Wednesday, April 18, 2007

18 April 2007: Higher

And up it spirals... The above appears to be a twenty-five year high for the pound against the dollar, and by the time you read this it may well have spiked even further. Sheesh. Haven't these people heard of profit taking? Surely it'll be back below $2 in a day or so when the momentum gives out?

The only observation I've made in all of this is that it's not interest rate rises that cause the pound to spike, but the promise of interest rate rises. In January, the face of BoE raised rates to 5.25% and took everyone by surprise: the pound spiked for half an hour and then was back down to where it was before. Now we have the almost certain prospect of rate hikes in about two weeks' time, and so everyone has time to salivate about it, thus pushing the pound up and up.

Meantime McDougal notes that one of the creators of Drupal, the freebie content management system that appears to be the only thing left of John Kerry's 2004 election campaign, is named John VanDyk and he appears to list his hobbies as 'squash hunting and raising children'. In that order, presumably. And if you've no idea what squash hunting is, click here to find out.

Who says there's nothing to do in Iowa?

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