, only to freeze whilst we work, eat the same basic ass food every day (if we eat at all) and can barely leave the house because every single penny is needed for the bills. There's nothing to look forward to, nothing to wake up for every day except for a struggle and to listen to what new crap the government has decided to do or not do. I can't even apply for benefits because my husband is not a UK citizen and therefore unable to access any financial assistance.
I don't even know why I bother. Most days I just hope that when I go to bed, I don't wake up again because this is an absolutely pointless existence.
I broke down and cried when I read your post. I feel very sorry that you are struggling so much. I’m 60 now and several times when I was young I felt the same kind of despair. Don’t give up. Things can change for the better. There are so many new opportunities and technologies that young people can harness, that never existed when I was young. You need to have faith that life can be good for you- faith in times of trouble keeps your creative spirit alive. Creativity is what will lift you out of this mess. That… together with a with a resolve to be of service to others will help you make your path a productive and profitable one. Sending prayers for blessings your way….
Dajjal: The Anti Christ by Ahmad Thomson
Your future is in your hands. Set up a business.
Lots of people I've talked to here in the US feel the same way as you. We can only hope enough people see what is happening to stand up.
Unfortunately, the only way this is going to change is for enough people to suffer, and to stand up.
Im already looking at options for moving out of the country. I just dont see a future here anymore.
I'm a working class British guy. The mood is apathy and distrust in the entire system. The people I'm close to were not surprised and are pretty certain they did it on purpose. They're not sure if the world governments are incompetent or evil but they think both is a very good assumption. The falling pound rarely comes up in conversation, they're more concerned about the price for heating their homes and inflation.
Same background. I genuinely think the only way out is to adopt a Keynesian economic approach and actually borrow to invest in infrastructure. It would ride out the short term impact of job deflation, give a lot of people high skilled jobs and give us an incredible asset which in years to come will likely compound any investment we originally put in. Just so disappointed the tories will follow their rhetoric down a rabbit hole.
There's more to this than economics, it has become very apparent Liz Truss was not the PM the establishment wanted and from the word go set about removing her no matter the cost.
As a British person in the UK right now, I can say things really don't feel great in the UK right now either. Lots of people are struggling and worrying how to get through the winter. Literally everyone I know thinks the government is incompetent and wants to get rid of them (although I live in North London which is quite a Labour stronghold), Liz Truss's approval is already as bad as Boris Johnson's was. Things are bleak.
Hehe, how do you imagine we germans feel right now? :-D
Funny winter ahead of us... I have no idea how freakin bad the gas shortage will be, but i have the feeling it will be worse than we imagine or lets say, worse than they tell us.
@@JonesP77 your government did the wise move of shutting down the nuclear power plants and replacing them all with gas :/
I'll be keeping up to date on you guys this winter. I hope things are ok.
As a dual national Romanian and British with a mortgage in UK and 4 children all I can say WHY BREXIT? it ruined the country and the life of many people and the worst is still to come. For the last 3 years I had to leave my family alone in London and work in Germany and Ireland because the business in UK is going down.
Do you guys have debtors prison? If not then act like your government
I'm from the UK and what I find interesting is the lack of shock at this happening. I think it's because people are so used to government corruption.
It's hoenstly not surprising. Why? Because people are tired. Covid, war in ukraine, now this. It's just too much at this point and people are too tired to care anymore hence why they're just kinda indifferent to all this.
frfr the atmosphere out ere is very passive.
@@sebotrp Just wait until the food crisis hits next year.
It's also tiredness and despair. People don't have the will to fight back. If this were France, there'd have been a revolution already.
you mean the queen also involved ?
"Imagine losing 5% of your savings overnight."
This happens to me a few times a month. I call it grocery day.
I’ve lost about 25% of retirement savings (admittedly only paper losses right now) as a result of the stock market crash. However, I’m 67 and don’t have time on my hands for a full recovery, which I’ve no doubt will happen but when?
@@paulbenfield1759 If you are retired, you should just cash out already. Also the older you are, you should have your investments in less volatile assets since you don't have time to wait for the recovery.
@@paulbenfield1759 here's golden rule. never invest in anything you don't understand. what makes you think most Asians are still old school, buying gold (real gold), houses, and everything solid rather than electronic statements that saying you have this much of value.
::the u.s. dollar is catching up to the british pound:: that's a crisis?
Joe Biden approves this message ...
Minor detail: government bonds in the UK are 'Gilts' not 'Guilts' due to the certificates being traditionally edged with gilt to distinguish them from commercial bonds. That's not to say that successive governments aren't guilty as hell for getting us so far into debt.
Yes, I love the fact these two words which sound the same, but are spelled different with sort of diametrically opposite meanings both can be logically applied in way to the concept of a "bond".
@@kmouratidis Gild is a verb. Gilt is generally a noun, for something that is gilded.
I live in the UK. I work full time in a call centre, with sound engineering work on the side, and live in a tiny one-room studio apartment which takes half my wage. I wrote to the council asking for a payment plan on council tax, they haven't got back to me. I work next-door to Octopus energy, who are my supplier, and I know some of their staff. They are in such disarray that they aren't even bothering to chase me for my £1000 bill. The whole system feels like it's falling apart -nothing seems to work properly anymore. The Royal Mail are on strike. The rail workers are on strike. The only blessing in all of this chaos is that my debts are slipping through the cracks -for now. I have a degree in audio engineering and can't find adequate work because the music industry was killed by the pandemic, and if there was any life left in it, it'll be dead by January.
Hey there, Audio engineering sounds interesting. So what kind of work were you doing earlier and have you considered relocating to Hollywood or Los Angeles or some place like that possibly where they have better pay and work environment. Challenging thought right!
Well, at least the part about not bothering to chase you for your bill sounds positive :)
@@varunemani LA is a s*it hole (drugs,crime,pollution,traffic,wildfires,homeless) and insanely expensive and he would struggle to move to the states without a greencard or work visa. Its not easy to obtain one as myself live in the states as a brit and have been through the process myself.
I work in the same field as you. After finishing my music technology degree, I worked in events as a freelancer while working in Wetherspoon's. At the start of the pandemic, I moved into broadcast engineering full time and things are far more stable for me now. I see radio and video staying put for a long time
@@rossssd4969 I've been hoping to find my way into something more stable like broadcast work because honestly, freelancing mostly as a live/recording engineer while doing a day job for PPL PRS isn't cutting it. BBC Radio Leicester might get my CV through their letterbox in the near future. Glad you found your way though mate it's a tough industry!
I'm in the UK and changed jobs about 6 months ago for a higher salary. My old boss was convinced I didn't need more money than he was paying me and that the UK economy would be fine. The man who ran/owned the company was wrong. I'm so glad I moved on. My next plan is to get debt free (apart from my mortgage) by this time next year. No credit card, loans, phone, car finance etc. Car and phone are paid off. Just a loan to go. I hate this buy it now pay later world we live in.
Me too it makes everything super expensive
He just didn't want to pay you more lol It's an excuse but lucky you did the right thing. Most jobs, you have to leave, in order to make more money.
Read Dave Ramseys 7 steps
@@fearless6947 I 100% agree.
Working for a finance company that deals with buy now pay later products, been telling everyone i know to avoid that shit.
this year will be a year of severe economic pain all over the nation.. what steps can we take to generate more income during quantitative adjustment?I can't afford my hard-earned $180,000 savings to turn to dust
@@Patriciacraig599 Wow! That is astounding. Where can I find this Advisor? I have to profit from the market's decline.
@@JamiLandrell Look her up online; she has a website where you can get in touch with her.
@@Patriciacraig599 i looked CORINNE up out of curiosity and she seems really proficient, thanks for sharing
You can start by loaning (me) $10,000. 🙃
@@Patriciacraig599 Scammer. 👎
As a UK hotel business owner during the health crisis, I was forced to take out a 9% CBILS loan to repay my “stalled” 3.5% repayment loan or lose my business. The deal ends in Dec 22, best rate is 7% plus £50K of fees. Even with FREE GAS and ELECTRICITY my business is done and so are many others.
I feel sad for you. People often are not concerned with small businesses that suffers a lot (and you must work at least 50 hours a week)
Why are you running a business in the UK? There are many other countries. And no, "friends and family" is not an excuse.
UK is getting karma for looting INDIA. What you sow is what you reap!
@@LMB222 UK is pretty high on the list of "best countries to run business" though.
The majority of politicians in the UK are wealthy, attended private schools and have absolutely no idea what life is like for normal people. They are so out of touch that it is scary!
When it comes to politicians it seems an inverse Hanlon's razor applies - I'm not sure they're out of touch as much as deliberately malicious disguised as such.
imo the problem isn't *just* that they're wealthy and attended private schools - it's that they don't listen to anyone who isn't, unless they're willing to tell them exactly what they already believe. They are deeply prejudiced against the poor and the oiks, even when it actively harms them.
That basically describes any government in the world it seems. It unfortunately seems to be a trend :(. I often am just surprised how little life experience some have, if any at all. It's sad because a big portion of the world wants to move on and also really wants to work and connect to the outside world.
That has nothing to do with their job. You would be incompetent at their place despite being in touch.
The problem here it seems was not having any knowledge or advisor skilled in finance and markets.
@@superresistant8041 - No, the problem isn't a lack of knowledge or advice. It's that the knowledge and advice that they were getting were conflicting with what they wanted to do, so they ignored them.
People have made a huge deal about how terrible the Truss/Kwarteng budget was, and they're right to. But they miss the fact that it was pretty much just bogstandard Tory ideology - cut taxes for the rich, promise to maintain services with less revenue, borrow to cover the cost. It's stupid, but it's not a new kind of stupid - it's what English voters have been voting fir for 12 years. Before it became obvious that it had screwed the economy, our right-leaning media were happy to tell us all how wonderfully it was going to work.
Point being, no one doing this was lacking in information. It's just that the information they had is "Don't be Tories".
“Imagine losing 5% of your savings overnight.”
5% of zero is still zero.
Damn man post the cashapp/Venmo youtube bros got you
@@ducktape4502 I’m good fam, but I appreciate the thought. 👌
On the flipside, 1% of a f-load is still a f-load.
He referred to people with Jobs and income not jobless weebos in MAMA’s basement
The market is down over 20 percent
well my father used to say always invest in land for saving. He knew this would happen. all the best to uk
--- from India.... lets hope global economy stabilizes soon....
China did they are also not in a good shape
@@vardaanbajpai5813 he lives in india for china the case is very different. His father told to buy land for flats there is a difference in both
@@vardaanbajpai5813 The difference is in China you never really own the land, you just lease it from the government
@@vardaanbajpai5813 The people that already paid off their houses in china are in the green. the people that tried to prebuy are in a dire situation. Just dont buy things that havent even materialized.
The chinese government has also enacted laws to stabilize the situation.
@@zeppkfw The law enacted is backfired
The scary thing is in the video they said that 40% of mortgages in the UK are interest-only ARM loans. In the US they're currently about 4.5% of all mortgage loans.
In 2007 they were about 30-35% of the loans in the US. Remember 2008?
No matter how you slice it, having nearly half of a country's mortgages able to shoot up to levels that might be unaffordable is a catastrophe waiting to happen. And as you know, the Fed and Central banks are raising interest rates to curb inflation.
Well, if mortgage payments go high enough then people won’t have much money to spend on other things meaning the inflation problem is solved. That stops interest rate from having to be raised further.
@@ildar5184 And Bush walks scot free
@@ildar5184 housing prices need to collapse and it's a matter of time until they do.
Well it says 40% of the pounds.... not 40% of the mortgages.
ARM loans are awful. Especially if people do not refinance out of them after a certain period of time. They're a ticking time bomb essentially.
"Imagine losing 5% of your savings overnight." I don't have to, happens every time I fall asleep with the heat running. Gas/Oil prices are just ludicrous right now.
lololol
It’s not that bad, Jesus
@@icarusflying1814 Depends on who you ask.
@@icarusflying1814 depends on your savings 😂
You left out the part where you are liar who just made this up
The main issue with what the Government did was NOT to do with helping UK Homes with their bills (Gas/Electric). The markets were perfectly okay with this, hence the value in the Pound not really changing at all after the 8th September announcement.
The main issue came from the September 23rd "Mini-Budget", which had 3 major things that caused the economic market to lose faith in the Pound/British Government:
1. It came after Kwasi Kwarteng - the Chancellor - fired a long-term, unbiased senior staff member of the exchequer shortly after becomming Chancellor. People were worried that this would lead to financially more risky decisions.
2. The Office of Budgetary Responsibility (aka, the OBR) are almost ALWAYS made to provide a report of the expected economic effects of Government policy, so as to explain to investors/economists exactly why certain decisions might be taken. Kwasi Kwarteng excplititly refused/stopped the OBR from doing so for the 23rd September Mini-Budget announcements. Combined with point 1, above, this spooked investors as it makes it appear that the new Chancellor is not actually sure the new policy is economically sound, but is gonig to do it anyway.
3. Finally, it was the actual policy that was announced by the Chancellor on the 23rd that really caused the issue: Removing the top rate of tax: i.e., outright removing the 45% tax band, which only applied to those earning over £150,000/year. The median household income (before taxes) in the UK was £37,100 in 2020, and not too much higher in 2021. So, this policy only really helped those in the top 2 or 3%. It would also cost the country about £18-20bn to lose out on this tax. If this was uncosted - it would mean it would be serviced by debt for no benefit to the actual country (i.e., investors did not beleive it was debt to help build the country's infrastructure/economy in the longer term). In fact, in order to pay for such debt, economists believed that it would be likely that public services - which have been cut to the bone since the Tories came into power in 2010 - would have to be cut even more, possibly causing the public services to compeltely fail. This, too, scared economists/investors, causing a loss in confidence in the British economy.
The 8th September announcement didn't have too much to do with the sudden crash. However, I will say that even that £100bn announcement was not necessary, given that Labour, the opposition party, had already suggested a much cheaper (~£23bn) and much more effective plan (said plan would have provided long-term benefit in the form of home insulation) before Truss even won the leadership contest.
Basically, Truss and Kwarteng's ideologically driven (at best), or outright corrupt (at worst - see news about Kwarteng's meetings with ForEx traders around the time of the announcement) refusal to do what is actually best for the country is the cause of the issue, not necessarily just the cost of living crisis that has been caused by COVID/Russia's invasion/Brexit.
Corrupt look smore likely.
That 45% tax brackets is the least of concern as it doesn't bring in much revenue
The execution and the way they went about it are more of the concern
I don't actually think additional borrowing was that big a deal given the UK debt to GDP is the second lowest among G7
This happens because rather than choosing competent people u choose to do identity politics rather than seeing human beings as human beings u divide them
Wow very informed and very right thanks
This was it! This video pretty much got a lot of it wrong. Anyways, the pound pretty much got back all its losses.
I’m from the UK, and just moved out for the first time for work. This is literally the worst timing ever for me, and because I started work in middle of the month, I have very little money for food right now after rent and utilities. I’m young, healthy and a single person, I couldn’t even imagine how bad it is for parents, carers and people who are disabled, especially as winter sets it. I just hope it’s a mild winter this year. Also, I don’t know if it’s just me, but it seems supermarkets have less of a reduced section now? I assume this is because of inflation, but it really sucks for people on a budget like me, I just want some meat to eat :(
the pfp though
But you get to eat beautiful beetroot borscht! The national dish of Russia, who are the new rulers of Britain, so that's a double win for you Imperialist pigdogs! Eat borscht!
I felt some pain reading your comment..I live in Greece and im pretty sure things wont be easy anymore for years now,and i feel bad that i didnt prepare more.We humans have survived alot,we can do it again❤
@@alexvlaxos6620 Move to the spiritual realm of the molecule sea.
@@thetruth9210 Keep Imperialist/but now Communist head in sand... and remember to budget for borscht!
A round of applaud for the great analysis and breakdown of personal perspective. The market circumstances are driving me insane, my portfolio has lost almost $18500 this month alone, my earnings are tanking, and I can't see how my retirement will go smoothly when I can't even increase my stagnating reserve. I wonder whether those who lived through the 2008 crash had it easier.
The current market might give opportunities to maximize profit, but in order to execute such effective transactions, you must be a skilled practitioner.
@@tampabayrodeo2474 who is this individual guiding you? I lost over $9000 just last week, so I’m in dire need of a financial-planner.
A recession as bad it can be, provides good buying opportunities in the markets if you’re careful and it can also create volatility giving great short time buy and sell opportunities too.
For this Pointer, I am grateful. It was simple to locate your handler, who seemed to be quite knowledgeable and adaptable. I set up an appointment with her.
@@graceocean8323 This is the worst 'hidden' advertisement I've seen in a while.
I'm a software engineer in England, and even my colleagues have expressed concern. Can't imagine how rough it must be for low-income households.
Go volunteer and find out
Stop killing Indians and stop ttack on templates
Same, gotten so many recruiters trying to make me come over but bow it looks I am happy I stayed in my own country working remote, looks like the whole thing is run by a bunch of headless chickend currently..
Will there be any impact on IT jobs?
At least your new prime minister is a good friend of Israel and the Jewish community in Britain.
We tried to warn you, you didn't listen and now you have to pay the price.
To answer your question, Dagogo, coming from a 3rd wold country to the UK to live and work about 9 years ago it felt like I was in a different universe. I heard words on the radio like negative inflation, lowest unemployment on record etc. Fast forward to today I hear things on the radio similar to the country I left behind and that muppet leadership.
Debt-fuelled expansion will end one day, then the debts have to be paid off. That's usually when the recession starts as well, and later it turns into a depression when a lot of people suddenly realize they can't pay off their loans. Governments and corporations have been borrowing like crazy for the past 15 years, and we're at the end of that path.
@@Tuppoo94 They never really pay back the loans.
They use inflation over time to make the debt easier to repay. Since the early 1980's they have 10 folded our currency.
In the next 40 years everything now will have an extra 0 on the end of its value. A 300k house today will cost 3 million, but then your salary will be 300k.
@@rob-123 salaries haven’t risen in over ten years
My neighbourhood is full of Romanians. Lots of them fled the communist regime, and now they're considering leaving Denmark due to Denmark and the EU going the communist route.
This is what happens when everyone chooses to run from their own problems and into the arena of people who “fixes” their problems. We will have this issue very soon in america with all the immigration and leftist issues. When people would feather run from issues than face them, this is what you get. Countries full of people who never faced adversity therefore the only thing they know how to do is complain and or run again. Hope this didn’t come off as personal this was just a general view of what’s going on
I work for a large distribution company just outside London, I wont name it. We've had 2 decent pay rises over the last 6 months, my mate works for TFL had a payrise aswel, tells you inflation is pretty bad, but they obviously wont tell us that, just chuck worthless paper (well plastic) around and hope nobody will notice. There's strikes everywhere, I see the bus drivers picket line every morning on my to work, the country falling to bits.
The UK isn't falling apart stop being such a drama queen. Sure things are difficult but to say the country is falling apart is nonsense. Put your big boy pants on, keep calm and carry on.
I am bulgarian and I live on the Isle of Man for the past few years. I work as a baker in the biggest island bakery and the bread/pastry prices are increasing weekly. Fuel it's skyrocketing, food prices too, I know a lot of people who left the island and moved to somewhere move affordable. I am doing kinda good because I am doing backbreaking hours, if I wasn't doing them I would be struggling.
"Imagine losing five percent of your savings overnight"
Me, an Argentinian: I'd call them lucky.
As a friendly reminder, don't trust any politician that claims inflation not to be a problem, they're probably after your money.
Me as a Turk totally understand you and join you :). We both know how to live in hyperinflation and survive somehow.
@@demirdemirbag3194 I'm a turkish-argentinean... it hurts two times haha
I think this just needs amending to "don't trust ANY politician" - after all, they are all after your money one way or another
As a Brazilian I would say it could be avoided. That's why we desperately need to keep Bolsonaro 22 here.
Bad cultural movements lead to bad politicians that leads to bad policies that leads to bad general state.
@@demirdemirbag3194 i went there a couple months ago, and never knew the Lira was worth so little, it’s really sad. Wish you luck!
I'm in the UK and we have just literally completed on a re-mortgage as our current fixed deal was expiring. This morning we got a letter through the door from our old lender (must have been sent out early and just arrived) stating that the interest rate was rising from 1 to 5% which would mean an additional £500 a month.
Even though we were savvy enough to have avoided this surprise hike by simply not allowing ourselves to end up on a tracker mortgage it still made me feel a little sick. If we were caught out, not only would we be paying more for generally everything, including our energy bills which doubled back in May, but an extra 500 a month on top would have been a disaster. Not only did I feel a little sick for what could have been for us, there will be so many homeowners out there who were already on the ropes and this would have blindsided them. I fear for so many people who will suffer as a result of this. Renters will feel it too as landlords will further hike up rents to cover their mortgages on the properties. The situation is not a good one.
I pity people don't read financial news often. I have been following current market crash around May/June as I got severely burned by the initial market crash started in November/December. It is around May/June, I kind of concluded that the market is going for a big crash. And since then, I got more and more bad news about the market. By July, I have completely out from the market.
What I'm trying to say is, whether you are investing or not, market and financial news affect everyone. Usually only big crash will be on the headline news, that is after you got burned. So don't wait until that happen only you start acting. Stay informed, stay safe.
@@shikyokira3065 great advice! Thank you!
I think 🤔 some British will emigrate if this country go to Venezuela style.
Completed on a new mortgage 8 days ago? Whats the new rate? I thought they already were fixed at nearly 4% a mopnth ago and 6% now. Did you get a deal significantly close to 1%?
Variable rates are a killer. Most people don't understand how much extra they will cost monthly or over the course of a loan for something as large as a house with just a few percentage point increases. I avoided variable rate mortgages like a plague.
Awesome! your potential seems timeless.* Understanding your financial needs and chalking out a plan remains the smart way to prepare for the unexpected. 11yrs in investing space and extremely pleased with the decision I made.The good news is - it’s not too late, I'll suggest you find a mentor or someone with experience guide you especially in this recession.
Congrats! I'm fascinated with investing, as a single parent and juggling all these things are quite difficult. Invested $ in few sectors but haven't seen any profit yet. Do you think I'm missing out something?
@@sheliaswelttk2535 Success Depends on the action or step you take to achieve it. Show me a man who has no investments and I'll tell you how soon he'll be broke
@@williamskohler8337 Just because there are opportunities in the market doesn’t mean you should go in blindly. To understand the potential factors that contribute to your financial growth, I'll advise you to seek the help of a professional investment coach
@@gabriellewilson5625 i totally agree to your words of wisdom, very blunt and honest, Please, your coach you mentioned, how do i get in touch with your coach you speak of?
@@davidnewbury1721 I invest with (Tracy Helene Aalvik) a widely known investment consultant. You can make a quick internet research with her name mentioned where you can easily get in touch..
With the media, its usually sad news. Nonetheless, dividends are what got me into investing in the stock market. The thing to me is, if you invest and have other income outside of dividends then you will be able to live off dividends without selling. Which means you can pass that on to your kids which will give them a leg up in life. Have over $730KK in my portfolio as I bought a lot of dividend stocks before, I'm buying more now, and I will buy more when it drops further.
@@tampabayrodeo2474 Please can you leave the info of your investment analyst here? I overheard someone talking about how a couple made $200k during this red season. I need such luck lol
As a new investor it's always great to hear from a person who has gone through all the difficult times and come ahead of it. It's unnerving to see your portfolio go from green to red but as mentioned if you have invested in quality names just have to keep adding to them and stay the course.
These days, you can clearly see the difference between those who have a short-term mindset and a long-term mindset . Out of curiosity i was able to find Johanna when I looked up her full name and found her web++page, read through her resume and seems pretty tight. Left her a message & hopefully she replies soon. Nice one, i commend this
Thanks for letting us know
This is a scam. Anyone skiting about how much they're making is a bullshitter
Great work as always. One note - a UK bond is a gilt not a guilt. Gilt-edged securities are bonds issued by the UK Government. The term is of British origin, and then referred to the debt securities issued by the Bank of England on behalf of His Majesty's Treasury, whose paper certificates had a gilt edge. Hence, they are known as gilt-edged securities, or gilts for short.
Gilt meaning gold.
Was scrolling to see this comment, really embarrassing mistake tbh. Any relation to Karl mate, or just coincidence?
You are correct! It is Gilt!
Also, in India Gilt is a form of purchase of a bond backed by gold reserves. These bonds are relatively safer, more liquid, and, obviously, carry lower returns
A remnant of the gilded age I presume
Her majesty? Who’s that
Crazy how the pound & the dollar were almost worth the same. Didn't think I'd see it in my lifetime. This should be a great video
That's what happens when you're the UK government and give been smelling your own farts for way too long.
Reality to Great Britain, do you copy?
At least it's not as bad as the Euro...literally worth less than the dollar now
@MeChupaUnHuevon it went to $0.97 for a bit
You have not been living long it happened in the 80's.
@MeChupaUnHuevon because the Americans choked it. Cia blowing up nord stream is their last resort. Germany is the head of eu to destroy it is to destroy the eu
Great video, very informative. I left Northern Ireland over 40 years ago and came to Brazil. I've lived through crises of near-hyperinflation, several economic plans and, more recently, a polarized political situation. At the height of the inflationary years our salaries were to a greater or lesser extent inflation-protected, so we got by and survived. I still have siblings in the UK and I wonder how they are going to make out. Are they going to be much poorer? The horror of higher energy bills is shocking, higher mortgages and the cost of living. Will the UK as a whole become poorer and how long will it take to recover, if it recovers?
i personally feel baffled that the UK has gotten into a situation like this. it all went downhill from 2008 crash. then came brexit, then corona. my parents used to be able to buys sweets for 5p. then 2015-2020 50p-75p(0.58 USD) now they are £1-£2. im pretty ticked off that prices have nearly doubled. about to moths ago i used to be able to go to the shops and find the calbury sized bar from 99p-£1. now i see them for £1.20 - £2(2.33 USD)
It is mental!!!
One thing I'd love to bring up first is the insanity of all of this. The central bank intervening to try to mitigate a crisis is something that happens the world over, but this is our central bank acting in direct opposition to the sitting government. It is unprecedented and utterly terrifying to live through.
As a UK resident, chats about the current Gov't are a mix of gallows humour and disbelief. Since the Brexit vote, the conservatives have had a dearth of anything approaching competent in the front benches, every reshuffle and new PM has been favoritism over competence that has ended up with the literal dregs of the party. I'm by no means a Tory supporter as they've always been classist silver spoon tossers, but the drop in competence is staggering to notice.
We voted out all our competent leaders because competent leaders were the ones telling us this is what was going to happen if we voted to leave. It's gone downhill since Brexit because it is the corrupt leading the ignorant. Only leaders left in the Tory party are literally the ones who never stood a chance in a Pre-Brexit world.
Yet I get the feeling that the Tories will continue to control Parliament because the majority of their base is incredibly gullible. Same thing with Republican voters in the United States.
"classist silver spoon tossers" - this made me laugh. I'm a libertarian and I totally agree with your assessment. They're a bunch of fucktards.
On the other hand, the Labor party are just as incompetent. Corbyn was a fucking commie. Starmer's a dimwit. That's all I'll say.
Unfortunately for the UK, regardless of who's going to be in charge for the next 5 years they're fucked.
They are all as bad as each other. Just look at the Labour front bench.. I mean can you imagine that lot forming a government, its comical! Thats what you get for electing career politicians it seems.
They model themselves on Tony Blair's Labour party, would be the problem. They should try being conservatives for the first time in over a decade.
I'm from the UK (Scotland), and let me tell you, people are worried!
To give some context, the rates on mortgages have been below 2%, approaching 1% for a while, and people have become accustomed to cheap debt. The vast majority were not looking forward or anticipating any sort of interest rate rise and when signing a mortgage agreement, didn't understand the effect a few percentage points would have on their monthly payments. 1.5% to 4% doesn’t sound like a lot on paper, but it’s a heck of a lot when you compare the difference each month.
Free mortgage advisory services have been selling 2 year fixed rate mortgages, to first time buyers and people remortgaging. They’re easy to get approved for, but obviously when the 2 year fixed rate period ends, they’ll move onto the current market rate. Why they were doing this seems utterly crazy when you consider how low interest rates were. People could have been fixing for 10 years and had complete stability and not have been as exposed to events like this, all this with a low interest rate! And what’s the alternative? Were they really going to go any lower?
Anyway, for the people with 2 year fixed rates, in particular if they are ending soon, that will seem like a terrible decision in hindsight. Unfortunately there are a lot of people in this boat, and with the cost of living squeeze as well as a rise in mortgage payments, it’s a perfect storm of utter misery.
This just covers mortgages. Most of the cars on the road these days are either leased or financed. People are living well above their means in general, and if you’re just getting by then this could tip you over the edge.
It’s going to be a grim winter.
Were they going to go lower? Well, Yeah, actually.
We got our mortgage at historic low levels, and fixed for 5 years. What happend? Interest rates went down further, so yeah, we actually got screwed
However Our mortgage now has 1 year left on it, after which, fuck knows how we will afford it. It may be time to emigrate.
Put off the governent, all of them OUT! The people SUFFERING with THOSE GAME'S, they play games with the ENTIRE WORLD, it is not only in UK, it is all around this 🌎 and rulled for EONS, people are 😴 😴😴😴😴
Are there any stats on currently mortgages in market? For example what % of people have 2 year fixed rate mortgage?
This was one of the main issues in the US housing market collapse of 2008. Too many flex rate mortgages. It is rare that anyone gets them here anymore and was a hard lesson for everyone. Most mortgages are full term fixed rate now.
And this is how they take those houses. Don't worry though, I'm sure they will rent them back to you, ha ha 😂
As a German, I am aghast at the amount of chaos over in the UK. The British are our cousins and I have many friends from UK, although most of them work in Germany and Switzerland. However, I feel that I must addd something to the article about the looming crisis: I have often wondered, what is the UK economy actually based on? Back in the early 90s, an entire generation left their home towns and went to London to "make it" there. The majority started working in Finance and / or Marketing. One created money out of warm air, and the other one created valued out of hot air. That is my personal and as I am aware, very german perspective. But we do remember that FR president Sarkozy visited the UK and returned home with the comment: " It is incredible. It is a country without industries." (quote / unquote.) Today, 30 years on that has not changed. I am sitting here writing on a chinese PC with patents from the US, microchips from Taiwan and it was all invented by a German guy in the 1930s. And in the largest supermarket in my hometown, Munich, you will not find ONE product from the UK. Not a single one. We do hear that they spent 100 million pounds on the funeral of her Majesty the queen. If that is true..well, then at least they still know how to create money out of thin air. Good luck GB and thank you for the Beatles. They were great.
I would recommend Germany deals with its own issues first not doing that well your selves in fact none of Europe is it's not just the UK now it's the whole continent
Thanks so much for making videos for this topic - i am loving your channel for the tech-coverage but really appreciate that you are now also covering this topic that is increasingly worrying me
I don't understand how can you cause THIS MUCH damage AND get away with it. Shouldn't they be held accountable? They've caused A DISASTER during already really harsh times; and it's not like these people have any dignity to resign.
Now the country will go bust, and they'll sell what's left of it, which is maybe the goal of all this.
Don't vote for them anymore. That's how they're held accountable. Unfortunately, most people keep voting for the same people year after year, and then they wonder why everything sucks all the time.
People are looking at the UK, while Europe is in a dire situation. The European comission is not elected, the eu parliament is a joke, nobody will answer anything
I think this present crisis is far too big a problem for ANYONE to sort out, I myself would not have a clue where to begin to sort this mess out. Truss would need Superpowers to fix this present mess.
That's how democracies work my friend.
The PM is the highest person in the UK bar the King. The King has the powers to force an election but given the fact he has only just got into the position he won't want to cause a constitutional issue, much like his mother i'd imagine he won't get involved unless the country is on the brink of collapse which thankfully the bank of England has stopped it for now
Pub full last night, all smiles, shopping today, shops full, small town north west UK.
We have been through worse, 1940, on our own, Germans bombing etc etc.
We survived then, we'll survive now.
Amazing education and explanation. Thanks Dagogo
This is probably the most calming way (the videos have a chill vibe) to describe total calamity.
Calm before the storm
That is the Dagogo's touch. You could chill in your sofa while he is calmly announcing a meteor will end civilisation within the next hour.
Things aren’t looking great everywhere
Very true and largely due to Russia and Ukraine war.
Something something Great Reset.
Just say Things are Not Looking Great for "Western Countries".
Just Now India's GDP Growth Rate of April-June 2022 Quarter was 13.5%.
So just say WEST
@@gouthamsudheer2080 Rupee is also losing value against USD.
@@neelanj6375 But the Economic Growth Rate of India is Just in Good Shape right now. Also Inflation is also Mostly under Control.
Every day here I hear about the winter and the cost of living crisis. Not so much about the £ and the almost collapse of pension funds as I think thats too difficult for the general public to get their head around. I work in retail and constantly its people buying more blankets etc to heat themselves rather than the home. I feel a general sense of panic from most people especially the elderly.
Looks like we need a second video on the UK already
1:30 The energy bills aren't capped at £2500. The energy cap is on the unit rate.
10.3p/kWh for gas
34p/kWh for electricity
Hence if the usage is higher, the bills could potentially exceed £2500.
Thanks for elaborating.
Speaking as a resident of the UK, the cost of living, energy crisis, crash? It's turned a year I was hoping to get my own life sorted into a year of grim stagnation and bitter realisation.
Came home from uni with the idea to stay there for a while until I could find a place of my own, but all this stuff? Turned it into a pipe dream really.
Brexit is a major factor in this. Sure, things are not great in Europe either, but significally better
Rishi sunak warned about this policy already. Too bad that the people loved Liz truss on her disastrous economic plan.
@@mastrxl the major problem is inflation and sanctions against Russia pushing up energy costs.. Brexit may have an effect, but very little. We'd be fucked either way.
Dude, last year, I still had a small electronics company (proof on my channel), I learned front end dev literally like a crazy person (16 to 18h a day, every day, no exception), got my interview with HR at 15:30 (GMT) today and currently awaiting the 104K USD/year contract from the company in Florida. I did that in 354 days. Do not give up. Especially because you seem to be very young. I'm 35 and I just pulled that off. Do not give up.
@@mastrxl I actually think Brexit will be good for UK, look how many country's will need to be bailed out because they don't care at all about the European citizens. Europe politician's went just plain incopetent, corrupt and not ready at all for this difficult time and all the people have to pay for this. It's enough...
Discussions with my friends here in the UK have been to convert all our GBP into USD, we did it months ago and that has lessened the financial impact on us personally however our mortgages and energy prices continue to rise. While we're on fixed rates now, many of us will have to re-mortgage in the next year or so which is scary. Those of us who have leased properties with service charges are expecting a huge increase there as well come 2023. We're all cutting spending and bracing for even more hardship. It's going to be a tough few years for sure.
Really don't understand leaseholds. All the responsibility of being a homeowner with all the costs and restrictions of being a renter. I'd rent into the grave before I bought a leasehold.
But the GBP and USD are essentially 1:1 now with the US more in debt than the U.K, even if not by much.
Both countries have debts over 100% of their GDP.
Quality. All your content is pure quality. Makes my day when I see a new video of yours pop up in my feed.
In my circle of people here in the UK the general feeling is bleak, everyone I know is baffled by what the government is doing and at this point it sounds like the government doesn't know either. I have friends who have gone from looking to buy a house to moving back with their parents, and friends who are wondering how they will afford food and heating.
I almost think to have any policy making power that affects finances one should be required to be a certified accountant. Politicians rolling the dice with people's money is getting really old.
I’m from Brazil but now I live in Canada and I used to remember when I was younger some tv shows showing how the average salary in the UK was enough have a decent life.
Nowadays I see some TikTok’s about budget of some people from London and seems like impossible to keep it up with basic needs, that’s just sad and impressive how bad things went in a few years.
Same crisis where I'm from. My projection was moving out by December, but with the rate of inflation. I don't think I can do that until end of Q1 next year. 🥲
Now imagine what me, a french person feel about the current energy crisis. France invested a lot in nuclear energy (and hydro) after WW2, because we had no coal or gaz. By that we were able to have the most clean energy in europe for a country of that size, we didn't plan for that, it was a cherry on top. The price of electricity was in decline for years. EDF, the only electricity company, was a public entity. And then the ecologist none sense came. Germany weaponized the european union to undermine france electricity sector. France nuclear energy was cheap.
@@watsonbynes3474 The mean average salary for those working full-time is £31,447 this is enough to live well in most parts of the country London excluded unless you want to rent a room. If you have two people working full time on average salaries you will be practically rolling in it unless you waste a big chunk on fancy cars and the biggest house possible but that's on you if you do that.
The problem is people who are on minimum wage. Living well on the minimum wage is not really possible you would spend nearly all your wages on bills/food/transport. Your only option if living alone would be to rent a room rather a house/flat.
However, a couple both working full time on minimum wage should be living a good life. Again the problem comes from people having flash cars and lots of children when they are not really in a position to.
Minimum wage after tax and 4% pension contribution (optional) take home pay is £1286. So as I said a couple on two full minimum wage jobs would be bringing in £2572 between them. If you can not live on a good life on that you are doing something wrong.
Well done on producing this whole video without calling the tory government out for what they are; corrupt. I'm in the UK looking to buy my first home, and now it looks like I won't be able to do that for another 2-3 years. We are in a terrible situation with a bent tory government working for their rich friends, not the people.
Tbh this hasnt anything to do with corruption. That is just incompetence from the top down.
@@Semesty No its corruption
@@Semesty absolute corruption masqueraded as incompetence. Hedge Fund managers who partied with the finance minister were most probably shorting the entire UK economy.
Regardless, even the very idea of trickle down economics by this point, after being proven it doesn't work by the predominant volume of studies on the subject, is the rich stealing from everyone else. If that is not corruption I don't know what is.
wym bro? housing market crash = good for us first buyers get innnnn
@@Semesty Incompetence, yes, but also corruption. This government has a long history of corruption, to name a few; cash for honours and dodgy covid contracts. And then there is this. Scrapping the top rate of tax and lifting the cap on banker bonuses. Who does that benefit...well the rich of course. Who bankrolls the tory party.....yep, those same people. And then there is the fact that there is a select group of people who actually benefited from the collapse of the pound....yep, correct again, it's those pesky wealthy, bankers and hedge fund managers, the same people that bankroll the tory party. And if you didn't already know, the Chancellor used to work for JPMorgan Chase, WestLB and Odey Asset Management. So actually he has made a lot of money from his banking pals. Yes, this government is corrupt.
In Britain, there’s a growing trend to not have the heating on to saves costs. Personally, me and my family are ok however there is a growing poverty rate due to the government’s mismanagement, starting all the way back with Boris during COVID.
I live in the UK. We bought our first house earlier this year. We knew it would be a big jump in monthly cost, but we could just afford it. Now, everything is SO expensive. Our energy bill is insane and the cost of food just keeps rising. Everyone we know is struggling and it just keeps getting worse.
Stop electing conservatives and you’ll stop having economic near collapses.
Your comment is very interesting, because in Brazil things are also very expensive.
What was your energy bill before and what it is now? How much you spend on food before and how much you spend now? Do you attend cinema, restaraunts, etc. etc.?
@@ILikeGuns1992 I don't know how it is in the UK, but in Brazil things are very expensive. The energy bill didn't go up much, but the food went up a lot. Leisure is very expensive here.
As long as the Internet is up and people can watch Netflix and porn... there simply be no public discourse on the topic. Here in Poland the government did a much worse job at everything and there isn't a single sign of discussion, protests etc. The only time people took to the streets was when they tried to implement that SOPA thing years ago and people got scared that pirated movies and games will run out.
That is so fucking true.
Same story in Canada.
Everyone is being priced out of owning a fucking house. The rent is insane. Were only holding ourselves together cus the public transit system is existent.
Its ironic because its ONLY THE AMERICANS that are going out on the streets and rioting against their governments.
Now its just fucking stupid.
As a London based estate agent I believe the worst is yet to come. Buyers that are currently going through the process will remain in place because of their already agreed fixed rate, but if the interest rates continue to rise there will be very few buyers looking to purchase. Prices have already begun to fall based on lack of demand. One positive spin is that it is all relative, if you sell for less you are likely to buy for less, but this all hinges on whether first time buyers are willing to commit to a purchase. In the absence of them we have to rely on foreign investors.
I remember the massive crash of the late 80's/90's. What's been going on is the excessively cheap lending has driven house prices up and up for 30 years. This interest hike will cause a crash in the market like the early 90's. If you have ready cash you can grab a bargain repossession.
Estate agents generally don't make bank in these times. Especially with the growth of "online only" agents. There may be trouble ahead....
prices have risen too high anyway, because the "invisible hand of the market" isn't actually balancing anything. that would be the government's job, but they prefer to do what lobbyists tell them.
@@DiscreetPete5050 The same cycle happens over and over. Really it's the buyers that need to do a bit of research. Sellers and agents are only acting in their own best interest. Most people will have their arse smacked and learn a lesson, but certainly there are a minority that will be crushed. It's a very sad that a lot of the hardest hit are also the key workers and low earners. I wish that there was a compulsory course in schools that explained 'economic cycles, interest rates and housing prices'. At least then it would be a fairer fight between savvy sellers and naiive buyers. The banks could also help, but obviously that isn't in their interest!
@@coffeemaddan cycle is roughly 13 years.
@@DiscreetPete5050 Let’s not forget that as the agents we don’t have the power to dictate the prices as much as you do. I marketed a property in 2021 for £1.6M which ended up getting so much interest it sold for £1.9M. I had no say in that price hike, I priced it fairly in my opinion but the buyers need for property outweighed that. If I’m honest I expected it to be downvalued by the likes of you but the mortgage offer came in within 2 weeks and the transaction completed from start to finish in 5 weeks just in time for the stamp duty holiday. Underwriters/ surveyors are the only people that can impact a transaction, but in this case you decided not to, presumably for your own benefit. (This was a £1M mortgage) before you blame the loan to value on why it was given.
Tried telling this stuff to my kids . From the uk . Keep getting this info out . Rock on
Always love when you talk about the finance world
As a Brit living in the UK it is horrible at the moment, everything seems to be going up except salaries, energy costs are going up 3x, rent is going up (I am saving for a mortage but interest rates have put a hold on getting anything soon)
Protests in the streets of familes deciding to Eat or put the heating on this winter and a Goverment that cares for the super rich since 2019.
But hey at least no white males in the UK Cabinet for first time ever. Your govt sure knows the national priorities.
Since the tories were in power, that’s been the thing since new labour. Everything is corrupted by them and their rich loving greed.
Your ancestors did much worst to Indians during the colonial rule.
I hope the suffering continues.
UK getting a pinch of its own karma is great.
@@janoycresnova9156 Immigrate and do nothing but undermine. Cautionary tale as long as history.
@@janoycresnova9156 is this for real?
I am in the Uk and this month I cannot afford to pay any of my bills or rent, I have no idea what I am going to do as all avenues of escape are blocked or non existant anymore. I am down to one meal a day and some days I use no power to save cash where I can, and I shower every other day for no more than 5 minutes.
Mate, I am from the other side of the world but I wish you the best. I have been in your situation and sometimes you just dont know what the hell to do. All I can say is that sometimes things do get better. Just stay positive, talk to your family friends. The whole world is a mess right now. You are not alone.
Get a tent
my god. i can do nothing but only hope you see better days soon
Then it's time you look into local food banks and any benefits you can claim/ family, friends and charities ect as you're clearly in need of a hardship fund, also what's your budgeting situation looking like? As you should have the next 3 quarters planned out (even if they look like they're in the red) since as long as you can cover major costs your cash flow can and will recover and as long as you can supplement the dip and get over the cost threshold (often requires more hours or a side gig) going forward you'll come out much better than where you started
How is everyone in uk suffering, even if u earn 2300 per month u should be having atleast 300 pounds in saving each month
Wow - this is crazy - I am not even from Uk but from Germany also working in the IT-Sector. While things are looking maybe not as terrible as the UK (also since we are in the EU - we are just having some more countries alongside us - which gives us I believe a bit more stability) they sure are not looking much better - Also here people are worrying how to make it through the winter and I am wondering how much percent of our mortgage are ARM loans… given the crazy prices & crazy low interest rates 1/2 Years ago I believe it must have been also a substantial amount. If the interest there will get raised 2 or 4 years down the line I wonder what will happen… I am working in the IT Sector as well can’t complain but our company (a start up) isn’t profitable at all currently and in a year I bet they might need new VC Money which I guess would be REALLY hard to obtain - so I am not sure honestly currently 😬 also since EUR now has 10% inflation this is also increasingly worrying me…
Brilliant as always. Compact info with a compelling summary.
Living in the UK at the moment is just… pretty awful. Strikes left right and centre, energy prices are eye watering, everything is so expensive, and the government do NOT care! They’re too busy helping all of their friends make even more money, and they’re all sitting pretty.
People are likely to freeze to death this winter - in their own homes. Just because they’re unable to afford to put the heating on.
I am from Norway, but have family in Kent.
Looks pretty bad yeah.
Even in Norway the electricity prices have gone through the roof.
Usually we import power during the winter, but now we have to export...
May the powers that be have mercy on us all.
Buy a sleeping bag that is made for winter and no one will freeze to death. Buy it now as long as you still can.
Living _on planet Earth_ at the moment is just… pretty awful.
There, I fixed it for ya.
@@Bensux Lol Here in Asia it is chilling for me and my friends. 😃. Life is pretty much stable here
"imagine losing 5% of your savings overnight"
imagine having savings
My checking is my saving. Dumb, yes.
Up to you then, no one else
Is this a good time to buy stocks/crypto in the Europe? I know everyone is saying stocks are at a discount and all, but just how long will It take for us to recover, obviously there are strategies to maneuver in this present market but these strategies doesn't come common to the average folk, or am I better off putting my money elsewhere
I'll suggest you find an investment coach or someone with market experience before the 08' crash to guide you amidst this inflation.
@@lorihomer1721 I agree, that's the more reason I prefer my day to day investment decisions being guided by an inv-coach, seeing that their entire skillset is built around short & long term holdings for profit realization, coupled with the exclusive analysis they possess, it's near impossible to not out-perform. I've been investing with a coach literally for 4years, and have accrued approx. $1.4m in net-profits thus far.
@@linaluppino3492 congrats. this is huge! mind sharing info on the coach that assists you? cos i’ve got a bunch of stocks that keeps tanking and don't know if its best to just dump amidst ongoing inflation.
@@lorihomer1721 I am guided by DOROTHY DONNA TAGLIENTE I found her on a CNBC interview where she was featured and reached out to her. She has since provided entry and exit points on the securities I focus on. You can look her up online if you care supervision.
@@linaluppino3492 just copied and pasted DOROTHY DONNA TAGLIENTE and came across her appealing page, thanks for saving me hours of researching. I'm from hit-crisis Sri Lanka.
Here in the UK we've been tryin to get a mortgage for a home but the house prices have shot up from £110,000 to £200,000 and to make it worse the rate is at 9% as before my brother got it at 1.2% last year. Meat especially halal meat has gone up triple the price so yeah it makes it very hard.
Could you make a video on inflation in the Netherlands, and why it's so much higher than even the UK? I'm seeing figures from 12% to 17%, which is almost as high as Russia now.
Why it’s so high? Rutte 🤭
Recession is all over the US, the UK and Europe. I suppose it affects other regions as well. Add a full scale war on Europe and such an inflation rate shouldn’t be surprising at all.
Sanctions on Russia was the worst decision to make!
inflation is calculated based on the increase in price of a set group of products in a country. typically including energy cost, food costs, thing everyone needs to buy, things that effect the prices of other things like services. Usually a base 100 products is tracked and so if within a year the total price of those products goes up by 10%, thats 10% inflation. another country may use a different group of products so there could be a difference from that. But even if they were the same exact products the price of say eggs, milk, chicken, beef will be very different in the uk compared to the netherlands because the uk is essentially self sufficient in all of those products. but the netherlands may have to import a significant percentage of some of those.
There is also the fact a lot of these numbers are predictions of what the years inflation is expected to be, these calculations can use different methods and some can be more realistic, some can be intentionally low balling in order to reduce public fear. Some sources may say the uk is facing 18% inflation, or more. it may in reality be more like 40% across europe .
Same situation in Poland. Inflation just hit 17%.
Greetings from the USA. I hope everyone in the UK makes it through these difficult times.
are you for real?
USA is literally exporting inflation globally by printing money.
@@arjitmishra100 Oh keep your greetings for you. The US throw europe under the bus in order to keep their supremacy. Blinken was happy about the pipeline sabotage, the only country having something to gain here is the US. Why do you need enemy when you have friend like this. F* the US gov.
Thoughts and Prayers, plus air drops of food please
@@DrRusty5 🤣
From My View= 77 yr. old Canadian here.= My country and the USA together are printing money non-stop!!! = This they think will save us from depression. = I see it as killing the rest of the world's taxpayers and paper bills will become worthless and back to the gold standard, as China hopes.
Thank you for the great video. Your channel is definitively the best on RUclips. I'm serious.
I really appreciate your in-depth information and presentation style!
As a UK resident: the problem to me is that for all the talk of "Getting Britain Moving" we have wasted public money in vanity projects that have either been useless, never completed, were found to be rotten with corruption or worse. We are a small island nation sitting apart from the rest of Europe now and the hope was that we were somehow going to find our feet in the world.
Our most profitable export is our heritage and the name that goes with it: you can be anyone from anywhere and as long as you have the money and the people in the right places we'll happily take that money and allow you the security and authority that a British front can offer. You can be a Russian Oligarch who has been implicated in murders and blackmail operations, but if you rub the right shoulders you can live comfortably, tax free and even have a British company to bank roll international loans and no one ever need know that your bloody hands are on the paperwork.
For our size we have a lot of sway in the world because we're not a young nation, we're old, historically we've made more mistakes than most countries and at one point we did have the world's largest Empire. The reality is Britain doesn't do much, outside aircraft manufacturing we're more of a service country than a physical export country.
Liz Truss' plan appears to be to make us competitive in the area of corporate and high-earner tax rates. Deposit your money here and we won't tax you and hopefully you'll stick around long enough to pay it back through good ol' trickle down economics. As CasetteBoy put it the only thing trickling down is the piss their taking.
yeah, meanwhile the super rich move to Monaco, for zero taxes!
You mean like the billions for the pointless track and trace program that never actually got running?
Ah yes, the good old trickle down economy, the dead horse made out of straw...
I watch with glee at the demise of your empire, one you are proud of, built on the blood of my ancestors.
@@swarajnanda7874 Did you guys even invent the wheel yet?
I think you deserve praise
Normally, I play your videos as a podcast, but for some reason I watched this one. The production quality is gorgeous, the clips used and edited in are perfect and fit very well
Taking the time to cater for those who watch the videos too goes a long way, even if some don't actually watch the video, you've still catered for those that do.. Props!
Good, clear and calm voice aswell, not overly loud or shouty just makes your content so nice to watch and/or listen
Truly some of the best videos on RUclips based on the qualities you noted.
The next financial crisis will probably be a bond crisis. And the amount of money in both government and corporate bonds are alarming.
As a UK citizen i can say a mortgage crises is on the horizon. 4/5 buyers used 20% help to buy loans and have 2-5 year fixed rates.
Once these come due people will see mortgage rates rise from £850 to £1400 for an example. Thats whats happened to me now while my fixed rate has ended and my help to buy loan now due.
My mortgage rate has risen from 1.6% to 4% and total loan amount from 189000 to 251000 adding on the help to buy meaning monthly payment now £1400 which is around £600 more
As someone who lives in the UK, things are looking particularly bleak right now. We’ve had a useless government for many years now, selling off absolutely everything. Toll bridges, rail service, gas, telecom have all been sold off to foreign countries, as a result we’re all bearing the brunt of the cost.
It’s a shame because it really was Great Britain once, but not anymore.
I’m just wondering if the situation is the same everywhere
Great Britain was only great when it was able to exploit the impoverished in a worldwide empire of subjugation. The country has NEVER proved it could be successfully self sufficient in any real way that matters.
And no, it's not the same everywhere. Go look at how strong the US Dollar is doing vs the British Pound.
@@Cooe. US Dollar May appear Strong today.....I predict the Strong Dollar will not Last for too much longer.....
Nations around the World will resort to Trading in Their Own Currencies due to the Dollar being to Strong...
The US is also suffering with High Inflation.....Interest Rates will Have to Rise.....Causing more Pressure on Public Life just like Europe....
The Strongest Performing Currency is The Russian Rubel.....With Interest Rates Coming Down....along with Inflation.....
Supporting Ukraine was designed to Collapse The Russian Economy and Bring Down Their Leader......
Talk about The Boomerang Affect.....it’s The West’s Economies That appear to be Collapsing and The European Leaders are Dropping like Rain.....
Let’s Keep Supporting Ukraine with Billions And Lethal Aid (Oxymoronic)
Slava C0C41N4.....How Zelensky Likes😤
@@Cooe. Hey it's not our fault we have parasites. The people of Britain themselves can be very self sufficient, if we aren't being smothered by unnecessary expenses and toxic media. Those circumstances are most certainly mutual across both abbreviations.
My phone/broadband/Internet bills have never been cheaper.
Gas comparatively we're better off than our neighbours, alot better (we just like to complain, being British and all).
Rail is pitiful I don't understand the draconian system, too much management, not enough innovators.
Toll, not sure tbh. Its better than our pothole riddled roads.
@@JLneonhug Don't be complacent.. Things could still be unimaginably better were taxpayer money spent as it SHOULD be, primarily on public concerns that is, and NOT proliferated by the already uber wealthy.
In the UK, people around me, much more economically stable than I, are struggling to imagine a brighter future ahead.
Even the most sound governance would take time to sort issues out - many of them relatively structural in their source.
We can't have a real estate and financial services entrenched economy that relies upon inheritance and tax cuts just to keep things moving without any sustainable thought for the future
I’m from the UK and honestly it’s pretty horrendous, mostly I’m cutting back on food, heating and car journeys. No luxuries, just survival and hopefully in the next few years it will improve. 🤞Now taxes are going up, so just need to wait and see how I can juggle this on top of everything else. I’m single and on my own, but I know how to be economical, however, it’s the youngest, the oldest, people with children and the vulnerable that my heart goes out to. The rich in this country can weather this, it’s the ordinary people that it hits the hardest. 😢
I'm in the UK and have no idea what to do. There is no way of voting our way out of this as each party is the same. I feel as though the system will have to collapse before anything will be done to stop any subsequent government from borrowing any more money and start operating within its means.
I am from Germany and have invested a little money in ETFs and shares. The portfolio was managed automatically by the account provider and I was surprised when at the end of September all UK shares were suddenly sold and US bonds were bought instead. A pro rata loss of 8% was made. Then I saw the news and the video here and I understood. What happened there was pretty intense. It's just crass how extremely sensitive the stock markets are reacting at the moment. When it comes to bad political decisions, the German government is also at the forefront. Actually, I always listened to the news in the morning when I got up, but now it's just depressing. There are very dark times ahead, I think that was just the beginning.
We have not even started. This is the preface, not the beginning.
When markets soared after covid and gov't debt across all countries soared, I think the writing was on the wall. Things are hugely out of balance and it's a good time to scale back spending and keep some food in the freezers. Strange times ahead imho.
Ayo y'all telling i shud sell my holdings and stay with cash ? But tbf i dont feel like taking out my money at a loss cut of 15-20% , it's heartbreaking
@@Viva-la-de-hs4ub better a 20% loss than a fully empty pocket...
@@Viva-la-de-hs4ub Yeah you shoulda done that by the beginning of this year when everything kept crashing down. We had years of enormous growth especially during covid. It was bound to crash pretty bad. I only lost 10% of my portfolio. Holding all cash rn probably for a few years
"Imagine losing 5% of your savings overnight," O you mean like all of Americans have multiple times now
Well your country is ran by bigger Muppets than we have...... I mean didnt your president just say in order to be safe from a hurricane you need to be vaccinated.... 🤡😂😂😂😂
Lol yeah, it's just called "inflation" these days.
The money in your pocket losing significant value basically overnight has become par for the course.
Yeah…try being in crypto😂
@@lucasglowacki4683 rip crypto
@@scroopynooperz9051 Bro inflation doesn't even come close to that, more like losing 10% of your savings a year, not in a single night. For that to happen it would need to be an extreme hyperinflation and it's not happening in western nations as of now
Very good as always! Thanks very much!!
PLEASE please please keep up with the global financial situation. Your channel does a magnificent job of explaining things.
During the 1980's the dollar reached parity with the pound I remember.
A few years ago some of my British friends were joking about the dollar for its weakness. One of them pulled out a ten pound bill and said he was going to buy Manhattan for the one half but didn't know what to buy for the other half.
Fate has turned. Brexit and what the government made from it are a unholy combination with the ongoing war. Wars pass. Governments change. Britains are a resourceful nation. The pound is going to eventually recover. It still is going to be tough for everybody who is getting caught in the squeeze between now and then.
Thats why this is the lowest of the pound in 40 yrs....
And guess which party was in government then
@@cjheeley In 2008 the £ was worth almost two dollars. I was there and it is a cheap holiday . I opened a bank account and shifted cash there. I still have these deposits and the are worth loads. What goes round come round. Buy property in a stable country like the UK it will always be worth more over time as the are not making any more land.
I was on holidays in scottland over the last two weeks and rented out several appartments. The fees where charged over the last 2 weeks on my european bank account. I'll just say this. My vaccation got a lot cheaper thanks to the pound pounding sand.
I rent in the UK and I’ve pretty much accepted I’ll never own a house unless the market collapses. I’d like to have kids before I’m too old but the future is not looking great. It’s becoming less and less affordable. I’m driving further distances to and from work as the cost of driving is still cheaper than renting somewhere closer. Rent in some places is already unaffordable for me and for my mental health, I’ve had enough of living in a HMO. I won’t go back to another shared house.
Why is there a momentary skip in the news interview @4:55 in the video? Did you edit that or use editted footage?
Looong shot: I know a lot of your content covers Western economies and I thoroughly enjoy it. That said, it would be cool to get your take on the Zimbabwean economy. Their government introduced gold coins to stave off USD demand and stem rising inflation a few months ago. The country's month on month inflation is now at single digits. Gold has historically been used as a store of value and will we see its reemergence? Will other hyperinflationary markets adopt similar policies? Keen to know your thoughts and outlook.
Stable money is hard to argue with
not likely to ever see in the USA. you need phony money to be able to increase your monetary supply when you need to do big things such as fight a war or perhaps major infrastructure projects such as natural disasters), deal with climate change, or bail out the population during pandemics. also governments like a certain amount of inflation because it shrinks government debt and acts as a hidden form of Taxation on people's savings.
"Gold" is as meaningless - or meaningful - as any other type of currency. "A store of value is *any* commodity or asset that would *normally* retain purchasing power into the future." "Gold" is trading for $1733/oz. at the moment, which means over the past 25 years are so, "Gold" has *_Lost_* value against major Fiat currencies. Moreover, A Global pandemic, a war in Europe, and 12% U.S. inflation should have made the value of "Gold" rise, but the hard reality is it didn't. The new normal is "Gold" is a worthless hedge against inflation.
Look up the Bradbury pound, no need for gold M0 money not based on the issuance of debt.
@@shotelco Good point. 25 years ago gold was ~$250/ounce. That's about a 6x increase. Is that an overall loss in value vs fiat? Zimbabwe adopting gold seems to have had a positive short term effect and I'm keen to get my head around it.
This video demonstrated a better understanding of the UK economy than our government has!
Dagogo for PM!!
Best remark so far 🙂👍🙂
I live in Wales so because of the devolved government (picture like how a state is separate from the federal government in the USA) we get some protection from the issues from UK govt but still scary
I'm new to cryptocurrency and I don't understand how it really works. Please can someone guild me on the right approach to investing and making profit from bitcoin trading.
That's true. Its really needful for beginners not to settle for videos alone or they will see themselves losing all their money just like me when I newly started trading with this videos here on RUclips
Please how can I reach her. I'm a newbie and know nothing about crypto investment.
Thanks a lot for the recommendation guys and I'm looking forward to earning from my first investment with her. I will reach on watsAp like you said.
Thanks for the great content. Sub'd. There are so many problems with the UK political system that it's difficult to know where to start. It's completely out of touch with the people it represents: the Westminster bubble. It's not really surprising that Truss got chosen to be PM. If the conservatives were a football team we would say that the reason they keep loosing matches is because there is no strength in depth in the squad and although it's a good idea to fire the manager, I'm afraid that won't be enough.
Love your channel, Dagogo. Always great info and great production.
I've lived in the for the past 10 years. I'm blessed and super lucky that I started doing all sorts of ecommerce businesses that focus on global sales and now when everything is going very bad at least I have some income. I never invested in any stocks, nothing, only in my business. My advice to everyone - if you survive all this mess and the economy becomes okay again, please focus on building your own thing, preferably digital, but could also be physical products. It is always so good to have at least some backup, at least a minimum wage without having to rely on a job that can be gone any moment when the economy fails again. Also try to buy a house with a little garden - I failed on this one, life could be easier if I could grow some food and not have to pay the rent.
A month on the pound has started to recover but it was painful there for a while, still is but heres to hoping things get better.
The predictions you made in "how is money created" video are proving to be eerily accurate. You are the first I heard describing a stagflationary environment. The dollar milkshake theory is also playing as predicted. Interesting times to say the least... Thank you for everything you do, please make more videos related to macro. Cheers
I'm 22 and it's a crazy spiral like I've never seen, it was booming 12 months ago to the point where I bought a flashy car and now everything is slowly crawling to a halt. I work in wholesale foods and the recent heatwave killed our own crops meaning we have to import crops but the value of the pound is falling as well as supply so the prices of everything is going crazy, it will soon be £20 for 3kg of cherry tomatoes, and we all know about the fuel, oil and gas prices here in Europe as well as rising interest rates and wages that have been stagnant since the 2008 financial crisis means this country is surely in for the worst time in a hundred years
"I'm 22 and it's a crazy spiral like I've never seen"
I'm 68 and this is crazy spiral like I've never seen. And I remember the time of the 3 day week and oil price shocks in the 1970's
In the 1970's you could get a doctors appointment the next day, dental treatment was on the NHS, I got paid to go to University, all fees and rent covered.
On paper the country is richer than in the 1970's but everything is worse. So where has all the money gone?
Spend some time in Sweden, Finland or Norway to see first hand how a proper government that cares for all its citizens can get things right.
@@quercus3290 not on finance though 🤪
@@quercus3290 what, so never buy anything nice in case the government screws up the economy?
@@JohnSmall314 it’s been stolen by the rich elite
@@ReeceT20 good luck with next years harvests .
Very informative video as usual! Just a small nitpick on 4:50 -- the correct spelling is "gilt".
When you said "imagine losing 5% of your savings overnight” i laughed. In egypt we lost 60% of our savings overnight in 2016 after the devaluing of the egyptian pound and we continued to lose more due to further currency collapse and unprecedented inflation. Well, imagine that before you collapse over a 5% loss
You still repeat egypt is the land mother . Arabs are so emotional
I recently left the UK after moving there three years ago mostly due to how bad the cost of living has become. The cost of living around the world has gotten bad, but it's horrendous in the UK. I am fortunate enough that I am able to leave and come back in the future if I wish. However, I know most people in the UK have no choice but to stay and endure the current financial storm. I hope it gets better for them.
They Shouldn't have Played with the Russians.
Isnt uk a semi socialist countries with many welfare benefits
@@hydroponichomesteader6852 how does that help exactly? They won’t be cold, they have an abundance of gas and it’s all very cheap
Where did you move to Rebecca?
I know a few Irish people that came to the UK because it was so bad in Ireland. Seems the Western world is just having a bad time, too many people in too small an area.
I really feel for UK heating bills this winter. 😔
feel bad for the attempts to restore woodlands :(
It is bad here but at least we aren't like the Germans who will see shortages due to the Americans blowing up the Nord Stream pipelines just so that they are forced to buy overpriced LNG from the states...
It's nowhere near as bad as people say. The majority will be fine. Hell, I am £290 in credit and my £68 combined heating and electric bill will be...the same this month and next month. So even if it should be higher, it'd take 6+ months to catch up via credit, so my bill won't move at all all winter. The minority are screaming, but there's always been 20-30% struggling.
russia dub
My energy bills in a 2-bed flat (landlord wasn’t allowed to put in double-glazing because it’s a grade II listed building) used to be £250 per month (on top of £925 a month rent in only a small 16k population Yorkshire town).
Luckily I moved somewhere cheaper but I dread to think what the energy bills are there right now.
The gov were also gonna give a tax cut to just the top tax bracket (£165k plus?) but luckily she scrapped that. Sorry if it’s already in the video, I’m still watching. Also omg can I hear Mogwai in the background?? 😍
Also literally everyone I know is extremely worried. The owner of the business I work for is running around looking for equipment we can sell and we have to be extremely stringent with turning things off when not being used - even if just for a few minutes
Before this, we were very comfortable and making good money as a business. The good thing is it means we’ve got a lot of surplus hardware and things we can sell 😂 hopefully the business doesn’t go under but these are definitely anxious times
A great video - thank you.