MNI BRIEF: Trump Likely To Let Powell Serve Full Term-Moore

MNI BRIEF: Canada Household Debt Tops $3 Trillion In 3Q

MNI BRIEF: Trump Likely To Allow Powell To Serve Term - Moore

MNI INTERVIEW2: Poland To Push For EU Defence Fund

MNI BRIEF: China To Keep Stabilising Housing Market - CEWC

MNI BRIEF: China Focus On Boosting Consumption In 2025

EZ/UK Bond Supply Calendar: Belgium ORI Facility on Friday

US EIA:NAT GAS STORAGE -190 BCF TO 3,747 BCF DEC 06 WK

MNI: US JOBLESS CLAIMS +17K TO 242K IN DEC 07 WK

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

JP Morgan, Nedbank Expect SARB Hold in Nov with Hawkish Tone

SOUTH AFRICA
  • JP Morgan expect the SARB to keep the repo rate on hold in November, with the MPC likely to retain a hawkish tone. JPM’s view has been that the SARB’s inflation forecasts risk some upward revision, given the higher transportation costs than what is embedded in forecasts.
  • They say a rise in USD/ZAR (to around 20) or more certain deterioration in the food inflation outlook could bring them closer to tightening again. For now, however, they think the threshold is not reached and the soothing September core inflation reading probably increases the policy buffer.
  • With inflation expected to remain within the target range and monetary policy already very restrictive, the SARB will probably leave interest rates unchanged in November and start a mild easing in 2024, Nedbank say.
  • However, they add that the risk of further US interest rate hikes and its likely adverse implications for the rand, as well as the uncertainties around load-shedding, domestic weather patterns, and global oil prices, will keep the MPC in a hawkish state of mind.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.