RAND SOFTER, STOCKS GAIN

THE RAND weakened against the dollar yesterday, weighed down by a souring growth outlook as the continent’s most advanced economy continued to show signs of slowing down.

At 5pm, the rand bid at R14.2135 to the dollar, 6 cents softer than at the same time on Tuesday.

The rand has fallen nearly 3 percent in the last week, weighed down by woes at power utility Eskom and overall mixed fortunes for emerging currencies as the greenback regained momentum and powered to near a two-week high.

The currency edged firmer after Tuesday’s GDP data showed the economy grew 0.8 percent in 2018, slightly higher than expected, but was back on the ropes yesterday after business confidence slumped to a five-month low.

Reserve Bank governor Lesetja Kganyago said yesterday that growth was set to remain below 2 percent in 2019, while rising fuel and electricity prices posed a risk to the inflation outlook.

On the bourse, the all share index rose 0.46 percent to 56 073.86 points, while the Top40 index gained 0.58 percent to 49 875.04 points.

Naspers led the market higher, up 1.91 percent to R3 215.34 after gains in Hong Kong technology giant Tencent , in which it has a 31 percent stake.

Shares in Africa’s largest pay-TV business MultiChoice were unbundled to Naspers shareholders on Monday helping to further lift shares. MultiChoice listed on the JSE last week.