Johannesburg – The rand was flat in the late morning on Tuesday as a lack of volume took the shine off the Bank of Japan’s (BoJ’s) announcement of it boosting asset purchases by 11-trillion yen.
“The rand is flat due to the low volumes caused by the closure of US markets due to Hurricane Sandy. We haven’t seen the full impact of the BoJ announcement due to the US not trading. Traders expected the announcement and it has put a positive sentiment on global markets‚” said Lynden Reabow‚ an FX sales trader from PSG.
At 11:36‚ the rand was bid at R8.6742/$ from Monday’s close of R8.6753. It was bid at R11.2204 the euro from its previous close of R11.1967 and at R13.9121 against sterling from R13.9028 before.
The euro was bid at $1.2934 from Monday’s close of $1.2907.
“We are range bound at the moment. There have definitely been some domestic drivers affecting the rand‚ including the news that police had fired rubber bullets at protesting miners at Amplats. The local currency could also be taking direction from euro‚” Reabow said.