Rand closes in on R15 against the dollar
JOHANNESBURG - The South African currency traded on the front foot, lifted by an improved market mood as US President Trump accepted the commencement of the transition towards a Biden administration according to NKC Research.
The green light for a transition was given despite Trump’s plans to continue with legal challenges. On local soil, government announced that it will pay R500m ($33m) toward the Covid-19 vaccine distribution scheme co-led by the WHO, having reportedly submitted a non-bonding confirmation of its intent to participate.
Reuters indicated that the scheme that the finance ministry was referring to is the COVAX vaccine distribution scheme, which is the main WHO-led partnership scheme “for ensuring global vaccine access.”
At the close of local trade, the rand quoted 0.39 percent stronger at R15.36/$, after trading in range of R15.31/$ - R15.45/$. The rand traded flat overnight. Expected range today R15.00/$ - R15.40/$.
South African bourse
The JSE All Share (+1.08 percent) ended higher in risk-on trade yesterday, with large financial stocks (+2.97 percent) leading the charge. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.35 percent) traded lower.
Brent crude oil
The Brent oil price hit its highest level since March yesterday, fuelled by hopes that positive vaccine developments may lead to a quicker global economic recovery. At the close of local trade, benchmark Brent crude futures quoted 2.44 percent higher at $47.09pb. Crude prices extended gains during Asian trade this morning.
BUSINESS REPORT ONLINE