Johannesburg - The acute slowdown in the economy coupled with the high base effect for many commodity and food prices as well as the re-weighting of the inflation index in 2009 makes a rate hike in August increasingly unlikely, say fund managers Stanlib.
They add that if there is a hike it would be only 50 basis points and the last in the rate hiking cycle.
"The market is very much pricing-in at least one further rate hike, with many analysts still talking about two further hikes," conclude the investment specialists.
- I-Net Bridge
http://www.fin24.com/articles/default/display_article.aspx?ArticleId=1518-25_2357736
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