How would an interest rate increase affect you?

[Dave A]

On the flip side of high bases...

South African new vehicle sales fell 18,1% in September compared with the same month last year, and were likely to stay under pressure through to the end of the year, partly because of high interest rates.

The National Association of Automobile Manufacturers (Naamsa) said on Thursday new vehicle sales were down at 40 955 units from 49 996 in September 2007. The September 2007 figure was depressed by a strike in the automotive component sector that affected production and sales.

Including sales from Associated Motor Holdings, whose data is presented separately as it does not fulfil all of Naamsa's reporting requirements, total sales fell to 44 725 vehicles in September from 55 645 last year.
full story from M&G here

I've skipped posting the numbers for a couple of months - they've all been going the wrong way so is it news, really?

On the plus side, we've got a new basket coming that might bring some good cheer on the CPIX side next year. Then we had the load shedding for the first part of this year. That should give a nice low base for year-on-year comparisons somewhere along the line.

I'm not sure we're at "the bottom" just yet, but if you're making it at the moment, hang in there. There's a fair chance light at the end of the tunnel could start showing soon.

[Karenwhe]

I have noticed quite a few vehicle dealership closing down in prominent areas are that have been around for many years.

But I don't understand, is that as fast as the those close, I see new BMW and other brand name dealerships being built from ground up in places like Beyers Naude.

[Morticia]

Leftovers from the 7 fat years - the funds have been in their budgets for a few years. However, now it's back to the drawing boards for the next 7 lean years...

[Dave A]

However, now it's back to the drawing boards for the next 7 lean years...

Hopefully not that long

[Chatmaster]

Just heard over the radio that Ford are looking at retrenching some of their workforce. It seems they are in negotiations with the unions about it.

[Dave A]

I think UIF is going to get hammered. There has to be serious pressure for lay-offs in a number of sectors. I wonder how healthy the fund reserves are?

[Morticia]

Ford has been in trouble for a number of years and not only in SA. I think only inebriated judges can afford to drive Jaguars lately.........

[Erika Gordon]

We have a looming energy hike of 24.8% and municipalities signalled their intentions to hike their fees. Please note the term "looming" because the municipalities will only hike their electricity supply costs from July. With electricity and petrol price hikes, both input costs, inflation will also go north and Bobs your uncle. Interest rates will go north.
What does this mean? Businesses will have to rework their business models to either save costs, increase revenue or increase something else. All of this with a global recession and a lucrative world come that may not realize for the massess.

And oh yes, our property sector will see a shift.

It will hurt!!!