July 22nd, 2008

MYR
Malaysia held rates steady vs. hiking; hurtng credibilty, whole curve went right

South Africa
Due to reweighting of CPI; crude lower, agricultural prices lower and ZAR 5% stronger => expect CPI to peak at 13.2% y/y in July, dipping to 8.6% in Jan '09
expect SARB to keep rates on hold in August and four 50bp cuts over next two years with first in June '09
M3 and PSCE both tomorrow, CPI, PPI and Investec PMI