So money growth doesn't cause inflation you say?

 

Graph below compiled using latest StatsSA and SARB data.  Gives a pretty good idea of when we can expect to see inflection/turning points in y/y CPI inflation.  Looks like we’re ready for one pretty soon.  We’ll be keeping an eye on M1 growth in the months ahead.  Could start picking up strongly if the SARB starts buying a lot of dollars off the market and especially if borrowing starts to gain traction on the back of lower rates…