Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

South Africa's rand weakens as markets wait for Fed, stocks gain

07/28/2021 | 02:20pm EDT
A street money changer counts South African Rands in Harare

JOHANNESBURG (Reuters) - South Africa's rand dipped on Wednesday, as the dollar rose ahead of the outcome of a Federal Reserve meeting that could offer clues on the U.S. central bank's policy tapering plans.

At 1550 GMT, the rand was trading at 14.8275 against the dollar, around 0.4% weaker than its previous close.

"The markets will likely remain cautious today as we await the outcome of the (Fed meeting), and the focus is likely to be on any indications of a taper," Nedbank analysts said in a note.

The dollar has enjoyed a month-long rally after a hawkish shift from the Fed in June, and investors are waiting to see whether there are more signals this month in the face of spiking U.S. inflation.

Hints of a faster end to extraordinary policy support could lift the dollar further and pressure emerging market currencies like the rand.

On the Johannesburg bourse, stocks rose to an eight-week high after a lacklustre last few days as technology investor Naspers and its subsidiary Prosus bounced back from their two days of sharp drops.

Naspers, through Prosus, holds a 29% stake in Chinese tech giant Tencent Holdings , and had been showing massive drops on the back of Beijing's increased scrutiny and clamp-down on technology companies, especially in the education sector.

Naspers and Prosus both were up around 7% on Wednesday.

The benchmark index closed up 1.76% to end the day at 68,526 points and the blue-chip index of top 40 companies ended up 1.9% at 62,369 points.

The rally was also boosted by mining companies, especially platinum group metal miners whose strong profit numbers boosted the mining index up by 1.31%.

Bonds firmed, with the yield on the benchmark 2030 government bond down 1.5 basis points at 8.910%.

(Reporting by Promit Mukherjee, Olivia Kumwenda-Mtambo and Alexander Winning; Editing by Nick Macfie)


ę Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
AUSTRALIAN DOLLAR / US DOLLAR (AUD/USD) -0.01% 0.7279 Delayed Quote.-5.58%
BRITISH POUND / US DOLLAR (GBP/USD) -0.05% 1.3693 Delayed Quote.-0.05%
CANADIAN DOLLAR / US DOLLAR (CAD/USD) 0.02% 0.792 Delayed Quote.0.62%
EURO / SOUTH AFRICAN RAND (EUR/ZAR) 0.08% 17.4869 Delayed Quote.-2.06%
EURO / US DOLLAR (EUR/USD) -0.08% 1.16878 Delayed Quote.-4.02%
INDIAN RUPEE / US DOLLAR (INR/USD) -0.07% 0.013539 Delayed Quote.-1.05%
NASPERS LIMITED 0.25% 2486 End-of-day quote.-17.66%
NEDBANK GROUP LIMITED -1.96% 169.25 End-of-day quote.30.72%
NEDBANK LIMITED 1.16% 8.75 End-of-day quote.17.45%
NEW ZEALAND DOLLAR / US DOLLAR (NZD/USD) 0.09% 0.70105 Delayed Quote.-2.30%
PROSUS N.V. -0.27% 70.02 Real-time Quote.-20.76%
TENCENT HOLDINGS LIMITED 0.96% 464.6 End-of-day quote.-17.62%
THE PLATINUM GROUP PUBLIC COMPANY LIMITED 0.00% 3.06 End-of-day quote.24.39%
US DOLLAR / SOUTH AFRICAN RAND (USD/ZAR) 0.10% 14.96086 Delayed Quote.2.00%
Latest news "Economy & Forex"
05:55pRefinitiv agrees to pay a civil penalty of $650,000 for failing to report certain swap data -CFTC
RE
05:54pU.S. environment agency urged by 21 states to toughen vehicle emissions rewrite
RE
05:49pFED WILL ALLOW LABOR MARKETS TO 'RUN THEIR COURSE' : Bostic
RE
05:39pChile cenbank to decide on roll-out of digital currency in 2022
RE
05:34pDogecoin Lost 3.36% to $0.201 at 5 p.m. ET -- Data Talk
DJ
05:34pEthereum Lost 3.67% to $2974.94 at 5 p.m. ET -- Data Talk
DJ
05:34pBitcoin Lost 2.09% to $42695.70 at 5 p.m. ET -- Data Talk
DJ
05:34pThe WSJ Dollar Index Rises 0.08% to 87.97 -- Data Talk
DJ
05:34pEuro Lost 0.21% to $1.1696 -- Data Talk
DJ
05:34pSterling Gains 0.17% to $1.3699 -- Data Talk
DJ
Latest news "Economy & Forex"