Rand weaker as central bankers meet in Jackson Hole
Analysts are waiting to see if the US and eurozone will start monetary policy tightening with the markets largely driven by Trump-related risk
The rand was weaker shortly before midday on Thursday, ahead of the start of the central bankers’ meeting in the US, which has helped subdue trading this week. Analysts are cautious regarding any firm policy signals from the conference, but said it had the potential to move markets as investors wait for the start of monetary policy tightening in the US and the eurozone. European Central Bank president Mario Draghi and US Federal Reserve chairperson Janet Yellen are, however, only expected to make comments on Friday Absent much in the way of data or events, markets would probably be driven by risk factors related to the administration of US President Donald Trump, said Rand Merchant Bank analyst John Cairns. Fresh political brinkmanship from Trump came on Thursday after he threatened to shut down the government should funding not materialise to build a wall on the Mexican border. At 11.31am, the rand was at R13.2179 to the dollar from R13.1602, at R15.5894 to the euro from R15.5376 a...
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