JOHANNESBURG - The rand traded slightly stronger against the US dollar during European trade yesterday according to NKC Research.
The South African currency started the day on the back foot after the market thought the FOMC speech on Wednesday’s night was dovish enough and the US dollar recouped some losses. However, the greenback turned weaker again as bets that the Fed halt interest rate hikes resumed. At the close of local trade, the rand quoted 1.1 percent stronger at R14.20/$, after trading in the range of R14.18/$ - R14.39/$. The rand traded weaker overnight ahead of today’s final US Q3 GDP figures and heightened global growth fears. Expected range today R14.20/$ - R14.45/$.
South African bourse
The JSE All Share (-0.4 percent) ended in the red yesterday dragged by losses across the board. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.8 percent) traded lower. In local news, Shoprite (-3.1 percent) shares slumped after the Competition Commission said the supermarket chain could face a fine of up to 10% of its turnover for anti-competitive behaviour.
Brent crude oil
The Brent oil price traded lower yesterday reaching its lowest level in a year, due to concerns of oversupply in global crude markets. At the close of local trade, global benchmark Brent futures quoted 0.7 percent lower at $55.9/pb. Crude prices traded lower during Asian trade this morning.