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SARB
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![multiple currencies](/en-uk/-/media/research/global/news-analysis/featured-image/2021/03/forex9v2.jpg?h=300&w=1170&hash=AD14EF81DD1FF7F626A6079A6CDFC1BF)
SARB hikes rates by 25bps; 50bps expected
It appears SARB could have gone with 50bps, but held back due to ongoing load shedding and the hit it may take on the economy.
![Uptrend](/en-uk/-/media/research/global/news-analysis/featured-image/2021/03/uptrend-3.jpg?h=300&w=1170&hash=9ACD0E7B620A6B86BF4B1D07A28EBDE2)
SARB continues its rate hike cycle by surprising markets with a 75bps hike
Earlier in the week, South Africa released its June CPI at 7.4% YoY vs 7.2% YoY expected and a June reading of “only” 6.5% YoY.
![Close-up of market chart](/en-uk/-/media/research/global/news-analysis/featured-image/2021/03/charts1.jpg?h=300&w=1170&hash=C38414AAC5C51E3B267E05BAF459EA88)
USD/ZAR near key technical level ahead of SARB
If the SARB raises rates less than expected or if the statement is less hawkish than expected, the pair may break higher.
![Board of currencies](/en-uk/-/media/research/global/news-analysis/featured-image/2021/03/forex8.jpg?h=300&w=1170&hash=54E6082D211BA389AF0CB83371AC0489)
USD/ZAR pushing 5-month lows ahead of SARB
Whether the central bank raises rates by 25bps or 50bps may depend on the outcome of the CPI report!
![Board of currencies](/en-uk/-/media/research/global/news-analysis/featured-image/2021/03/forex8.jpg?h=300&w=1170&hash=54E6082D211BA389AF0CB83371AC0489)
Inflation fears hitting Emerging Markets Currencies
If the US Dollar remains strong, emerging markets may continue to feel the pinch
EM Rundown: A Trifecta of Big EM Central Bank Decisions
While there are a few top-tier economic events in the G10 this week (RBA minutes and CPI tonight, the RBNZ’s monetary policy meeting on Thursday, […]