Big interest rate changes coming

[Bianke Neethling]

Big interest rate changes coming

Faced with the worst inflation shock in a generation, the South African Reserve Bank is looking to make changes in the way it goes about managing inflation.

 

[ghaye]

We certainly need a different model. Standard models don't work here as our inflation is not driven by the usual suspects. It's the government that's the inflation driver.

 

[zerocool2009]

Its all over the world! Not only in SA!

What goes down must go up...

 

[dualmeister]

What goes down must go up...

When did it go down?

 

[Lupus]

When did it go down?

2020

 

[zerocool2009]

But we are stilled blessed. Argentina’s interest rate is 74%

 

[Grouter]

But we are stilled blessed. Argentina’s interest rate is 74%

SA Reserve Bank: "Hold my Beer..."

 

[pinball wizard]

But we are stilled blessed. Argentina’s interest rate is 74%

You'd still be better off there than in this cANCerous shithole.

 

[Jam Sandwich]

SA Reserve Bank: "Hold my Beer..."

Yep... We do have a habit of being top of the bottom...

 

[zerocool2009]

I predict end May and July increases....

 

[neoprema]

But we are stilled blessed. Argentina’s interest rate is 74%

Don't give the Gov ideas...

 

[Dan C]

When did it go down?

 

[Bliksis]

But we are stilled blessed. Argentina’s interest rate is 74%

We are not blessed, they are screwed.

 

[Bliksis]

If only they could find a different way to implement interest rate hikes that would not affect bond repayments so much.

 

[zerocool2009]

Sadly, bond payers who bought after 2020 are in for a rude awakening. Or actually any debt...

 

[pinball wizard]

I'm retarded, but it's evident in my pocket that everytime they hike interest rates, inflation increases. I think that this inflation targeting is a ****ed up system. The cadres must be benefiting.

 

[Bliksis]

Sadly, bond payers who bought after 2020 are in for a rude awakening. Or actually any debt...

"It's always a good time to invest in property"

I'm currently able to afford the increases without changing my lifestyle too much, but many aren't.

In what way is this a rude awakening? A rude awakening from what?

 

[Speedster]

I'm retarded, but it's evident in my pocket that everytime they hike interest rates, inflation increases. I think that this inflation targeting is a ****ed up system. The cadres must be benefiting.

Which is why SARB uses CPIX for their inflation targeting.

Edit: my memory is outdated. It seems they ditched CPIX in 2009 for a revised headline CPI.

 

[pinball wizard]

Which is why SARB uses CPIX for their inflation targeting.

****ing speak english. I said I was a retard.

 

[lkpat]

But we are stilled blessed. Argentina’s interest rate is 74%

ZIm... 110%