The Running Commentary

Well I got this wrong!!

Well I got this one wrong! No interest rate hike! I must say though, in mitigation of my previous post, the fact that oil prices have come down to the levels that they have would not have been predicted by even the most optimistic financier.The effect that this will have on food inflation means that…

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Mike • August 15, 2008

Hawkish Tito

On the 11th of April this year I put together a post around the interest rate outlook.  In the post (made one day after the latest interest rate hike) I noted that based on the countries historical reaction to the interest rate hikes I anticipated a further two hikes, each of 50 basis points. Looking…

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Mike • May 23, 2008

Interest Rate Crunch…

Well yesterday saw a further 50 basis point rate increase in terms the rate from the Reserve Bank, necessitating an increase in the prime rate by all of the banks. This increase means that we have had a 450 basis point increase since July of 2006.  I have compiled a graph comparing the interest rate…

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Mike • April 11, 2008