Rand weakens as local currency seeks direction from commodities
But the rand has benefited from generally positive emerging-market sentiment over the past week, analysts say
The rand was weaker against the dollar at midday on Tuesday, as the market mulled weaker commodity prices and the dollar stabilised at about $1.065 to the euro. The rand traded flat at its previous closing level of R13.3171 for most of the morning before weakening, despite commodity prices ticking up. Platinum rose 0.35% to $982.86 an ounce and gold added 0.18% to $1,286 an ounce. Iron prices remained at five-month lows. The rand is generally regarded as a commodity currency that benefits from higher commodity prices. Analysts said the rand had benefited from generally positive emerging-market sentiment over the past week. "Emerging markets across the board have gained ground as the geopolitics in the US, along with the comments by President Donald Trump that he is looking for a weaker dollar, had led to a risk-on perspective in the markets," TreasuryOne currency dealer Andre Botha said. At 11.43am, the rand was at R13.4031 to the dollar from R13.3171. The rand was at R14.2848 again...
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