Johannesburg – The rand was weaker in midday trade on Monday after it recorded some big gains on the release of positive jobs data out of the US on Friday.
“We probably saw a little bit of an overreaction on Friday‚” said Ockert van Niekerk‚ head of trading at PSG.
“We saw a big move following the release of US jobs data on Friday back up to R8.85 levels.”
Dow Jones Newswires reported on Friday that US employers added 157 000 jobs last month.
“Internationally it seems like there is some good news around.”
Van Niekerk said that decent figures on both a corporate and a macroeconomic level out of Japan and the US have improved global sentiment.
At 11:38‚ the rand was bid at R8.9204/$ from Friday’s close of R8.8527/$ and Thursday’s close of R8.9597/$. It touched R9.16/$ on January 28. The local currency was bid at R12.1154/€ from its previous close of R12.0231/€ and at R14.0225 against sterling from R13.8292 before. The euro was bid at $1.3584 from Friday’s close of $1.3645.
“For now‚ markets are waiting for further direction this week‚” he said.
Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.