Biggest risk in Fed hiking
Walter de Wet, head of eonomics research, Standard Bank
The biggest risk lies in the Fed hiking more than three times this year. And following the better-than-expected labor data out of the United States last week, it seems as if the market is more comfortable with another Fed rate hike as early as June. Our economist has penciled in at least four rate hikes this year. That said, in our view, if U.S. hikes go alongside higher growth expectations, the South African rand may well be more stable than would otherwise be the case.