JOHANNESBURG - The South African currency traded firmly on the back foot during the European session as geopolitical tensions countered anticipation of Fed easing this week, with souring sentiment pressuring risk-sensitive currencies according to NKC Research.
In turn, the trade-weighted dollar was initially positioned to benefit from the supply-side pressure on oil prices, with the greenback set to remain amongst the highest-yielding currencies even in consideration of a 25-bps rate cut this week. At the close of local trade, the rand quoted 0.28 percent weaker at R14.72/$, after trading in range of R14.68/$ - R14.81/$. The rand traded steady overnight. Expected range today R14.50/$ - R14.85/$.
South African bourse
The JSE All Share (-1.66 percent) tracked global stock markets lower yesterday, against the backdrop of volatile oil prices, ahead of today’s Fed meeting. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.79 percent) traded lower.
Brent crude oil