Rand firms slightly as US adds fewer jobs than expected in May
The US added 138,000 non-farm payroll jobs in May, some way below the 182,000 expected; the rand firms to R12.8357
The rand was a little firmer on Friday afternoon after the US recorded disappointing monthly jobs growth for May. The US added 138,000 non-farm payroll jobs in May, some way below the 182,000 expected by the market. Employment in the world’s largest economy is being closely watched as the US Federal Reserve is still mulling its monetary policy action for the rest of the year. Interest-rate increases in the US are still expected in 2017 and these will strengthen the dollar and reduce interest in South African and other emerging-market bonds. At 3.30pm, the rand had firmed to R12.8357 from R12.8609. The euro gained almost half a percent on the dollar, from $1.1212 on Thursday to $1.1266. The rand weakened slightly against the euro to R14.4599 from R14.4202. It was at R16.5235 to the pound from R16.5681. Independent trader Petri Redelinghuys said on Friday that while there is still some speculation in the market on the potential decisions from ratings agencies on SA’s credit status, th...
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