A "bold move."

Fun with supply and demand.
Tom Palven
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A "bold move."

Postby Tom Palven » Sat Jan 30, 2016 11:34 am

Like the Flying Spaghetti Monster, central banks work in strange and mysterious ways, their wonders to perform .

Reuters labels this latest action "a bold move."

http://www.reuters.com/article/us-globa ... SKCN0V701J
If one can be taught to believe absurdities, one can commit atrocities. --Voltaire

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ElectricMonk
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Re: A "bold move."

Postby ElectricMonk » Sat Jan 30, 2016 6:05 pm

It's not bold, it's essential: banks are no longer in the banking business: the no longer loan money, only park some of it at central banks and gamble with the rest.
This moves forces the banks to start doing what they are supposed to do, again.
I've come up with a set of rules that describe our reactions to technologies:
Spoiler:
1. Anything that is in the world when you’re born is normal and ordinary and is just a natural part of the way the world works.
2. Anything that's invented between when you’re fifteen and thirty-five is new and exciting and revolutionary and you can probably get a career in it.
3. Anything invented after you're thirty-five is against the natural order of things.
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TJrandom
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Re: A "bold move."

Postby TJrandom » Sat Jan 30, 2016 8:02 pm

Not good for retirees – with cash ready savings and only fixed income. Banks are now passing on those negative rates by charging for savings accounts.


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