JOHANNESBURG - The rand clung on to some overnight gains against the US dollar during yesterday’s European trading session according to NKC Research.
EM currencies started the day on a firmer footing thanks to improved risk sentiment on the back of good US corporate earnings results. However, the rand gave up some of the gains as the trade-weighted US dollar strengthened, but was supported by stronger-than-expected South African retail sales data for August. At the close of local trade, the rand quoted 0.2 percent stronger at R14.18/$, after trading in the range of R14.16/$ - R14.28/$. The rand traded slightly weaker overnight. Expected range today R14.10/$ - R14.40/
South African bourse
The JSE All Share (-1.6 percent) ended lower yesterday dragged by losses in large industrial (-2.2 percent) and retail (-2.2 percent) shares. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.1 percent) traded lower. In local news, Dis-Chem (+1 percent) shares rose on positive half-year profit figures and ongoing expansion efforts. Mediclinic (-16.9 percent) suffered heavy losses after it reported an 8 percent drop in core profit for the first six months of the year due to slow second quarter in Southern Africa.
Brent crude oil
The Brent oil price fell yesterday as US crude supplies rose by 6.5 million barrels, an EIA report showed. At the close of local trade, the Brent oil price quoted 2.4 percent lower at $79.57/pb. Crude prices traded marginally higher during Asian trade this morning.