The South African rand weakened on Tuesday, pressured by global risk aversion tied to a fragile truce in the Middle East. This as investors also braced for planned anti-immigration demonstrations in Africa’s largest economy.
• At 0549 GMT (07:49 am), the rand traded at 16.4550 against the dollar, down 0.3% from its previous close. However, this is broadly in line with its emerging-market peers as geopolitical caution weighed on sentiment.
• Domestic investor focus will be on protests in the country, as demonstrators called on undocumented foreigners to leave South Africa by Tuesday.
• Thousands of foreign Africans are heading home or huddling together in camps for fear of being attacked. However, the group organising the protests, March and March, says it will be peaceful.
• Economic releases on Tuesday include South Africa’s money supply, private sector credit, the central bank’s inflation expectations survey, as well as trade balance and budget balance data.
• Analysts, however, expect the protests to overshadow these economic indicators.
- The South African rand weakened by 0.3% against the dollar, influenced by global risk aversion and geopolitical tensions in the Middle East.
- Investor attention is focused on planned anti-immigration protests calling for undocumented foreigners to leave South Africa.
- Thousands of foreign Africans are either leaving the country or seeking safety amid fears of attacks, despite protest organizers pledging peaceful demonstrations.
- Key economic data releases scheduled include money supply, private sector credit, inflation expectations, trade balance, and budget balance.
- Analysts believe the anti-immigration protests will dominate market sentiment and overshadow the economic indicators.
• At 0549 GMT (07:49 am), the rand traded at 16.4550 against the dollar, down 0.3% from its previous close. However, this is broadly in line with its emerging-market peers as geopolitical caution weighed on sentiment.
• Domestic investor focus will be on protests in the country, as demonstrators called on undocumented foreigners to leave
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• Economic releases on Tuesday include
• Analysts, however, expect the protests to overshadow these economic indicators.
