Markets in see-saw mode, as rand trade in tight range
DURBAN – The rand traded between a R14.77-to-R14.91 range to the dollar on Tuesday following quiet overnight sessions as the week got underway with the domestic unit hovering around the mid R14.70s.
Analysts said the markets were in see-saw mode as it was apparent that the interim deal between the US and China might not be as conclusive as initially thought, with the deal not even in writing yet.
Research Analyst at Nedbank CIB Reezwana Sumad said the much-improved levels in the rand proved attractive to dollar buyers as was suggested and the rand traded touched R14.861 per dollar during intraday trade, although flows along with liquidity were limited.
“The rand was trading marginally weaker on the day, although within restricted market conditions, emerging markets mostly continued to find support as the US remains somewhat more optimistic than their Chinese counterparts regarding a trade deal. Turkey remains on the backfoot as they face new tariffs from the US,” said Sumad.
At 5pm the domestic currency was bid 9 cents weaker than the same time bid on Monday at R14.90 against the dollar. Against the pound it was 23c weaker from R18.73 and bid the same at R16.42 against the euro.
Meanwhile, JSE stocks grew with the blue-chip Top40 index ascending 0.57 percent to 49 391 points while the broader all share index increased 0.64 percent to 55 574 points.
The biggest earners were Intu Properties which gained 14.3 percent at R9.35 followed by Hammerson with 7.29 percent at R60.20 then Sappi with 5.87 percent at R40.02 while Capco increased by 4.97 percent to R46.69 and Sasol by 2.4 percent to R287.93.
The biggest losers were Kumba Iron Ore which shed 3.04 percent to R353.43 followed by PSG Konsult dropping 2.84 percent to R8.55 while Anglo Gold decreased by 2.33 percent to R294 with Amplats losing 2.2 percent at R1,053.10 and Super Group losing 1.9 percent to R28.18.