Rand slightly weaker

Johannesburg. — The rand was slightly weaker against the dollar in early trade yesterday ahead of the US Federal Reserve statement on interest rates. The market will look at the statement, due to be released later in the day, for clues on the timing of a rate hike. Some expect a hike as early as September. At 9.13pm the rand was at 12,5830 to the dollar from a previous close of 12,5678. The rand was at 13,8825 against the euro from a previous close of 13,8976 and at 19,6208 to the British pound from 19,6168 previously. The euro was at $1,1033 from its previous close of $1,1058.

Nedbank Capital said in an early morning note that the focus of the market would be on the Federal open market committee (FOMC) meeting.

“The price action in the foreign exchange markets ahead of the decision is most likely to be cautious,” Nedbank said.

The rand once again failed to make any headway in trading below the 12,50 to the dollar level, with demand for dollars curtailing the momentum, Nedbank said. — BDLive.