Following the rand’s surprise 3% rebound to R13.68/$ from R14.13/$ on Monday, the currency held on to most of its gains on Tuesday morning, trading comfortably under R13.80/$.The rand was at R13.77/$, R16.39/€ and R18.35/£ at 7am.The market appeared to be more cheered by Moody’s delaying whether to cut SA government bonds to junk until after February’s budget than dismayed by S&P Global Ratings cutting rand-denominated government bonds to junk and foreign-currency bonds to the second rung of junk."While many analysts expected S&P to downgrade SA’s local currency credit rating by one notch given the recent deterioration in public finances highlighted in the medium-term budget policy statement as well as sustained low economic growth and ongoing difficulties at state-owned enterprises, almost no one expected a downgrade to both SA’s domestic and foreign currency credit rating," Stanlib chief economist Kevin Lings said in a note e-mailed on Monday."Moody’s was widely feared to be consi...
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