WATCH: The rand trades slightly stronger
JOHANNESBURG - The South African currency rose during a volatile session as broad-based stimulus from US authorities boosted risk sentiment according to NKC Research.
On the back of unprecedented measures rolled out in recent sessions by the Fed, the United States Congress and White House reached agreement on a $2 trillion stimulus package. Meanwhile, the South African Reserve Bank on its part announced additional liquidity measures to combat the adverse implications of Covid-19. That said, the trade-weighted dollar is likely to extend dominance, with the fragile rand vulnerable amid fiscal and rating-status uncertainty. At the close of local trade, the rand quoted 0.06 percent stronger at R17.39/$, after trading in range of R17.26/$ - R17.61/$. The rand ticked lower overnight. Expected range today R14.15/$ - R17.55/$.
South African bourse
The JSE All Share, like most other major global indices, was lifted by fiscal stimulus measures in the United States. The Alsi is down more than 24 percent y-t-d. In the overall emerging market sphere, the MSCI Emerging Market Index traded 4.35 percent higher yesterday.
Brent crude oil
The Brent oil price traded lower on Wednesday, as weak demand for crude and rising US stockpiles outweighed US stimulus hopes. At the close of local trade, benchmark Brent crude futures quoted 3.98 percent lower at $26.80pb. Crude prices traded steady during Asian trade this morning.
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