The Running Commentary

I hate to say I told you so….

As predicted in my post of 23rd May, the governor of the reserve bank once again increased the repo rate by 50 basis points. I may only be an amateur at this, but all of the analysts had predicted a full point increase. I think that the Governor only increased by 50 basis points as…

Continue Reading

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…

Continue Reading