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Interest Rate Hike

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Preston
Super Contributor
Could possible be on the agenda for the next meeting.
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55 REPLIES 55
SimonPB
Valued Contributor
always on the agenda, but not going to happen
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Rams
Super Contributor
political pressure/ elections? or economics?
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kwagga
Super Contributor
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shares
Contributor
The government / central bank (here and abroad) keep hoping that cheap money will help the economy to grow or at least paper over the cracks. Inflation is currently very much a secondary consideration. With the Rand at such low levels it's going to be "interesting" to see how inflation ticks up as imports get more expensive if it doesn't rebound soon.
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Rams
Super Contributor
Simon so sure it not going happen, it that obvious or he knows something...
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suki
Super Contributor
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Preston
Super Contributor
I have got a funny feeling that Gill Marcus is going to burn some speculators fingers.
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SimonPB
Valued Contributor
money on the table feeling .. or just feeling sorta feeling ..
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Preston
Super Contributor
feeling sorta feeling ..
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Rams
Super Contributor
I got money on the table,,,,she not going to hike the rates even if she wanted to, if she still wants to keep her job....my UDA/ZAR looking for that R13
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Rams
Super Contributor
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Thunder101
New Contributor
I think she will surprise us...India has done that already....
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Not applicable
reserve bank mandate is inflation targeting - unless this has changed? CPI is what - 5.3%? so still in the 2%-6% range - that leaves GM with a bit of room for pre-emptive action, in anticipation' of inflation. but who in their right minds would want to throw that kind of a hand grenade into this volatile situation right now?
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kwagga
Super Contributor
The ZAR is already overvalued as is. It think R11.50-R11.80 for 2014 is more likely then R13. R 13 would imply capitulation.
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SimonPB
Valued Contributor
you right the official mandate is inflation targeting .. but the last many MPC they mention growth and how that is also important, so that mandate been blurred recently
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Rams
Super Contributor
When it was at 9.50, it was said 11 would be capitulation....
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Penny_Pincher
Super Contributor
Political factors? - There is an election coming....they tend to outweigh sensible thinking at such times.
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