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Rand 'performing well'

Feb 18 2010 12:00

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Johannesburg - The rand continued to perform well on a trade weighted basis by midday on Thursday, however the local currency was softer against the dollar, tracking an under pressure euro.

At 11:39 the rand was bid at R7.6316 to the dollar from R7.5987 at its previous close. It was bid at R10.3463 to the euro from its previous close of R10.3558 and was at 11.8968 against the sterling from R11.9242.

The euro was bid at $1.3566 from $1.3607 previously.

A local currency trader said: "The rand is performing well on a trade weighted basis, following on from a positive budget.

"However, the euro is under a bit of pressure, and that has implications for dollar/rand movement."

Dow Jones Newswires reports that in the European foreign exchanges, the euro continued to fall amid lingering concerns over debt-strapped Greece, and worries that the fiscal contagion could spread to Portugal, Spain or even Italy.

At 09:20 GMT, the euro was trading at $1.3561, down from $1.3608 in late New York trading on Wednesday. Against the yen, the dollar was at ¥90.91, down from ¥91.26. The IMF's announcement on gold also prompted purchases of the dollar against the risk-sensitive euro, dealers said.

- I-Net Bridge

 
 
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