SA firms see inflation quickening before rate decision | Business

  • 📰 News24
  • ⏱ Reading Time:
  • 52 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 24%
  • Publisher: 80%

Sverige Nyheter Nyheter

Sverige Senaste nytt,Sverige Rubriker

South African inflation expectations rose at the start of 2023, suggesting the central bank may keep interest rates higher for longer. | News24_Business

Average inflation expectations for the year increased to 6.3% in the first quarter from 6.1% previously, according to a survey conducted by the Stellenbosch-based Bureau for Economic Research. The rate of price-growth for 2024 is now seen at 5.8%, and will probably slow to 5.5% a year later, the poll of analysts, business people, labor unions and households shows. Average five-year inflation expectations remain unchanged at 5.5%.

The results of the survey influence decision making by the South African Reserve Bank’s monetary policy committee, which prefers to anchor inflation expectations close to the 4.5% midpoint of its target range. In January, it saw consumer-price growth averaging 5.4% in 2023 and Governor Lesetja Kganyago affirmed the central bank’s commitment to inflation targeting and ensuring price stability.

The central bank has delivered 375 basis points of tightening since November 2021, with January’s 25-basis-point move — the smallest increase in five meetings — taking it closer to ending the hiking cycle. The benchmark repurchase rate stands at 7.25%. Forward-rate agreements used to speculate on borrowing costs show traders are now pricing in a 56% chance of 25 basis-point increase in the key rate on March 30. That’s declined in line with

of slower tightening by developing market central banks including the Federal Reserve after the collapse of US lender Silicon Valley Bank and stress in Credit Suisse Group AG.

 

Tack för din kommentar. Din kommentar kommer att publiceras efter att ha granskats.
Vi har sammanfattat den här nyheten så att du kan läsa den snabbt. Om du är intresserad av nyheterna kan du läsa hela texten här. Läs mer:

 /  🏆 4. in SE

Sverige Senaste nytt, Sverige Rubriker

Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.

South African shares lose R1 trillion in seven days | BusinessA global slump in stocks dragged South Africa’s benchmark equity index lower for a seventh day on Wednesday, the longest losing streak for the market since October 2018. | News24_Business _Business Thanks to the government....
Källa: News24 - 🏆 4. / 80 Läs mer »

Business Maverick: Credit Suisse Crisis Crushes a Favourite Investor Trade of 2023Investors betting on a further outperformance in European bank stocks in 2023 have been caught wrong footed by the meltdown in shares of Credit Suisse Group AG and fears of a recession.
Källa: dailymaverick - 🏆 3. / 84 Läs mer »

SAPS: 'Business as usual' on Monday amid shutdown threatsThe South African Police Services says it will be business as usual on Monday. ECRNewsWatch SAPS
Källa: ecr9495 - 🏆 38. / 51 Läs mer »