Ericsson wrote:CBK is trying to play hard ball.
Investors are shunning the bond wanting higher rates.
Rates have to go up;it's inevitable
What is cbk attempting here? With food inflation @16.5% which constitutes 36%(I think it should be way higher than this) of the CPI and overall inflation - after a lot of fudging with the weighting and computations - checking in @9.04% for the month of February, how do they expect to maintain the rates within the yield curve?
This development is all the more disconcerting when you consider that it is coming on the back of deflationary credit conditions! Furthermore, Treasury still wants to play Santa Claus coz it's an election year: 2.6T budget and a 900b deficit with stagnating or declining revenue collections and an escalating debt repayment burden...where is the sanity here?
The main purpose of the stock market is to make fools of as many people as possible.