Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

South African Central-Bank Model Suggests Rate on Hold

Published 21/11/2019, 03:00 pm
© Reuters.  South African Central-Bank Model Suggests Rate on Hold
SPOT
-

(Bloomberg) -- Explore what’s moving the global economy in the new season of the Stephanomics podcast. Subscribe via Apple Podcast, Spotify (NYSE:SPOT) or Pocket Cast.

South Africa’s central bank has pared interest-rate expectations since the start of the year. While in January the policy path in the projection model used by the Reserve Bank showed the key interest rate at close to 7% by the end of 2021, that has come down to 6.5%, suggesting the Monetary Policy Committee may hold the rate on Thursday. Inflation that dropped to an almost nine-year low in October may even provide the central bank with a “small window of opportunity” to ease policy ahead of potential further negative credit-rating actions, according to Elize Kruger, an economist at NKC African Economics.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.