Will rates really fix inflation?

Good Morning Voornaam,

Ghost Bites:

Other big news included shareholder approval of Walmart's buyout of Massmart, as well as major board changes at Huge Group and Transcend Residential Property Fund. Get up to speed by reading what the fund managers read: Ghost Bites>>>

Chris Gilmour gets us thinking this morning

Conventional wisdom says that increasing interest rates will help curb inflation. This is true when inflation is caused by heightened consumer demand. The jury is out on whether it does more harm than good when we have supply-side inflation.

There are senior voices in the Fed who are wondering whether this aggressive strategy is actually going to work. Chris Gilmour took that as an opportunity to explore the drivers of recent inflation and the reasons for dissenting voices.

Challenge your thinking on inflation>>>

Unlock the Stock: Calgro M3 and Pan African Resources

Last week, construction group Calgro M3 and mining house Pan African Resources joined us on Unlock the Stock. I just love this platform, as it gives retail investors a rare opportunity to engage directly with management teams. After all, empowering investors with knowledge is what gets me out of bed every morning! Ok, that and Toddler Ghost climbing all over my face.

To watch the recording and learn about these companies, click this link>>>nt>

Welcome to ECB week

In today's market update from TreasuryONE, we learn that Friday's session saw intense volatility in the rand. It traded above R18.50 before racing down to the R18.30 handle that it seems more comfortable at currently. Offshore factors are driving the volatility, with US Treasury Yields soaring initially as US markets opened. We saw the 10-year yield rise to 4.37%, the highest level since 2007!

There were rumours of dollar option maturities settling in the market, which could've been the reason for such sharp moves in the afternoon.

This week, we will see the ECB rate decision and the release of US Q3 GDP data. This could provide so me fresh direction for the dollar. The current expectation is a 75 basis points hike by the ECB, which would support the euro. Looking at US data, the expectation is 4.3% year-on-year growth.

Podcast time

I'll be sharing a few great shows with you this week, as I've done some guest appearances recently.

In the meantime, I wouldn't want you to be distracted from the latest episode of Magic Markets. After asking followers on Twitter to send through questions, we answered a variety of questions ranging from technical portfolio matters through to general advice we would've given our younger selves.

It's a fun, entertaining and insightful episode. Enjoy it at this link>>>

Have a great Monday!