27-02-2013, 01:30 PM
Quote:2. The statistics gathered is showing a credit bubble in the wrong social class, ie. the middle and lower income group is having a higher proportional of debt as compared from the upper income class.
Source?
Quote:2. The statistics gathered is showing a credit bubble in the wrong social class, ie. the middle and lower income group is having a higher proportional of debt as compared from the upper income class.
(27-02-2013, 02:19 PM)Contrarian Wrote: [ -> ]> The government is expecting interest rate rise and is worried about the impact of it onto those
> income groups that could not afford yet are accumulating.
> Interest rate may be going up sooner than later.
> Check out the FDs interest rate at various banks or for those serviced with RMs
1. Gold prices are correcting because of this reason.
2. That is probably the reasons why REIT managers are refinancing or so actively doing placements!!! If interest rate goes up, their yield will drop and the share place will correct...
When the banks or the listed companies give u something, they are telling me something is coming ahead...
Make sense? If not, let me know...
Quote:I am supportive of the measures as this means people will be more financially prudent when it comes to purchasing a depreciating asset.
(27-02-2013, 03:21 PM)Temperament Wrote: [ -> ]i believe come nearer to 2015/16 the PAPYS will make it even sweeter for people with average means ...
(27-02-2013, 03:21 PM)Temperament Wrote: [ -> ]I don't think people suddenly become financially prudent. Rather these group of people suddenly have no means of not to be financially prudent.
The current tweaking of COE is even more favourable to the Elites with a lot money;
(27-02-2013, 02:49 PM)2V. Wrote: [ -> ]Do you expect MAS to raise interest rate ahead of U.S?
(27-02-2013, 02:19 PM)Contrarian Wrote: [ -> ]> The government is expecting interest rate rise and is worried about the impact of it onto those
> income groups that could not afford yet are accumulating.
> Interest rate may be going up sooner than later.
> Check out the FDs interest rate at various banks or for those serviced with RMs
1. Gold prices are correcting because of this reason.
2. That is probably the reasons why REIT managers are refinancing or so actively doing placements!!! If interest rate goes up, their yield will drop and the share place will correct...
When the banks or the listed companies give u something, they are telling me something is coming ahead...
Make sense? If not, let me know...
(27-02-2013, 01:21 PM)arthur Wrote: [ -> ]I fully agree with this statement too.
In my personal opionion to read between the lines of the recent measures, couple of things might be able to infer from the government stance.
1. To pacify the middle and lower income group that the government is able to look after their welfare by doing a "Robin Hood" tax measures.
2. The statistics gathered is showing a credit bubble in the wrong social class, ie. the middle and lower income group is having a higher proportional of debt as compared from the upper income class.
The statistics we can gather from MAS on bank debts loans are an average figure, lumping all income groups together. It doesn't show segregated categories (eg. top 20%, bottom 20%) with their corresponding debt level. It would be good if someone could prove me wrong on this though.
3. The government is expecting interest rate rise and is worried about the impact of it onto those income groups that could not afford yet are accumulating.
Contrary to what property agents and people with vested interests are saying, interest rate may be going up sooner than later.
Check out the FDs interest rate at various banks or for those serviced with RMs, check out the interest rate on liquid accounts. It seems to be inching upwards.
(27-02-2013, 01:30 PM)yeokiwi Wrote: [ -> ]Quote:2. The statistics gathered is showing a credit bubble in the wrong social class, ie. the middle and lower income group is having a higher proportional of debt as compared from the upper income class.
Source?