Advertise with fastmoving.co.za
 
 

Production data lifts rand to week high
Production data lifts rand to week high

Production data lifts rand to week high

SERVICES NEWS

Fin24/ Reuters - Dec 11th 2013, 09:25

Johannesburg - The rand gained to its strongest in nearly a week on Tuesday after upbeat mining and manufacturing data improved economic growth prospects. 

Mining data showed production surged 22% year-on-year in October, from 0.6% the previous month. Manufacturing rose 1.5% from a 3.3% contraction, and against market expectations for a further fall in October.

The data took the rand to R10.2725/$, breaking through resistance and gaining over 1%.

"On these two numbers the SARB can continue to focus on inflation when making policy decisions, and thus a rate hike would still seem more likely over the next year than a further cut," said Christopher Shiells of Informa Global Markets after the data.

The central bank has kept interest rates on hold at 5% all year as it tries to juggle a weak economy with rising prices.

By 15:18 GMT, the rand was up half a percent on the dollar to R10.3395/$, off a R10.3935/$ close in New York on Monday.

South Africa's currency was the biggest gainer in a basket of emerging market currencies trading against the dollar and tracked by Reuters on Tuesday.

The production data improves South Africa's GDP outlook for the year as manufacturing accounts for about 15% of economic activity.

Yields on government bonds ended steady at 8.275% on the benchmark 2026 issue and dropped one basis point to 6.18% on the 2015 note. 

Related News

There's no truth to importers' threats about 'expensive' chicken
05/06/2019 - 08:58
Don't rely on the chicken importers for the facts. In a massive public relations exercise to turn opinion against higher import tariffs, they have relied on assertion, misdirection, misinformation, and bluster. Facts are few and far between.

South Africans are spending less on their weekly shopping trip
23/05/2019 - 09:44
Tiger Brands, which carries brands including Koo canned foods, All Gold, and Tastic rice, said that revenue from continuing operations fell 2% to R15.4 billion in the interim period.

Technology makes end-to-end supply chain visibility and predictive analytics a reality
20/05/2019 - 09:31
Line of sight is the biggest challenge for all aspects of the supply chain, from the manufacturer to the wholesaler, distributor, and the reseller and even to the end consumer. This lack of visibility and resulting lack of control results in a number of issues, from stock losses to pricing inflation, uncertain availability and increased time to market.

Retail sector barely budged in March
16/05/2019 - 09:54
Consumers were under pressure in March with a 74c/l hike in the petrol price and slightly higher inflation.

Load-shedding knocks mining and manufacturing in the first quarter
13/05/2019 - 09:36
Despite a better performance in March, both sectors recorded contractions in the first quarter of the year - with production severely constrained by load-shedding.