MARKET WRAP: JSE closes higher and rand firms on repo rate cut
The Reserve Bank monetary policy committee voted unanimously to cut interest rates by 0.25 percentage points to 6.5%
The JSE closed higher on Thursday as the rand firmed following the Reserve Bank’s decision to cut the repo rate 25 basis points (bps).
The Bank’s monetary policy committee (MPC) voted unanimously to cut the the rate by 0.25% to 6.5%, in line with market expectations. The Bank said it expects inflation to average 4.4% for 2019 and revised its GPD growth forecast from 1% to 0.6%. The rate cut is concurrent with expectations that the US Federal Reserve may begin an easing cycle and markets have priced in a 100% probability of a rate cut ahead of the Fed’s meeting at the end of July...