File image: IOL
File image: IOL

JOHANNESBURG - The rand was afforded reprieve during yesterday’s European session as risk sentiment eased somewhat after a tumultuous previous week according to NKC Research. 

While the local unit dipped in previous sessions in tandem with souring sentiment, set off by US-Sino trade uncertainty, the South African currency benefited from post-election optimism to limit losses. Traders are keeping a close eye on a number of US policymakers’ statements this week, including yesterday’s address by Jerome Powell, as they take cues on the direction of monetary policy. At the close of local trade, the rand quoted 0.3 percent stronger at R14.36/$, after trading in range of R14.34/$ - R14.44/$. The rand traded steady overnight. Expected range today R14.25/$ - R14.55/$.

South African bourse

The JSE All Share (-1.0 percent) ended lower yesterday, dragged by large tech (-3.3 percent) and consumer goods (-2.1 percent) shares. In the overall emerging market sphere, the MSCI Emerging Market Index (-0.2 percent) traded lower. In local news, Pioneer Foods (-11.0 percent) dipped lower after its half-year earnings missed due to local maize shortages.

Brent crude oil

The Brent oil price traded weaker yesterday after Opec’s comments relating to production cuts failed to spark a meaningful rally. At the close of local trade, benchmark Brent crude futures quoted 1.4 percent lower at $72.20pb. Crude prices traded firmer during Asian trade this morning.

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