The rand was firmer against major currencies on Wednesday just before midday as investors await the US Federal open market committee meeting minutes. The minutes are expected to address the timing of the Fed’s balance sheet unwinding programme and what its plans are with interest rates before the end of the year. Sasfin analysts said that the Fed’s balance sheet reduction and rate hike argument was "somewhat supported by upbeat retail sales released on Tuesday." The general market sentiment is that the Fed will be optimistic given that retail sales surprised with a 0.6% increase in July from an expected 0.4%. Ratings agency Moody’s has warned in its credit opinion released on Wednesday that it could downgrade SA should the government not protect the country’s institutional‚ economic and fiscal strength. It said the strength and independence of the country’s institutions had diminished to a greater extent than in Moody’s baseline scenario. The agency said it could change the rating o...
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