File image: IOL
File image: IOL

JOHANNESBURG - The South African currency oscillated in a narrow range during the European session as sudden power cuts on Thursday evening shone a spotlight on struggling power utility Eskom according to NKC Research.

The announcement came in the wake of capacity loss at three generation units, while the power utility warned on Friday that the risk of additional power outages is high. Meanwhile, investors remain cautiously optimistic in anticipation of a trade deal between Washington and Beijing, which for the time being is lending partial support to the local unit. At the close of local trade, the rand quoted 0.23 percent weaker at R14.79/$. The rand traded notably weaker during Asian trade this morning. Expected range today R14.80/$ - R15.00/$.

South African bourse

The JSE All Share (-1.51 percent) tracked global stocks weaker on Friday, as large consumer goods shares underperformed notably. Richemont (-5.73 percent) was arguably the day’s biggest laggard after the luxury goods group said that its net profit for the half year ended 2019 fell by 61 percent to €869m, as political protests in Hong Kong weighed on sales. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.81 percent) traded lower.

Brent crude oil

The Brent oil price dipped lower on Friday amid trade deal concerns, as rolling back Chinese import tariffs reportedly faced fierce opposition within the White House. This, in turn was compounded by rising US crude stockpiles. At the close of local trade, benchmark Brent crude futures quoted 2.25 percent lower at $60.77pb. Crude prices fell during Asian trade.

Like the Business Report on Facebook by clicking here or follow us on Twitter @Busrep.

You can also follow the Business Report on Instagram here