"Rolex Prices to Drop Further as Supply Surges: Morgan Stanley"

[Guycord]

Well I lived through it during the 1970s and 1980s and did well out of it.

It's quite easy to manage actually.

Yes, maybe but you have just re-confirmed you do not know what inflation is.

To be schooled, Inflation is an increase in the currency supply, which debases the value of the currency you hold. It is not an increase in price of things - that is a consequence of the issue of excess currency in circulation. Thus, a watch which "which price is not dropping" is not a reflection in its value not dropping. Totally absurd.

Ergo..... a £10,000 watch which price has not dropped over a year vs say something like a loaf of bread which has increase to say doubled the price is not preservation of the watches value. In this case, your purchasing power has halved and essentially so has that of the watch.

THIS is exactly why the government and the BoE (as well as the US FED) are stoking "inflation". They are printing currency to debase money supply (we face financial hardship), but the Governments debt gets debased also and becomes cheaper over the long run. Nothing accidental in this.

[Mick P]

Yes, maybe but you have just re-confirmed you do not know what inflation is.

To be schooled, Inflation is an increase in the currency supply, which debases the value of the currency you hold. It is not an increase in price of things - that is a consequence of the issue of excess currency in circulation. Thus, a watch which "which price is not dropping" is not a reflection in its value not dropping. Totally absurd.

Ergo..... a £10,000 watch which price has not dropped over a year vs say something like a loaf of bread which has increase to say doubled the price is not preservation of the watches value. In this case, your purchasing power has halved and essentially so has that of the watch.

THIS is exactly why the government and the BoE (as well as the US FED) are stoking "inflation". They are printing currency to debase money supply (we face financial hardship), but the Governments debt gets debased also and becomes cheaper over the long run. Nothing accidental in this.

Inflation can be summed up in one sentence - too much money chasing too few goods. In other words, the money devalues and the goods increase in value.

Therefore lots of people suffer because their income remains constant and prices rise. Most people get over this by having pay rises that match inflation and the best way to work through inflation is to acquire appreciating assets even if you have to borrow currency which devalues more than inflation.

I have lived through it and you appear not to have and to be honest I don't like engaging with argumentative people, so we are therefore no longer engaging, so goodbye and wrestle in the mud with someone else.

[Guycord]

Inflation can be summed up in one sentence - too much money chasing too few goods. In other words, the money devalues and the goods increase in value.

.

Not argumentative. Just putting right a commonly espoused error

"Inflation can be summed up in one sentence - too much currency (not money) diluting currency already in circulation. In other words, the currency devalues. This is correct now. New goods do increase in price (inflationary) but their value stays the same.


You Earn £10000/yr
You buy a £10000 watch
You keep the same job with the same employer doing the same thing for X years.
Your employer is very good and keeps paying you Cost of living increases every year.

After X years, you now earn £20,000/yr
From your original statement below, your £10000 watch is now worth only half of what you now earn.

OR contrary to your original statement, your £10000 watch purchased X years ago is now worth £20,000. It has maintained its value but its price is doubled.

Money maintains its value and does not inflate because it is a store of value. currency is everything money is....apart from a store of value. It is corruptible.

[ac11111]

Not argumentative. Just putting right a commonly espoused error

"Inflation can be summed up in one sentence - too much currency (not money) diluting currency already in circulation. In other words, the currency devalues. This is correct now. New goods do increase in price (inflationary) but their value stays the same.


You Earn £10000/yr
You buy a £10000 watch
You keep the same job with the same employer doing the same thing for X years.
Your employer is very good and keeps paying you Cost of living increases every year.

After X years, you now earn £20,000/yr
From your original statement below, your £10000 watch is now worth only half of what you now earn.

OR contrary to your original statement, your £10000 watch purchased X years ago is now worth £20,000. It has maintained its value but its price is doubled.

Money maintains its value and does not inflate because it is a store of value. currency is everything money is....apart from a store of value. It is corruptible.

I think you are confusing yourself with your examples, Mick is right, inflation is when prices go up…

[learningtofly]

Yes, maybe but you have just re-confirmed you do not know what inflation is.

To be schooled, Inflation is an increase in the currency supply, which debases the value of the currency you hold. It is not an increase in price of things - that is a consequence of the issue of excess currency in circulation. Thus, a watch which "which price is not dropping" is not a reflection in its value not dropping. Totally absurd.

Ergo..... a £10,000 watch which price has not dropped over a year vs say something like a loaf of bread which has increase to say doubled the price is not preservation of the watches value. In this case, your purchasing power has halved and essentially so has that of the watch.

THIS is exactly why the government and the BoE (as well as the US FED) are stoking "inflation". They are printing currency to debase money supply (we face financial hardship), but the Governments debt gets debased also and becomes cheaper over the long run. Nothing accidental in this.

What are you going on about with your "schooling"?

https://www.bankofengland.co.uk/know...t-is-inflation

[Kingstepper]

What are you going on about with your "schooling"?

https://www.bankofengland.co.uk/know...t-is-inflation

What do they know?

[theancientmariner]

To be schooled, Inflation is an increase in the currency supply, which debases the value of the currency you hold. It is not an increase in price of things - that is a consequence of the issue of excess currency in circulation.

You're arguing two sides of the same coin. Supply and demand. Inflation isn't an increase in currency supply but it is a consequence of low currency demand.

[Guycord]

I think you are confusing yourself with your examples, Mick is right, inflation is when prices go up…

conflating price with value

[Guycord]

What do they know?

They know how to lie.

They want you to think it is greed bosses
They want you to think it is greedy unions
They want you to think it is greedy shopkeepers.

Remember when inflation was "transitory". Yes? Ah, maybe because they just printed £450bn of currency in 2021 out of thin air and they KNEW what would come with that sort of currency injection.

The US printed from thin air 40% of all USD ever created since the foundation of the States/USofA. This is the key reason (and not Russia) why hydrocarbon costs have increase. (hint, current trajectory started in early 2020)

Stop believing the establishment on everything they say. They do not have your best interest to heart.

[Guycord]

You're arguing two sides of the same coin. Supply and demand. Inflation isn't an increase in currency supply but it is a consequence of low currency demand.

So wrong Im afraid. Too much cool aid. Printing of M2 money supply out of thin air is the definition of inflation.

I suppose you still think Savers give money to Banks to lend out as loans?

[helidoc]

A bit off piste for Watch Talk

FWIW I agree with Kash

D


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[ninjaguppy]

So what’s happening with Rolex prices again 😂

[ryanb741]

So what’s happening with Rolex prices again 😂

They are going up. Or down. Or remaining stable. And the economy is, or is not screwed.

[David_D]

Bizarrely there are a number of eBay sellers listing Rolex watches with eBay authenticity paperwork so presumably acquired quite recently.

One is shown with a guarantee card showing part of the date : 10/2022. So it’s been bought, flipped and listed again in 6 weeks max!

[theancientmariner]

So wrong Im afraid. Too much cool aid. Printing of M2 money supply out of thin air is the definition of inflation.

I suppose you still think Savers give money to Banks to lend out as loans?

You're not by any chance a university student are you? Conspiracy theories, can't be wrong and no legitimate explanations for why you're 'right'.

What you're talking about is economic theory - https://www.economicshelp.org/blog/1...ply-inflation/ - which is based on a lot of suppositions and with a key phrase - "though not always". It's entirely based on the premise that if there's more money, people will spend it and guess what, that's not always the case.

fyi, another post shared a link to the Bank of England website which gave the definition of inflation - not what you're talking about.

[Mick P]

You're not by any chance a university student are you? Conspiracy theories, can't be wrong and no legitimate explanations for why you're 'right'.

What you're talking about is economic theory - https://www.economicshelp.org/blog/1...ply-inflation/ - which is based on a lot of suppositions and with a key phrase - "though not always". It's entirely based on the premise that if there's more money, people will spend it and guess what, that's not always the case.

fyi, another post shared a link to the Bank of England website which gave the definition of inflation - not what you're talking about.

I wouldn't waste your time engaging with him, he just isn't worth it.