QUOTE(yok70 @ Mar 5 2015, 05:52 AM)
last year, everyone kept saying rate hike. now, rate cut. what a ride, always unpredictable.

precisely - things changed over the past year with the dramatic fall of commodity prices incl oil, much to the shock n chagrin of gomen.
viewing a protracted low oil price scenario, add heated currency wars, chances are bnm can't afford not to cut rates in the next few months.
QUOTE(danmooncake @ Mar 5 2015, 08:37 AM)
IMO, Msia real inflation is considered high relative to income and the rising household debt is big issue now because too many people borrowing too much speculate on real estate property and other gimmicks.
I think BNM should continue raise its OPR to another 25 basis point to 3.50 to curb these easy money.

bnm may be prudent but gomen is not. debt has been viewed as good, actually the prime fuel for domestic consumption and hence gdp growth in recent years which explains the massive buildup in household debt.
the fallback was oil but that's broken. between a rock and a hard place, limited options. can't do much on the fiscal side, so back to the monetary side, cut rates to incr debt and spending to keep growing. last resort, devalue the currency!

latest: usd1=rm3.658.
This post has been edited by AVFAN: Mar 5 2015, 09:23 AM