The rand firmed slightly on Thursday after four days of losses as the dollar benefited from Donald Trump's US election win. At 15.19 GMT, the rand traded at 18.2275 against the dollar, about 0.1% firmer than its previous close.
The currency has traded turbulently, having lost almost 5% against the greenback since the recent US election, with investors expecting Trump's policies to bring higher short-term economic growth and also potentially inflationary pressures.
Potential policy changes include tariffs and tax cuts.
“Volatility will likely remain the order of the day as markets grab at anything they can get hold of regarding prospective US policymaking under Trump,” said Danny Greeff, co-head of Africa at ETM Analytics.
An improvement in mining output in September did little to support the rand on Thursday.
The output rose 4.7% year-on-year in September from 0.3% in August, Stats SA data showed.
On the JSE, the blue-chip Top-40 index closed flat. SA's benchmark 2030 government bond was little changed, with the yield at 9.145%.
Reuters
Rand firms after big losses on Trump win
Image: Freddy mavunda © Business Day
The rand firmed slightly on Thursday after four days of losses as the dollar benefited from Donald Trump's US election win. At 15.19 GMT, the rand traded at 18.2275 against the dollar, about 0.1% firmer than its previous close.
The currency has traded turbulently, having lost almost 5% against the greenback since the recent US election, with investors expecting Trump's policies to bring higher short-term economic growth and also potentially inflationary pressures.
Potential policy changes include tariffs and tax cuts.
“Volatility will likely remain the order of the day as markets grab at anything they can get hold of regarding prospective US policymaking under Trump,” said Danny Greeff, co-head of Africa at ETM Analytics.
An improvement in mining output in September did little to support the rand on Thursday.
The output rose 4.7% year-on-year in September from 0.3% in August, Stats SA data showed.
On the JSE, the blue-chip Top-40 index closed flat. SA's benchmark 2030 government bond was little changed, with the yield at 9.145%.
Reuters
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