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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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Trade wars between US and China continues

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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
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Tit for tat:- Tariff increase of Chinese import products

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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
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Resolute rand – The rand remains firm

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The rand remains firm and opens the day below 11.80/$, spurred on by pro-rand events which transpired yesterday.

SA’s January manufacturing output rose by 2.5%, supporting the expectation that the domestic economy is gaining momentum. US President Trump dropped an administrative bombshell as he dismissed the Secretary of State Rex Tillerson.
This triggered a dollar sell-off with Wall Street taking a knock.

Dollar weakness was cushioned by an acceleration in US inflation, this resulted in speculation that the Fed will raise rates at a gradual pace. Sterling soared to a 2 week high as UK Finance Minister Philip Hammond announced a polished fiscal policy update highlighting on economic growth forecast and the budget. On the data calendar today, ECB President Draghi takes to the podium and US retail figures will be released. Have a great day.

Today’s Rate

USD/ZAR 11.7851
GBP/ZAR 16.468
EUR/ZAR 14.6108
ZAR/JPY 9.055
CNY/ZAR 1
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Local economy showing positive signs

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The rand is taking full advantage of the weaker dollar as it opens at 11.83/$ this morning.

Investors returned to buying emerging market currencies (as opposed to the USD) after Trump’s top economic advisor, Gary Cohn, announced his resignation yesterday. To add to dollar losses, North Korea have reportedly ended nuclear weapons testing for the time being (following positive talks with South Korea).

Local Q4 GDP figures released yesterday supported rand gains, as economic growth increased by 3.1% in the final quarter of 2017, with an overall growth of 1.3% for the year. Today’s highlights: The US Fed’s Beige Book and EUR Q4 GDP figures are released. Happy hump day!

Today’s Rate

USD/ZAR 11.8145
GBP/ZAR 16.4149
EUR/ZAR 14.6800
ZAR/JPY 8.9432
CNY/ZAR 1.8683
AUD/ZAR 9.2208
CHF/ZAR 12.6035
AED/ZAR 3.2170
SGD/ZAR 8.9792
NOK/ZAR 1.5161
EUR/USD 1.2422
GBP/USD 1.3888
GBP/EUR 1.1182

All rates quoted a
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Gold Market Update – 23rd Feb 2017

LONG TERM TREND                            BEARISHINTERMEDIATE TERM TREND              BEARISHSHORT TERM TREND                          BULLISHVERY SHORT TERM TREND                 BEARISH Gold found support at 1216 last week after a short and shallow correction and has rallied back up to the resistance zone at 1244-1246 this week at the 200 week MA. The gold price is..
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