Rand firmer as dollar and US bonds lose ground before Trump inauguration
The rand turned firmer on Thursday against the dollar as both US bonds and the greenback weakened ahead of US president-elect Donald Trump’s inauguration on Friday. Usually the dollar strengthens on US bond weakness, but the present market conditions reflect the uncertainty about Trump’s eventual policies, analysts say. Gains by the dollar in early intraday trade on Thursday were reversed by the late morning. The dollar’s gains this year have stalled, following a surge at the end of 2016 on Trump’s election. At 11.30am the rand was at R13.5663 against the dollar from R13.6327 on Wednesday. The rand was at R14.4672 against the euro from R14.4926 and at R16.7225 against the pound from R16.7129. The euro was at $1.0664 from $1.0629. The muted move in the dollar can be attributed to the market still being very wary and on edge, said TreasuryOne currency dealer Andre Botha. "We suspect that January, for the most part, will be uneventful with markets getting some direction after the inaug...
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