JSE closes higher on volatile rand as industrials and some miners recover
The JSE closed firmer in volatile trade on Monday as industrials and larger mining groups gained on the weaker rand, while gold shares were sold off on the stronger dollar and weaker spot price. The rand lost more than 2% against the dollar in intraday trade after comments by Public Protector Busisiwe Mkhwebane on the independence of the Reserve Bank. It later recovered as analysts said it was unlikely that the Constitution would be changed from the present Reserve Bank mandate to ensure price stability, as she suggested. "It was far more likely that government would look at other steps, such as introducing prescribed assets or tightening exchange control, before changing the independence of the Reserve Bank," said Capicraft Investment Partners analyst Drikus Combrinck. He said prescribed assets in the bond market was a route taken in the 1980s by the then Nationalist government. It meant institutions would be forced to invest a certain percentage of their assets in bonds. "It could...
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