South Africans with home and car loans will be hoping for good news at 3pm on Wednesday when Reserve Bank governor Lesetja Kganyago announces how the monetary policy committee has voted.Nedbank’s economic team in a note e-mailed on Monday said that Moody’s decision to change its outlook on SA to stable from negative and hold the country’s credit rating above junk meant the chances of a 25 basis point cut on Wednesday had increased."Of the 13 factors analysed, six support an unchanged stance, one factor favours a hike, while six factors support a cut. On a weighted basis, this implies a split probability of a 47% chance of a hold and a 47% chance of a cut at this week’s monetary policy committee meeting; we believe that it will be a very close call between these two options," Nedbank said."Based on our analysis, we are of the opinion that the repo rate will be reduced by 25 basis points this week. However, before Friday’s rating action we thought a cut was more likely in May rather t...
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