I asked before n some answered me it is no effect as bank gives more in FD and some said that FD has increased even before the BLR increased because they said bank already anticipated that OPR ll increase. My thought is bank ll get more profits in short term.

I also wonder what is wrong here,if bank has excessive money cannot lend out as some said, thus need to increase OPR..n subsequently the BLR. Wouldn't this ll attract more FD n the funds getting more n more n with higher loan cost, if less people taking loans, wouldn't the bank stuck with more cash n need to pay interest to the depositors??? This may cause the bank to lose leh....

Yalor....last tuesday was at Gardens Mall....saw the crowd. The eateries are full of people....the TWG also almost full...it isnt cheap....one meal can easily 0.25 basis point

People hasnt adjusted their life style yet....living on credit if not enough cash (but I dont underestimate our citizen short of cash). Always got credit card to pay first.

Saw HSBC promoting credit cards n giving away a free tablet...was tempted to get that tablet but I dont have epf document to apply for one...so cancel deal. The promoter sad face...

Car park was full....the only way to find easy car park is the premier car park. Only for 2 hours, so ok lar...can save time n petrol to pusing pusing finding empty lots.

so. When hard time hits...it ll be painful as life style needs to he adjusted n many may not get used to it yet...business ll get hit...many closure ll happen...but that also give many opportunities to those in the long queue to open new business in the mall....get ready...

Usually bank will earn more under money multiplier .bank can lend out few times of our reserve.
http://en.m.wikipedia.org/wiki/Money_multiplier

May be some economy expert / student can explains more to us on this topic.

Just need few more months to go will know banker will get how much bonus for this year. Some already start planning how to spend for next holiday liao, because the additional income is not likely to worst than prior year.

This post has been edited by kradun: Jul 17 2014, 01:59 PM

Seriously, a lot of ppl is still not aware of the 'storm' that's yet to come and still happily living a luxurious lifestyle whereby most of their things are on credit. When they feel the pain with a greater increase in loan, first thing they hv to cut will be all these things. Then next, business affected and all..

Don't you see cafe coming up like sprouting beans? But these are just trends... that won't last long. Just like bubble tea and burger joints. People eventually get sick of all these. I, myself wouldn't be able to maintain such lifestyle. Have to 'lim' kopi at home. This is just a small increase in BLR, middle income ppl actually feels the most pain I guess. Salary tak naik...

totally ignorance and try living in city lives with small salaries , Microsoft is retrenching workers, i thought many ppl in LYN say US economic has recovered one? guess again microsoft US is planing to cut jobs in thousands.. more working class suffer

http://www.thestar.com.my/Tech/Tech-News/2...-cuts-Thursday/

Yea, felt that there's a lot of ignorant people around.
They don't feel it bcos they're living under their parent's roof. Or their other half is the one who's paying it.
I have friends who's like jobless and yet they can maintain such a lifestyle and don't feel a pinch. Girls that demands their bf to buy the latest handbags costing 4 figures, modify their car, when they're only earning like merely 3k monthly.

sue credit cards, father mother money, future money and live on.. if bank can borrow, borrow more..

Most of this joint target for gen y and gen x...only them willing to spend money like no tomorrow and they are
the biggest consumer.
Sooner later when people no longer afford buy property they will shift the purchase to fancy car and spend more on lifestyle.Mentality for them is when u earn hard u must spend hard..no money then use credit card first

Good la. This people will rent from us. Kekekeke

The job cut may have to do with Nokia issue, instead of US economy.

US economy is growing at 2~3% which is considered ok to robust pace
Payroll number show >200K job created last few months.
Jobless rate declining
Stock market at all time high.

you must be this category and mentality.... you dream bigger property investment..

Nokia do not contribute to US economy? Economy good = any job retrenchment? holding a lot of property market..

PC-maker Hewlett-Packard Co is in the midst of a radical three-to-five-year plan that will lop up to 50,000 of its 250,000 staff.

Chip maker Intel Corp and network equipment maker Cisco Systems Inc both said in the past year they are cutting around 5% of their staff

International Business Machines is undergoing a "workforce rebalancing," which analysts say could mean 13,000, or about 3% of its staff, being laid off or transferred to new owners as units are sold.

This post has been edited by bearbearwong: Jul 17 2014, 02:57 PM

+ 1
I foresee our future lifestyle will near European youngster.
They not keen on ownership and prefer to rent.
This is good news for homeowner

that means holding.. credit locked.. new launches no credit to stretch..

capital gains is always the first prime choice than renting game... only failed investments will mostly revert to rental games..

Erm u r totally wrong..

I never spend on liability I only spend on asset..

I can't buy asset if I in that kind of category. They are my biggest client

I never fancy big car and luxury lifestyle but I not deny I often went pub for drink

Sooner or later ah? Think now also a lot of the gen x cannot afford to buy a house dy. Unless FAMA sponsor. Some can still brag, "oh my parents gave me the house for free". That's why pigeon holes like studio in empire damansara can yield such return.

Capital appreciation always is the main reason...rental only to serve interest.
When I bough I will go long term as rental will be the plan to serve bank interest. Ultimate goal will be capital gain.
Will sell once good price and reuse the capital to reinvest. I never sell when I not foresee buying so tenant very important to me. Monopoly game, when u have 4 green u convert to 1 red ...but I still in amateur level la

young blood is oozing... hope you walk ur talk ... property investment has become a trend lately by youngster under seniors/agents/other ppl who profited, youngster often think of express/easy/money making /fast money rather than working hard...

and then they are locked/bonded with debt at so tender age..

U see, now gen x and gen y actually is lack on financial wisdom...I won't say financial education because they are all well educated.
They will spend on liability and lifestyle instead of asset...if they buy house most of them is for lifestyle n not for investment. This u can witness why studio can sell at very high price because of the facility and the lifestyle that they can enjoy.
This spending habit is so much difference with baby boomer..because of globalisation it is easier to go from one place to another..so most of them now don't have sense of root which chinese value so much last time.

If look at they financial statement , all of them is unhealthy debt..major debt will be on car loan n credit card..