Picture: ISTOCK
Picture: ISTOCK

The rand was more than 1% firmer against the dollar in midday trade on Friday as the local currency continued to recover from the sharp retraction on Thursday.

The rand benefited from a marginally weaker dollar and higher platinum and gold prices.

It showed little reaction to continuing local political tension ahead of a planned no-confidence vote against President Jacob Zuma in Parliament.

The South African Council of Churches (SACC) has warned that the country may be on the verge of becoming a mafia state under Zuma.

The rand lost nearly 3% to the dollar on Thursday as a bribery scandal involving Brazilian President Michel Temer shook already weak sentiment towards emerging markets.

At 11.41am the rand was 1.13% firmer at R13.2730 against the dollar from R13.4244.

The rand was at R14.8171 against the euro from R14.9179 and at R17.2696 against the pound from R17.3766.

The euro was at $1.1163 from $1.1112.

Nedbank Corporate and Investment Banking analysts said the rand had managed to trade back from the extremes, after technical analysis indicated that it could weaken further to R13.63/$ from Thursday’s weakest level of R13.58/$.

"Locally, the ongoing political wrangling and the possibility of further ratings agency activity continue to dominate headlines," Nedbank said.

Please sign in or register to comment.