19 Jul 2019 RAND RALLIES AFTER CENTRAL BANK CUTS RATES
The rand edged higher against the dollar in early Friday trade and bond yields fell after the central bank cut its main lending rate by 25 basis points on Thursday in a widely expected move to counter floundering economic growth. The South African Reserve Bank (Sarb) cut rates by 25 basis points to 6.5% in a unanimous decision, its first easing since March 2018, although it struck a cautious tone suggesting future reductions to borrowing costs were not a foregone conclusion despite benign inflation.
11 Jul 2019 RAND STRENGTHENS ON FED’S CHAIR REMARKS
The Rand firmed on Wednesday as the dollar weakened after U.S. Federal Reserve Chairman Jerome Powell highlighted risks to the U.S. economy in remarks that could bolster expectations of an interest rate cut later this month. The rand was also boosted by news that President Cyril Ramaphosa has re-appointed South African Reserve Bank Governor Lesetja Kganyago for another five-year term.
01 Jul 2019 THE RAND DIPS JUST BELOW THE R14.10/$ MARK
21 Jun 2019 RAND SLIGHTLY WEAKER IN WAKE OF SONA
South Africa’s rand weakened against the dollar in early trade on Friday, as markets digested President Cyril Ramaphosa’s state of the nation address (SONA) which some analysts said lacked detail on how he plans to fix the ailing economy. “While the tone of the address was upbeat and positive, the country remains in the dark as to what exactly the turnaround plan for the economy will entail,” says Bianca Botes, Corporate Treasury Manager at Peregrine Treasury Solutions.
19 Jun 2019 JSE POISED FOR STRONG GAINS
South African stocks could rally on Wednesday morning as Asian markets surge on renewed optimism about a US-China trade deal and after the European Central Bank (ECB) said more stimulus could be on the horizon. The rand, which posted strong gains on Tuesday, was slightly weaker on Wednesday morning at R14.57/$, R18.29/£, and R16.30/€.
07 Jun 2019 SARB FEUD LEAVES ‘DEEP TEAR’ IN SA’S CREDIBILITY
President Cyril Ramaphosa’s recent reassurance to the country regarding the South African Reserve Bank (SARB) mandate has been met with skepticism by the currency markets. While all emerging markets remain under pressure, the rand is bearing the biggest brunt, mostly driven by local politics, Peregrine Treasury Solutions, corporate treasury manager, Bianca Botes comments.
05 Jun 2019 SA CONTRACTS BY 3.2% IN Q1 GDP DATA
According to Stats SA, the GDP has contracted 3.2 percent in the first three months of the year compared to the previous quarter, the largest quarterly drop in about 10 years. Peregrine Treasury Solutions’ corporate manager Bianca Botes said it was “the biggest decline in GDP since the 2008 financial crises” and that the contraction highlighted the “dire state of the South African economy.”
03 Jun 2019 ELECTION EUPHORIA GONE AS JSE FALLS
JSE on new low after euphoria The JSE all share in May suffered its worst month since October 2018, as fears of deteriorating local and global economic conditions took a toll on risk assets. Pressure on equities and emerging-market currencies, including the rand, is expected to continue.
29 May 2019 RAND HIT BY ‘THE PERFECT STORM’
The rand slumped to a seven-month low on Tuesday (28 May) as an unexpected delay in the appointment of the cabinet stoked concerns that President Cyril Ramaphosa is facing opposition to his reform agenda. According to Bianca Botes, corporate treasury manager at Peregrine Treasury Solutions, the rand has also not been helped by the US-China, US-Iran and Brexit dynamics.
28 May 2019 JSE COULD OPEN HIGHER AS ASIAN STOCKS RECOVER
The JSE could open a little higher on Tuesday as Asian stocks recover slightly amid trade talks between the US and Japan. Corporate Treasury Manager at Peregrine Treasury Solutions Bianca Botes provides commentary on the rand as the trade war remains in focus.