Fin24

Rand slumps due to strikes

2012-10-05 14:33

Johannesburg – The rand weakened at midday on Tuesday as strikes spread into other sectors in SA‚ with traders worried that the local currency could test the R9.00 mark against the dollar.

“We are a little bit crazy at the moment‚ the rand has weakened tremendously. This is due to stops being triggered and the continued strike actions in SA‚” said Lynden Reabow‚ FX sales trader at PSG Prime.

At 12:02pm‚ the rand was bid at R8.6398 to the dollar from R8.4952 at Thursday’s close. It was bid at R11.2352 to the euro from its previous close of R11.0614 and at R13.9846 against sterling from R13.7544 before.

The euro was bid at $1.3011 from $1.3016 at Thursday’s close.

“We are very close to the yearly low of R8.78 against the dollar‚ if we break that we could see the rand go through the R9.00 mark‚” Reabow said.


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Comments
  • konrad.rontgen - 2012-10-05 15:01

    Zuma ,i think it’s time you get of your high chair and start doing something to get this country back on its feet. If you don’t do something soon, there won’t be any money left in your coffers to pay for your alterations at your presidential palace. Show to the world, you can be a leader and stop worrying about what others might say. Be a leader, not a sissie!!

      ken.rowe.509 - 2012-10-05 15:03

      Konrad. Zuma does nothing because he does not know what to do.

      philip.harris.967 - 2012-10-05 19:06

      Unfortuantely danie.strydom.7 10% of a mickey mouse currency is next to worthless in the real world.

      danie.strydom.7 - 2012-10-06 20:42

      Sadly Philip Harris, you can also exchange money back to whichever currency you want. If the rand SLIPS 10% against the pound, i can re sell my pounds back to rands, still have the rands I started with and remain with a profit in a currency of my choice. But then you knew that, you just wanted to make a statement about Disneyland I assume ...

  • wwrer.ww - 2012-10-05 15:02

    That's great news, my $ ship is coming in later in this month.

  • acm.munro - 2012-10-05 15:21

    .. .. and the strikers are still striking .... they accepted their present jobs with its conditions, and since then the unions ensured that they received annual increases above the inflation rate. How many others received no or very small increases, yet they continue to work, just thankful they have a job.

  • dave.myers.56884 - 2012-10-05 16:01

    The workers are revolting!

  • christina.setloboko - 2012-10-05 16:34

    anc must just giveup and swallow their pride, clearly they cannot run the country- cumon give to somebody else who can for the sake of people of S.Africa.

      andrew.prinsloo - 2012-10-05 16:40

      You're 100% correct, Christina. The ANC is incompetent. Give the DA a chance.

  • jacques.shepperson - 2012-10-05 19:07

    so in a week or 2 the fuel price will be R14/L

  • nhlanhla.mahlangu.7393 - 2012-10-07 23:35

    rand depreciation, 2 mch cold, 2 mch hot, 101yr old granny striped n raped to death, 6 month infant torchered, so-called pastor rapin sumbudy dey shuld council n 28yr old marryin his mada! wat`s on here? its tyms lyk dis were i tink of stephani wen they stoned, him he said `Our Father in heaven, forgive them for they do not know, what they are doing` i say Fada 4giv us 4 we do not know wat were doin

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