Will the SARB increase rates this month?

Will the SARB increase rates this month?

  • Yes, but by more than 50 bps

    Votes: 23 14.6%
  • Yes, 50bps is accurate estimate

    Votes: 103 65.2%
  • Yes, but by less than 50bps

    Votes: 23 14.6%
  • No

    Votes: 6 3.8%
  • Other

    Votes: 3 1.9%

  • Total voters
    158

ToxicBunny

Oi! Leave me out of this...
Joined
Apr 8, 2006
Messages
106,200
I expect a 50bps increase tbh... but would be stupidly happy with a 25bps one instead, will give me an extra 3 months to knock more off my bond at a lower rate.

I generally expect it to go up about 100 - 150bps over the next year or 2.
 

marbro

Expert Member
Joined
Nov 9, 2010
Messages
1,200
Ok, So I completely understand what basis points are and how they affect the world,


But my kid doesnt. Im also too busy to explain to him. Would you guys mind? I mean in terms of my car payments and possible house payments
 

3WA

Honorary Master
Joined
Sep 25, 2012
Messages
16,529
I thought the daily question was for our opinions, not our predictions. I thought MYBB cared to hear my opinions but it seems they just want my predictions based on the expertise I’ve built up over the years :crying:
 

NarrowBandFtw

Honorary Master
Joined
Feb 1, 2008
Messages
24,683
globally it is clear that inflation is out of control

you don't bring that to heel with paltry 0.5% hikes

odds are it can be brought to heel no matter the size of the hike, but to have any hope in hell it is time for shock tactics: 10% hike in one go
 

Sinbad

Honorary Master
Joined
Jun 5, 2006
Messages
78,657
globally it is clear that inflation is out of control

you don't bring that to heel with paltry 0.5% hikes

odds are it can be brought to heel no matter the size of the hike, but to have any hope in hell it is time for shock tactics: 10% hike in one go
You also can't control cost push inflation by decreasing money supply. That just leads to recession and stagflation. People are already cutting back on discretionary spending, but the inflation is driven by essentials.
 

bchip

Expert Member
Joined
Mar 12, 2013
Messages
1,236
Ok, So I completely understand what basis points are and how they affect the world,


But my kid doesnt. Im also too busy to explain to him. Would you guys mind? I mean in terms of my car payments and possible house payments

If you loan R1mil from the bank then today you pay R8200 per month tomorrow you pay R 8500 with 0.5% increase for a home loan
With a 5 year car loan for R1mil, its R20,200 vs R 20,400 tomorrow

 

marbro

Expert Member
Joined
Nov 9, 2010
Messages
1,200
If you loan R1mil from the bank then today you pay R8200 per month tomorrow you pay R 8500 with 0.5% increase for a home loan
With a 5 year car loan for R1mil, its R20,200 vs R 20,400 tomorrow

So I will break it to him tonight that we arent buying a house
 

ToxicBunny

Oi! Leave me out of this...
Joined
Apr 8, 2006
Messages
106,200
Ok, So I completely understand what basis points are and how they affect the world,


But my kid doesnt. Im also too busy to explain to him. Would you guys mind? I mean in terms of my car payments and possible house payments

In its simplest terms, every 100bps increase equates to a 1% increase in the interest rate on your car/house... so if it was at 9%, a 100bps increase would make it 10%. 25bps = 0.25% increase.
 

Johnatan56

Honorary Master
Joined
Aug 23, 2013
Messages
30,364
You also can't control cost push inflation by decreasing money supply. That just leads to recession and stagflation. People are already cutting back on discretionary spending, but the inflation is driven by essentials.
Arguing inflation/economics with NarrowMind is like arguing with a parrot, it will be whatever RT says is good.
 
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