The rand was relatively stable at stronger levels on Thursday morning, benefiting from improved global risk appetite. US Federal Reserve chairwoman Janet Yellen helped to trigger a rally on global markets after signalling that the US central bank would increase interest rates at a moderate pace due to concern about inflation, which remains below its 2% target. The rand, along with other emerging-market currencies, were beneficiaries of what appeared to be Fed’s less-hawkish stance. The dollar was also on the defensive against a basket of currencies. The rand has appreciated by nearly 30c to the dollar since Yellen’s testimony to the US Congress were released on Wednesday afternoon. She will resume her testimony to the Congress later in the day. The stronger rand helps to keep a lid on inflation, which the South African Reserve Bank’s monetary policy committee expects to average 5.7% in 2017. The committee meets next week to decide on interest rates. Some economists expect the commit...
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