Advertise with

Rampant rand hits 10-month high against the dollar
Rampant rand hits 10-month high against the dollar

Rampant rand hits 10-month high against the dollar

ECONOMIC NEWS - Aug 10th 2016, 11:36

THE rand remained at its multi-month highs against the dollar on Wednesday morning after gaining a further 30c against the greenback in the past two days. 

The local currency strengthened to R13.35 to the dollar, the best level since October, as it continued on the rally that took hold in June.

"For the importers, they are jubilant with the current R13.40 to the dollar level and should be looking for long-term cover at this stage," TreasuryOne dealer John Moni said.

Stoking the latest rally in the rand was a weaker dollar and the pick-up in commodity prices that lifted platinum to about $1,187.5/oz — its best level since March 2015.

The stronger currency eases inflation, taking the pressure off the Reserve Bank, which has hiked interest rates by a cumulative 75 basis points in 2016.

Analysts have partly attributed the resilience in the local currency to positive sentiment that flowed from the peaceful local government elections last week.

At 9.01am‚ the rand was at R13.4283 the dollar from R13.4142 at the previous close.

It was at R14.9623 against the euro from R14.9136 previously‚ and at R17.4984 against the pound from R17.4451 previously.

The euro was at $1.1143, from $1.1118 at the previous closeFrom DFM Publishers (Pty) Ltd 

Read more about: rand | markets | economy | dollar | currencies

Related News

4 reasons to be hopeful about South Africa’s economy
12/09/2019 - 14:40
Markets responded positively to South Africa’s economic growth rebounding in the second quarter, up 3.1%, and 0.9% for the year to June 2019.

Eskom: The largest threat to the stability of the SA economy
10/09/2019 - 09:45
On Tuesday 23 July, South African Finance Minister Tito Mboweni tabled a bill before the National Assembly which would see national state-owned power utility Eskom benefit from an allocation of R59 billion over the next three years.

Innovative leasing deals boost Kenya's office market
04/09/2019 - 09:25
A creative approach to leasing deals is helping innovative landlords offset the challenges of high vacancies in an overstocked Nairobi office market, according to Broll Property Intel’s latest Kenya Office Market Snapshot H1:2019 report.

Lego's sales bounce back with the help of Marvel superheroes
04/09/2019 - 09:11
Models of superheroes and villains from Marvel’s Avengers movies helped lift first-half sales at Lego, as the Danish toymaker continued its turnaround drive with investments in China, India, the internet and new stores.

No pain, no gain for SA economy
02/09/2019 - 16:22
Despite SA’s fiscal crisis — and the fact that the country has very little to show for the loose fiscal policy run over the past decade — there is a lobby (mainly on the Left) that thinks the best way to resolve SA’s growth and fiscal challenges is to inject further fiscal stimulus into the economy.