ADRIAN ORR our NEW RBNZ GOVERNOR

[Logen Ninefingers]

Inflation is transitory.

But if you prefer to be like ASB and call for a double interest rate hike that's fine.

This will simply widen the wealth gap and make it harder to build an asset base through lower income growth and higher interest rates.

You will fall further behind .

Short term higher inflation is a small price to pay for long term wealth.

The returns I make on leverage dwarf meaningless OCR hikes to me.

The system is designed to benefit the likes of me.

Posting on Sharetrader seems to be just an opportunity for you to 'big up' yourself and tell us all how rich you are.

Rather than make any salient points, you just say over and again that whatever outcome happens vis a vis the economy / interest rates / inflation etc will just result in your already fabulous wealth increasing tremendously.

To go with your cultivated persona of 'super rich guy' you include as your avatar picture a genuine bona fide billionaire, in case we haven't already got the point.

[TeslaGod]

Posting on Sharetrader seems to be just an opportunity for you to 'big up' yourself and tell us all how rich you are.

Rather than make any salient points, you just say over and again that whatever outcome happens vis a vis the economy / interest rates / inflation etc will just result in your already fabulous wealth increasing tremendously.

To go with your cultivated persona of 'super rich guy' you include as your avatar picture a genuine bona fide billionaire, in case we haven't already got the point.

And this post is why you don't hear from the wealthiest people in New Zealand and there families.

[Aaron]

Inflation is transitory.

But if you prefer to be like ASB and call for a double interest rate hike that's fine.

This will simply widen the wealth gap and make it harder to build an asset base through lower income growth and higher interest rates.

You will fall further behind .

Short term higher inflation is a small price to pay for long term wealth.

The returns I make on leverage dwarf meaningless OCR hikes to me.

The system is designed to benefit the likes of me.

Haven't we widened the wealth gap by reducing interest rates?

Won't inflation hit poor people on relatively fixed incomes harder while inflation will benefit the highly leveraged.

Won't a rise in interest rates provide an alternative for capital if fixed interest can some how provide a return in real terms. Won't asset prices and real estate fall as interest rates increase?

You would note some anger in my posts as I have been expecting central banks to do their job and provide price stability I don't expect them to keep bailing out overleveraged investors and reckless financial institutions enjoying record returns. Well done for being on the right side of the trade though.

[TeslaGod]

Haven't we widened the wealth gap by reducing interest rates?

Won't inflation hit poor people on relatively fixed incomes harder while inflation will benefit the highly leveraged.

Won't a rise in interest rates provide an alternative for capital if fixed interest can some how provide a return in real terms. Won't asset prices and real estate fall as interest rates increase?

You would note some anger in my posts as I have been expecting central banks to do their job and provide price stability I don't expect them to keep bailing out overleveraged investors and reckless financial institutions enjoying record returns. Well done for being on the right side of the trade though.

As I have stated prior.

What you have posted will only make matters worse.

I have not achieved my financial position by getting angry at what's been printed in the Dominion post or any financial media for that matter.

If the OCR is increased it will only hurt those trying to get ahead.

Please do not let my comments upset or anger you.

[JBmurc]

As I have stated prior.

What you have posted will only make matters worse.

I have not achieved my financial position by getting angry at what's been printed in the Dominion post or any financial media for that matter.

If the OCR is increased it will only hurt those trying to get ahead.

Please do not let my comments upset or anger you.

I was thinking back when I got my first loan early 2000's ...interest rates 7-8% ... was very straight forward bank was brilliant to deal with ticked up a good amount on a spec build ... had zero lending history ...next to nil assets the sections value going up $200k was really my only asset pre building and lending the $550k....(that would be like lending 1mill+ at present inflation added values)

Fast forward to present ...Great asset backing ,history of paying off Doz's of Morg's never missing a payment ,great cashflows etc ....and I get put through ringer when I want to purchase another commercial property .. less than a third DEBT to asset backing nil personal debt etc ...

And isn't this the crux ... the banks have limited percents of funds they can lend to investors ... of course the bulk goes to the richest ....and when going into debt is so cheap ... the rich can BUY up so many assets without the outlays of payments ...before they might have invested in savings term deposits, bonds etc ...Now Homes have become like shares ...Buy n Hold ....sell for fat gains in the future

I heard on RNZ around 40,000 vacant homes in Auckland .... many wealthy landlords don't need the hassle of dirty tenants in their "home banks"...

[Logen Ninefingers]

And this post is why you don't hear from the wealthiest people in New Zealand and there families.

You can't even spell 'their', but because you have a picture of Elon Musk as your avatar I am supposed to think you are a genius who knows what he's talking about?
I think you don't have a clue. You have no idea about inflation and are in for a rude awakening.

[Logen Ninefingers]

What have 'the inflation is transitory' crowd seen that makes them think this incompetent government and clueless Reserve Bank can control inflation?

Talk about banana republic: now we have rolling power black-outs. Anything think electricty costs are nit going to continue to rise? Anyone?

https://www.stuff.co.nz/national/pol...n-frigid-night

'So third world': Government faces pressure after rolling power blackouts on frigid night
Henry Cooke
08:11, Aug 10 2021

The Government is facing serious pressure on Tuesday after rolling power blackouts on one of the coldest nights of the year, with National saying the situation is “third world”.

Energy Minister Megan Woods is yet to speak publicly about the situation, but is meeting with Transpower and regulator the Electricity Authority on Tuesday morning.

Grid manager Transpower issued an emergency notice on Monday night to power distribution companies after demand outstripped supply, asking them to urgently reduce demand to avoid serious damage to the grid.

This led to rolling and deliberate blackouts in some areas, particularly in the central North Island and Waikato.

[Aaron]

As I have stated prior.

What you have posted will only make matters worse.

I have not achieved my financial position by getting angry at what's been printed in the Dominion post or any financial media for that matter.

If the OCR is increased it will only hurt those trying to get ahead.

Please do not let my comments upset or anger you.

In your humble opinion, I will continue to keep mine. You got ahead with higher interest rates and I imagine have got even further ahead once they started dropping.

Don't worry your comments don't make me angry you only have to worry about yourself and your family.

Adrian Orr makes me angry because he is supposed to be providing price stability for the whole nation but like many central bankers equates financial stability with asset price inflation.

[TeslaGod]

Talk about banana republic: now we have rolling power black-outs. Anything think electricty costs are nit going to continue to rise? Anyone?


[/I]

Not to sure on your grammar with "nit"

And as I was a 2nd year B COM university drop out

I wouldn't consider myself a genius either.

Just good with money.

[TeslaGod]

In your humble opinion, I will continue to keep mine. You got ahead with higher interest rates and I imagine have got even further ahead once they started dropping.

Don't worry your comments don't make me angry you only have to worry about yourself and your family.

Adrian Orr makes me angry because he is supposed to be providing price stability for the whole nation but like many central bankers equates financial stability with asset price inflation.

Nice response Aaron I don't mind learning and understanding from others like yourself it helps me broaden my horizon.