Rand tracks emerging markets higher
THE RAND rallied yesterday as emerging markets were helped by buoyant commodity prices and as uncertainty over US President Donald Trump’s fiscal policies hit the dollar.
At 5pm, the rand was bid at R13.5344 to the dollar, 5.18c firmer than at the same time on Friday,
The unit is up more than 1.5 percent in January on the back of improved global demand for gold and platinum, which South Africa exports, as well as bets that the SA Reserve Bank will avoid cutting its benchmark lending rate this year.
All 27 economists told Reuters in a survey last week they expected the central bank to leave rates at 7 percent at today’s policy meeting, keeping returns at levels that remain attractive to investors in search of high yields.