Rand extends losses

JOHANNESBURG. — The rand continued on its weaker trend yesterday morning on the continued fallout from the ANC’s decision to keep President Jacob Zuma on. Before the end of the ANC’s national executive committee (NEC) meeting, which ended on Sunday, the rand rose briefly on the hope that the NEC would recall Zuma. Once it became evident this would not happen the local currency began its slide to Tuesday’s levels. At 8.52am the rand was at 13,0583 to the dollar from 12,9689. It was at 14,5281 to the euro from 14,4888 and at 16,7301 to the pound from 16,6506. The euro was at $1,1128 from $1,1172.

Referring to the rand’s rise in the days leading up to the NEC meeting, Rand Merchant Bank said: “The rand gave up some of its gains on Monday but more losses are potentially in store.”

It said optimism built up at the weekend had faded and the rand still had 20c-30c to go if all of last week’s outperformance were to be reversed. — BDLive.