dollar

 

The markets troughs another tantrum

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The rand lost 2% against the USD yesterday, as markets had another ‘taper tantrum’.

March US retail sales were revised upwards to 0.8% (Month on month), raising fears that the US Fed may indeed raise rates a further 0.5% in 2018. Yawn, I’m sure we’re not the only ones bored of this story again?

Back home, SA’s unemployment rate remained stable at 26.7% (another shocker). Oil is nearing $80/barrel, a rather negative sign for the rand and motorists alike. Today’s attention shifts to SA retail sales and US manufacturing data, enjoy!

Today’s Rate

USD/ZAR 12.5420
GBP/ZAR 16.9276
EUR/ZAR 14.8462
ZAR/JPY 8.9777
CNY/ZAR 1.9685
AUD/ZAR 9.3848
CHF/ZAR 12.3877
AED/ZAR 3.151
SGD/ZAR 9.0722
NOK/ZAR 1.5476
EUR/USD 1.1839
GBP/USD 1.3501
GBP/EUR 1.1405

All rates quoted are the inte
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Are things ‘back on the bus’

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It’s all aboard the Trumplomacy bus, as President Trump offered China an olive branch yesterday, renewing hope that a ‘trade ‘war’ could be avoided.

The news momentarily helped emerging market gains, before violence in the Middle East put the rand on the back foot. Back home, Minister Gordhan continued his purge of corrupt state owned entity officials, firing the remaining Transnet board members. Yesterday also spelled the end of the nationwide bus strike, hopefully some relief for our roads!

Today’s Rate

USD/ZAR 12.4207
GBP/ZAR 16.797
EUR/ZAR 14.808
ZAR/JPY 8.862
CNY/ZAR 1.9514
AUD/ZAR 9.1668
CHF/ZAR 12.3654
AED/ZAR 3.3716
SGD/ZAR 9.2571
NOK/ZAR 1.551
EUR/USD 1.1924
GBP/USD 1.3525
GBP/EUR 1.1342

All rates quoted are the interbank rates at time of publishing and shown for indic
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Is this the beginning of the end!

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Trump announces US withdrawal from the Iranian nuclear deal with plans to impose strict sanctions.

Uncertainty of global oil supplies grows as countries who continue business with Iran may be penalized and feel the burn. With oil prices on the rise, markets expect future inflation increases and see further support for future US Fed hikes. Are we set to see a third consecutive month of petrol price increases?

We’ll have to wait and see. Alongside other EM markets the rand opened weaker at 12.57/USD as markets try to make sense of Trumps decision. US inflation data out at 14h30 will be the only real highlight for the day. Cheers and have a wonderful Wednesday!

Today’s Rate

USD/ZAR 12.6049
GBP/ZAR 17.0860
EUR/ZAR 14.9588
ZAR/JPY 8.6876
CNY/ZAR 1.9823
AUD/ZAR 9.3902
CHF/ZAR 12.5903
AED/ZAR 3.4377
SGD/ZAR 9.4088
NOK/ZAR 1.5562
EUR
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You miss one and then hit one

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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
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The Rand Losts Its Ground

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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
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The rand strengthened overnight

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The rand strengthened overnight as the dollar weakened amidst peace talks between the North and South Korean leaders.

Risk-on sentiment prevailed as a nuclear-free Korean Peninsula looks likely in the near future (no doubt president Trump will take credit for this). The market now shifts attention to the US Feds hiking plans and the China VS US “trade war”. The Feds interest rate decision is released Wednesday with no hike expected in May, but hints to a June hike will be what the market will be looking out for.

Other data to keep an eye on this week; SA Trade balance today (14h00), EU GDP and unemployment (Wednesday), US Trade balance and EU inflation (Thursday), and US jobs numbers (Friday). Have a great day and please note our office will be closed tomorrow as we celebrate the well-deserved, Workers Day Public holiday!

Today’s Rate

USD/ZAR 12.4179
GBP/ZAR 17.0517
EUR/ZAR 15.0287
ZA
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Spike in “Black gold” rally stirs inflation fears.

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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
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Things are going slow and steady

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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

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Is this Mission accomplished?

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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.
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The rand continues to trade side-ways against the USD

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First up is US consumer price inflation, which is expected to come in around 2.4% (ahead of the 2% target and fuelling interest rate increase fears).

The US Fed is next, where March’s meeting minutes should provide insight into how many interest rates hikes markets can expect for 2018/19. On the note of interest rate hikes, the US dollar index (USD vs a basket of global currencies) has weakened by 14% since December 2016 (the date US started raising interest rates)… economists will have to try hard to spin a story to explain that one.

A big shout out to SA’s Commonwealth Games Team, bagging 21 medals already!

Today’s Rate

USD/ZAR 12.0419
GBP/ZAR 17.1049
EUR/ZAR 14.8965
ZAR/JPY 8.8868
CNY/ZAR 1.9156
AUD/ZAR 9.3285
CHF/ZAR 12.5541
AED/ZAR 3.2789
SGD/ZAR 9.2005
NOK/ZAR 1.5499
EUR/USD
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