Rand strength tops watch list as MPC meets in election week
The MPC, which meets the day after the vote, is expected to keep interest rates unchanged
26 May 2024 - 07:02
UPDATED 27 May 2024 - 10:14
The South African Reserve Bank is widely expected to keep the repo rate at 8.25% after the election on Wednesday as economists expect the evolving reaction of the rand to the outcome to influence the monetary policy committee’s (MPC) decision on Thursday more than the elections themselves.
This week StatsSA announced that consumer price inflation eased slightly from 5.3% in March to 5.2% in April. As this is still above the mid-point target range of 4.5%, the MPC — meeting the day after the election — is expected to keep rates on hold, with some analysts only expecting a cut early next year. ..
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