bitcoins

 

You miss one and then hit one

Leave a comment

Fridays nonfarm payrolls figures missed the mark (163k vs. 193k expected), while unemployment data reached a 17-year low of 3.9

The job numbers confirm strength in the dollar, with the rand opening at 12.53/$ this morning. This week could see EM markets under more pressure as global developments, US CPI and trade talks continue to drive the dollar.

On local shores, SA mining and manufacturing production are likely to record negative growth in the 1st quarter of 2018. Today is a UK banking holiday so we don’t expect lots of volatility. Have a great start to your week!

Today’s Rate

USD/ZAR 12.5221
GBP/ZAR 16.9548
EUR/ZAR 14.9384
ZAR/JPY 8.7232
CNY/ZAR 1.9671
AUD/ZAR 9.4121
CHF/ZAR 12.4863
AED/ZAR 3.4096
SGD/ZAR 9.3747
NOK/ZAR 1.5511
EUR/USD 1.1932
GBP/USD 1.3541
GBP/EUR 1.1384

All rates quo
Continue reading…

Enjoyed this post? Share it!

 
 

The Rand Losts Its Ground

Leave a comment

The rand lost ground yesterday as SA lost out to exemption from the US steel and aluminum import tariffs (25% and 10% respectively).

An increase in the oil price and a stronger dollar added to the rands demise. The tone of tonight’s Fed interest rate decision (20h00) is one to keep an eye on. Even though a hike is not expected, any hints to future interest rate hikes and/or US inflation forecasts could see the market react.

EU GDP and unemployment figures released today (11h00) is also one to keep a look out for. Have a great day!

Today’s Rate

USD/ZAR 12.5989
GBP/ZAR 17.1505
EUR/ZAR 15.1303
ZAR/JPY 8.7198
CNY/ZAR 1.9818
AUD/ZAR 9.4657
CHF/ZAR 12.6592
AED/ZAR 3.4310
SGD/ZAR 9.4372
NOK/ZAR 1.5493
EUR/USD 1.2012
GBP/USD 1.3959
GBP/EUR 1.1437

All rates quoted are the interbank ra
Continue reading…

Enjoyed this post? Share it!

 
 

Spike in “Black gold” rally stirs inflation fears.

Leave a comment

The recent spike in oil prices could fuel global inflationary pressures, which has bolstered the USD to a 2 week high.

Rising US bond yields and easing concerns over geopolitical risks has also positively weighed on the greenback as it open’s the day above 12.1/USD. Progress in US-China trade negotiations & North Korea to suspend its nuclear ambitions to focus on economic growth and peace, have somewhat eased global markets.

It’s a jam packed week ahead with US GDP figures; ECB monetary policy meeting; local consumer confidence and March inflation figures the highlights. Have a fantastic week folks…

Today’s Rate

USD/ZAR 12.1924
GBP/ZAR 17.077
EUR/ZAR 14.9663
ZAR/JPY 8.842
CNY/ZAR 1.93715
AUD/ZAR 9.3347
CHF/ZAR 12.5011
AED/ZAR 3.3049
SGD/ZAR 9.2806
NOK/ZAR 1.5528
EUR/USD 1.227
GBP/USD 1.3997
Continue reading…

Enjoyed this post? Share it!

 
 

Things are going slow and steady

Leave a comment

The rand is stable as markets wait for significant news/data to find new direction.

Risk appetite has returned, but with continuous geo-political tensions, fears over a trade war and future Fed hikes, the local unit will most likely continue to trade in its current range. In global news:

The IMF (International Monetary Fund) has revised SA’s growth outlook to 1.5% and 1.7% for 2018 and 2019 respectively (upwards from 0.9% for both years). Locally: March inflation and February retail sales figures are the highlights to keep an eye out for later today.

Today’s Rate

USD/ZAR 12.0404
GBP/ZAR 17.1930
EUR/ZAR 14.8744
ZAR/JPY 8.9165
CNY/ZAR 1.9144
AUD/ZAR 9.3279
CHF/ZAR 12.4262
AED/ZAR 3.2780
SGD/ZAR 9.1780
NOK/ZAR 1.5475
EUR/USD 1.2355
GBP/USD 1.4280
GBP/EUR 1.1558

Continue reading…

Enjoyed this post? Share it!

 
 

Is this Mission accomplished?

Leave a comment

The rand held its ground after the US, France and Britain launched a “successful” air strike against Syrian chemical facilities on Friday.

The dollar strengthened after markets were convinced that the strike was a once-off event, but global equity markets weakened and Brent Crude Oil reached its highest price since 2014 at 72 USD/barrel.

It’s a quiet week on the data calendar so markets will be keeping a close eye on further US/Syrian developments, with US Retail Sales figures (later today) and local inflation figures (Wednesday) the only other real highlights. Have a great week everyone!

Today’s Rate

USD/ZAR 12.0738
GBP/ZAR 17.202
EUR/ZAR 14.8962
ZAR/JPY 8.8823
CNY/ZAR 1.9207
AUD/ZAR 9.3787
CHF/ZAR 12.5432
AED/ZAR 3.2867
SGD/ZAR 9.2014
NOK/ZAR 1.5543
EUR/USD 1.2345
GBP/USD 1.4247
GBP/EUR 1.
Continue reading…

Enjoyed this post? Share it!

 
 

Trade wars between US and China continues

Leave a comment

US and China tensions continues to grab the headlines, despite disappointing US jobs data Friday.

The US created 103k jobs in March, a far cry from the expected 188k, with unemployment remaining at 4.1%. Emerging markets have recovered slightly, with the rand hugging 12/$. President Trump called China’s bluff over the weekend, threatening another $100bn in tariffs.

This week is relatively light on data, with US CPI on Wednesday the highlight. Look for US CPI at 2.4%, with emerging markets likely to take a knock if this is the case. Locally, we’ll be eyeing public sector wage negotiations, with Union demanding CPI + 3%. It will be interesting to see how President Ramaphosa handles this hot potato. Have a great week folks.

Today’s Rate

USD/ZAR 12.0409
GBP/ZAR 16.9866
EUR/ZAR 14.7793
ZAR/JPY 8.8940
CNY/ZAR 1.9080
AUD/ZAR 9.2384
CHF/ZA
Continue reading…

Enjoyed this post? Share it!

 
 

Tit for tat:- Tariff increase of Chinese import products

Leave a comment

Following China’s 15% tariff on US products, ‘Merica hit back yesterday laying out plans to impose a 25% tariff on Chinese import products.

The tariff could see more than 1300 Chinese imports being effected totalling more than $50 billion. In response, China said it plans to implement the same trade measures against the US.

The result could see higher US product prices which will lead to the Fed hiking rates more aggressively in the coming years (not good news for the rand). On the calendar today, EU inflation figures are out at 11h00.

Today’s Rate

USD/ZAR 11.8541
GBP/ZAR 16.6787
EUR/ZAR 14.5459
ZAR/JPY 8.9999
CNY/ZAR 1.8817
AUD/ZAR 9.1162
CHF/ZAR 12.3621
AED/ZAR 3.2267
SGD/ZAR 9.0281
NOK/ZAR 1.5115
EUR/USD 1.2269
GBP/USD 1.4067
GBP/EUR 1.1465

All rates quoted are the interbank rates at time of publishing and shown for indicative purposes only. It is important to note that foreign exchange
Continue reading…

Enjoyed this post? Share it!

 
 

New fears on the horizon

Leave a comment

China’s previously announced tariff on US products came into effect yesterday with more than 120 US products being affected.

The introduction of the 15% tariff could spark fresh fears of a trade war amongst global markets. On the topic of 15%, yesterday also saw the increase of VAT and with fuel levies set to be implemented tomorrow, consumers are set to be in the firing line.

It’s a quiet start to the week on the data front following the lengthy Easter weekend break. This weekend also saw the sad passing Winnie Madikizela-Mandela at the age of 81. Have a great week all.

Today’s Rate

USD/ZAR 11.8181
GBP/ZAR 16.6298
EUR/ZAR 14.5701
ZAR/JPY 8.9673
CNY/ZAR 1.8780
AUD/ZAR 9.1026
CHF/ZAR 12.3780
AED/ZAR 3.2180
SGD/ZAR 9.0165
NOK/ZAR 1.4984
EUR/USD 1.2332
GBP/USD 1.4078
GBP/EUR 1.1415

All rates quoted are the interbank rates at time of publishing and shown for indicative purposes only. It is importa
Continue reading…

Enjoyed this post? Share it!

 
 

Is there any more good news on it’s way with SARB meeting today?

Leave a comment

Local markets shift focus to the SARB’s MPC meeting today which could confirm a possible interest rate cut.

Speculation is that Governor Lesetja Kganyago could cut the interest rate by 25bps. Following Moody’s decision to change SA’s outlook to stable, it looks like that the SARB will follow up with some more positive news, this time for consumers with a “lil’ debt”.

Despite SA being a “small fish” Moody’s is said to start affirming our improved ratings. Globally: the US and China have agreed to negotiations to finalize a trade deal therefore minimizing a potential trade war. Have a great Wednesday!
Continue reading…

Enjoyed this post? Share it!

 
 

Credit Ratings Agency Moody’s shows us the light on Friday night

Leave a comment

Friday night ended on a high, with no dreaded downgrade from credit ratings agency Moody’s.

The announcement was greatly welcomed as it was supported with the outlook being changed to stable, which looks to restore some lost confidence in South Africa. The change in political leadership and a clear plan for addressing fiscal pressures (2018 Budget) were some of the factors that influenced Moody’s decision.

The result sees the rand open at 11.75/$, with room for further gains possible. Over in “Trump-land”, pressure still mounts as the rise in trade tariffs indicates negative impact to global growth. Have a great Monday!

Continue reading…

Enjoyed this post? Share it!