Rand unchanged as dollar recovers slightly
THE rand was steady at midday on Tuesday with little data to influence the market and as the dollar regained some lost ground against the euro.
Investors are waiting for the release of US nonfarm payrolls data on Friday; until then the data calendar remains thin, with very little to push the market in any direction.
At 11.32am the rand was at R12.0442 against the greenback following a close of R12.0614 on Monday.
The local unit was at R13.3556 against the euro from a previous close of R13.4478 and traded at R18.2056 against the British pound‚ from its previous close of R18.2377.
The euro was at $1.1089 from a close of $1.1149.
In the early months of 2015 the rand lost ground against the dollar, but was holding up against the euro, which was hurt by concern about Grexit and the expectation of stimulatory measures from the European Central Bank (ECB).
The trend has reversed a little in April as the rand lost 2.7% against the euro and 1.7% versus the British pound. It gained 1.8% against the Chinese yuan and US dollar in April.
Bidvest Bank chief currency dealer Ion de Vleeschauwer said the moderation in the dollar bull market was one driver for the divergence after a period of weak US economic data and the resulting uncertainty over US rate hikes.
"This is likely to remain a theme until US economic data improve again, which may keep the rand range-bound against the dollar," he said.