Thursday, April 14, 2005

Surprise Rate announcement in South Africa

The Southt African central bank cut interest rates 50 basis points to 7% today. This cut was totally unexpected. Spot Zar went from6.18 to a current level of 6.3050. I believe this is only the beginning. I am looking for Zar to hit 6.48 quickly with an eventual target of plus 7.00.

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