Publications
Partners
Johannesburg - The rand strengthened nearly 1% against the dollar on Tuesday, outperforming 24 emerging market peers amid hopes that a week-old strike by metal and engineering workers could soon be resolved.
The local unit hit a session high of 10.6750, its firmest since July 2, and was up 0.79% at 10.6875 late on Tuesday, compared to Monday's close.
Government debt tracked the currency higher and yields fell to their lowest in more than a week.
The paper maturing in 2015, which the secondary market uses as a benchmark, was down 9 basis points to 8.335%, while the 2015 instrument dropped 6 basis points to 6.69%.
The rand has come under pressure in recent weeks as investors worry about the impact of strikes on the country's frail economy.
Numsa said on Tuesday that it would take the "latest" offer from employers to its more than 200 000 striking engineering and metals members on Wednesday, possibly ending a stoppage that has hit vehicle manufacturers.
"The rand has responded positively to news of a potential end to the latest strike, outpacing all emerging market peers on the session," Tradition Analytics said.
The local unit hit a session high of 10.6750, its firmest since July 2, and was up 0.79% at 10.6875 late on Tuesday, compared to Monday's close.
Government debt tracked the currency higher and yields fell to their lowest in more than a week.
The paper maturing in 2015, which the secondary market uses as a benchmark, was down 9 basis points to 8.335%, while the 2015 instrument dropped 6 basis points to 6.69%.
The rand has come under pressure in recent weeks as investors worry about the impact of strikes on the country's frail economy.
Numsa said on Tuesday that it would take the "latest" offer from employers to its more than 200 000 striking engineering and metals members on Wednesday, possibly ending a stoppage that has hit vehicle manufacturers.
"The rand has responded positively to news of a potential end to the latest strike, outpacing all emerging market peers on the session," Tradition Analytics said.
