Data provided by iNet BFA
Loading...
See More

China drags rand weaker

Apr 13 2012 09:02 Reuters

Related Articles

Bonds little moved in lacklustre trade

Rand gains on strong production data

Rand rallies against dollar

Ultra loose monetary policy favours rand

Rand supported by export orders

Rand helped by manufacturing data

 

Johannesburg - The rand retreated against the dollar, dragged by worse-than-expected Chinese economic data which has seen commodity currencies fall in early Friday trade.

The rand is susceptible to Chinese economic developments as about 30% of South Africa's exports are to Asia.

The data showed China's first-quarter growth was at its slowest in nearly three years and below economists’ expectations.

The rand was down just over half a percent at a session low of R7.9099 at 06:28 GMT, compared to a R7.8650 close in New York on Thursday, when the rand had gained 1.8%.

Analysts say Thursday’s gains may not all be eroded and the rand could, in the very short term, firm up to the R7.80 area.

“Yesterday the rand came back against all the majors, it’s improved a bit and showing some stability. (The) pick-up in the rand points to some near-term stability,” said Judy Padayachee, a technical strategist at Absa.

Padayachee said she expected further rand recovery towards the R7.75-R7.80 area into next week, and then the rand may turn again by month end.

Government bonds were steady at 6.70% on the 2015 note and 8.455% on the 2026 issue, still holding onto Thursday’s rand-supported gains.

Treasury is looking to sell R800m in inflation-linked paper between the 2028, 2017 and 2022, results are due after auction closes at 09:00 GMT.

 
china  |  markets  |  bonds  |  rand
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

A cash flow crunch often occurs in small businesses trying to balance cash coming in with cash going out. Watch this video to help you improve.
 
 

Savings survey not realistic

Fin24 readers respond to an in-house survey, which found that 60% of readers were confident that they would be financially comfortable in their retirement.

 
 

Start saving...

Time the key for retirement saving
Dummy's guide to saving
Save money with affordable account
All about endowments

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...