In partnership with

Rand weakens on fears of US data

Feb 21 2013 12:16
I-Net Bridge
Johannesburg - The rand lost ground on Thursday following revelations that the third round of US quantitative easing (QE) could end earlier than previously thought.

The minutes of the Federal Open Market Committee (FOMC) meeting suggested that officials are concerned about the dangers of an even bigger balance sheet and that the US Federal Reserve will cut back on open-ended asset purchases.

This could signal an end to the increased levels of liquidity that have benefited global markets and commodity prices.

“The FOMC minutes have placed markets firmly in risk-off mode‚” said Vivienne Taberer a fund manager at Investec Asset Management.

“The rand is not performing too badly compared to some of the Asian currencies. Eastern European markets especially‚ which are more tied to the euro‚ are taking a beating‚” she said.

At 11.33am‚ the rand was bid at R8.9498/$ from Wednesday’s close of R8.9062/$ and Tuesday’s close of R8.8521/$.

The local currency was bid at R11.8040/€ from its previous close of R11.8145/€ and at R13.6258 against sterling from R13.5560 before.

The euro was bid at $1.3191 from $1.3272 at Wednesday’ close and $1.3394 at Tuesday’s close.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

rand  |  markets  |  quantitative easing


European and US stocks slide

2017-11-19 10:12


Read Fin24’s Comments Policy 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
Comments have been closed for this article.

Company Snapshot

We're talking about: MINI BUDGET

Finance Minister Malusi Gigaba has laid bare South Africa's economic woes. Visit our Mini Budget Special for all the action.

Money Clinic

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

Voting Booth

Free education in South Africa is:

Previous results · Suggest a vote