CD South Africa: Rand buckling under Fed pressure
Currencies Direct October 30th 2015 - < 1 minute read
The rand hit 13.90/$ overnight as the prospect of a December US interest rate increase continues to drive dollar strength.
There was some reprieve for the local unit as US Q3 GDP missed expectations yesterday, albeit only slightly at 1.5%. Today sees the release of SA’s September trade balance at 14:00, with expectations for an improvement on last month’s shocking R9 billion deficit.
The rand’s current range appears to be 13.74/$ – 13.94/$, although this could change if the trade balance surprises. As always, expect rand volatility today.
And some light-hearted research out of Australia to end with: Researchers say that the “lazy” Australian accent maybe the result of the drunken slurring of their “heavy drinking forefathers.” We'll leave you on that controversial note.
Have a great weekend and enjoy the Rugby World Cup Final!
Commentary by Gareth Frye