Commodities rally, weaker dollar lift rand

THE RAND hit a one-week high yesterday, boosted by a rally in commodity prices and a weaker dollar after the US Federal Reserve’s policy statement.

At 5pm, the rand was bid at R13.3286 to the dollar, 8.82c stronger than at the same time on Wednesday, its firmest since January 26.

Renewed speculation earlier in the week of a cabinet reshuffle that could see Pravin Gordhan axed as finance minister had pressured the rand but it then picked up on weakness in the dollar.

The dollar index dropped as much as 1 percent to a twomonth low in the session after the Fed, in its statement late on Wednesday, offered no clear signals on whether it might raise interest rates in March.

Gold and platinum prices were higher, boosting demand for the rand.