Rand and stocks end week weaker
THE RAND retreated against the dollar yesterday, giving up gains driven by improving appetite for emerging markets assets and a set of local data showing momentum was returning to the domestic economy.
However, at 5pm, the rand was bid at R12.4665 to the dollar, 3.49c firmer than at the same time on Thursday. The unit is trading at its strongest level since July 2015, according to Thomson Reuters data.
“Normally the market is cautious about keeping on aggressive positions over a weekend and so Fridays often see a counter-trend reversal,” RMB Global Markets analyst, John Cairns, wrote in a note.
Stocks were weaker for a third session as Life Healthcare and diversified mining firms weighed.
The benchmark JSE Top40 index was down 0.41 percent at 44 662.6 points, while the broader all share index also fell by the same margin at 51 816.31 points.
was the biggest decliner among the blue chips, extending losses it suffered on Thursday after announcing a sharper than expected discount on its R9 billion rights offer.
Shares in Life Healthcare were down 3.17 percent to end the session at R32.35. – Reuters